Provisional Translation
| OTO No. | 580 | Classification | MOF-106 |
|---|---|---|---|
| Date of Acceptance | September 1, 1998 | Ministry/Agency Receiving Complaint | Economic Planning Agency |
| Responsible Ministries | Ministry of Finance | Related Laws | Customs Tariff Law |
| Complainant | Domestic firm | Exporting Countries | China |
| Subject | Elimination of memorandum needed when reloading processed/ repaired products | ||
| Details of Measures | Description of Complaint: 1. If an imported product is defective and sent back for processing or repairs, Article 11 of the Customs Tariff Law and the Article 4 of the Order for Implementing the Customs Tariff Law require that a memorandum certifying it be submitted to Customs. 2. However, since Customs requires that this memorandum be prepared by the exporting manufacturer, the time and expense for preparation of the memorandum are considerable. 3. The reason why this memorandum must be prepared by the exporting manufacturer is unclear. Therefore, the procedure should be simplified by abolishing the current requirement for a memorandum, or by making it possible for the importer to prepare documents for certification. The ministry replied as follows: 1. The tariff reduction on cargo exported for processing or repairs is a system for granting a certain tariff reduction on the product in question when it is re-imported, provided that: (1) it is being exported from Japan for the purpose of processing or repairs; (2) processing cannot be done in Japan; and (3) the product is imported within one year after the date of the export permit for the product. 2. To qualify for this tariff reduction system, the company must submit documents certifying that the product is being exported for processing or repairs, when the export declaration is made. In that case, a contract for processing or repairs is generally required to be attached. But when a contract cannot easily be submitted because no contract was made especially for that, documents proving that the product is being exported to be repaired, for example a correspondence with the foreign exporter or manufacturer, are acceptable. |
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| Classification of Processing | Ca | Directions | II-a |
| Remarks | |||