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This is a Bill, not an Act. For current law, see the Acts databases.
2004
The Parliament of
the
Commonwealth of
Australia
HOUSE OF
REPRESENTATIVES
Presented and read a first
time
Customs
Amendment (Thailand-Australia Free Trade Agreement Implementation) Bill
2004
No. ,
2004
(Justice and
Customs)
A Bill for an Act to amend the
Customs Act 1901, and for related purposes
Contents
Part 1—Thai originating
goods 4
Customs Act
1901 4
Part 2—Verification
powers 13
Customs Act
1901 13
Part 3—Other
amendments 15
Customs Act
1901 15
A Bill for an Act to amend the Customs Act 1901,
and for related purposes
The Parliament of Australia enacts:
This Act may be cited as the Customs Amendment (Thailand-Australia
Free Trade Agreement Implementation) Act 2004.
(1) Each provision of this Act specified in column 1 of the table
commences, or is taken to have commenced, in accordance with column 2 of the
table. Any other statement in column 2 has effect according to its
terms.
|
Commencement information |
||
|---|---|---|
|
Column 1 |
Column 2 |
Column 3 |
|
Provision(s) |
Commencement |
Date/Details |
|
1. Sections 1 to 3 and anything in this Act not elsewhere covered by
this table |
The day on which this Act receives the Royal Assent. |
|
|
2. Schedule 1, Parts 1 and 2 |
The later of: (a) 1 January 2005; and (b) the day on which the Thailand-Australia Free Trade Agreement, done at
Canberra on 5 July 2004, comes into force for Australia. However, the provision(s) do not commence at all if the event mentioned in
paragraph (b) does not occur. The Minister must announce by notice in the Gazette the day on which
the Agreement comes into force for Australia. |
|
|
3. Schedule 1, item 3 |
At the same time as the provision(s) covered by table
item 2. However, the provision(s) do not commence at all unless item 1 of
Schedule 1 to the US Free Trade Agreement Implementation (Customs
Tariff) Act 2004 commences before, or at the same time as, the provision(s)
covered by table item 2. |
|
|
4. Schedule 1, item 4 |
At the same time as the provision(s) covered by table
item 2. However, the provision(s) do not commence at all if item 1 of
Schedule 1 to the US Free Trade Agreement Implementation (Customs
Tariff) Act 2004 commences before, or at the same time as, the provision(s)
covered by table item 2. |
|
|
5. Schedule 1, item 5 |
At the same time as item 1 of Schedule 1 to the US Free Trade
Agreement Implementation (Customs Tariff) Act 2004 commences. However, the provision(s) do not commence at all if item 1 of
Schedule 1 to the US Free Trade Agreement Implementation (Customs
Tariff) Act 2004 commences before, or at the same time as, the provision(s)
covered by table item 2. |
|
|
6. Schedule 1, item 6 |
At the same time as the provision(s) covered by table
item 3. |
|
|
7. Schedule 1, item 7 |
At the same time as the provision(s) covered by table
item 4. |
|
|
8. Schedule 1, item 8 |
At the same time as the provision(s) covered by table
item 5. |
|
Note: This table relates only to the provisions of this Act
as originally passed by the Parliament and assented to. It will not be expanded
to deal with provisions inserted in this Act after assent.
(2) Column 3 of the table contains additional information that is not part
of this Act. Information in this column may be added to or edited in any
published version of this Act.
Each Act that is specified in a Schedule to this Act is amended or
repealed as set out in the applicable items in the Schedule concerned, and any
other item in a Schedule to this Act has effect according to its
terms.
1 Before Division 2 of
Part VIII
Insert:
The following is a simplified outline of this Division:
• This Division defines Thai originating goods.
Preferential rates of customs duty under the Customs Tariff Act 1995
apply to Thai originating goods that are imported into Australia.
• Subdivision B sets out when goods that are wholly obtained goods of
Thailand are Thai originating goods.
• Subdivision C sets out when goods that are produced entirely in
Thailand, or in Thailand and Australia, are Thai originating goods.
• Subdivision D sets out when accessories, spare parts or tools
(imported with other goods) are Thai originating goods.
• Subdivision E deals with how the packaging materials or containers
in which goods are packaged affects whether the goods are Thai originating
goods.
• Subdivision F deals with how the consignment of goods affects
whether the goods are Thai originating goods.
Definitions
(1) In this Division:
Agreement means the Thailand-Australia Free Trade Agreement,
done at Canberra on 5 July 2004, as amended from time to time.
Note: In 2004 the text of the Agreement was accessible on
the Internet through the web site of the Department of Foreign Affairs and
Trade.
Australian originating goods means goods that are Australian
originating goods under a law of Thailand that implements the
Agreement.
Certificate of Origin means a certificate that is in force
and that complies with the requirements of Annex 4.2 of the Agreement.
continental shelf has the same meaning as in the Seas and
Submerged Lands Act 1973.
Convention means the International Convention on the
Harmonized Commodity Description and Coding System done at Brussels on
14 June 1983.
Note: The text of the Convention is set out in Australian
Treaty Series 1988 No. 30. In 2004 this was available in the Australian
Treaties Library of the Department of Foreign Affairs and Trade, accessible on
the Internet through that Department’s world-wide web
site.
customs value, in relation to goods, has the meaning given by
section 159.
Harmonized System means the Harmonized Commodity Description
and Coding System (as in force from time to time) that is established by or
under the Convention.
Interpretation Rules means the General Rules for the
Interpretation of the Harmonized System provided for by the
Convention.
non-originating materials means goods that are not
originating materials.
originating materials means:
(a) goods that are used in the production of other goods and that are Thai
originating goods; or
(b) goods that are used in the production of other goods and that are
Australian originating goods.
produce means grow, raise, mine, harvest, fish, trap, hunt,
manufacture, process, assemble or disassemble. Producer and
production have corresponding meanings.
tariff table means the table in Schedule 1 to the
Customs (Thailand-Australia Free Trade Agreement) Regulations
2004.
territorial sea has the same meaning as in the Seas and
Submerged Lands Act 1973.
Thai originating goods means goods that, under this Division,
are Thai originating goods.
Value of goods
(2) The value of goods for the purposes of this Division is
to be worked out in accordance with the regulations. The regulations may
prescribe different valuation rules for different kinds of goods.
Tariff classifications
(3) In specifying tariff classifications for the purposes of this
Division, the regulations may refer to the Harmonized System.
(4) Subsection 4(3A) does not apply for the purposes of this
Division.
Regulations
(5) For the purposes of this Division, the regulations may apply, adopt or
incorporate any matter contained in any instrument or other writing as in force
or existing from time to time.
(1) Goods are Thai originating goods if:
(a) they are wholly obtained goods of Thailand; and
(b) the importer of the goods holds, at the time the goods are imported, a
Certificate of Origin, or a copy of one, for the goods.
(2) Goods are wholly obtained goods of Thailand if, and only
if, the goods are:
(a) minerals extracted in Thailand; or
(b) agricultural goods harvested, picked or gathered in Thailand;
or
(c) live animals born and raised in Thailand; or
(d) products obtained from live animals in Thailand; or
(e) goods obtained directly from hunting, trapping, fishing, gathering or
capturing carried out in Thailand; or
(f) fish, shellfish, plant or other marine life taken:
(i) within the territorial sea of Thailand; or
(ii) within any other maritime zone in which Thailand has sovereign rights
under the law of Thailand and in accordance with UNCLOS; or
(iii) from the high seas by ships flying the flag of Thailand;
or
(g) goods obtained or produced exclusively from goods referred to in
paragraph (f) on board factory ships flying the flag of Thailand;
or
(h) goods taken from the seabed or the subsoil beneath the seabed of the
territorial sea of Thailand or of the continental shelf of Thailand:
(i) by Thailand; or
(ii) by a national of Thailand; or
(iii) by a body corporate incorporated in Thailand; or
(i) waste and scrap that has been derived from production operations in
Thailand and that is fit only for the recovery of raw materials; or
(j) used goods that are collected in Thailand and that are fit only for
the recovery of raw materials; or
(k) goods produced entirely in Thailand exclusively from goods referred to
in paragraphs (a) to (j).
The following is a simplified outline of this Subdivision:
• This Subdivision sets out when goods that are produced entirely in
Thailand, or in Thailand and Australia, are Thai originating goods.
• The goods may be Thai originating goods under section 153ZD
(which applies to all goods).
• The goods may also be Thai originating goods under
section 153ZE (which applies only to goods that are chemicals, plastics or
rubber).
(1) Subject to subsection (6), goods are Thai originating
goods if:
(a) they are classified to a heading or subheading of the Harmonized
System that is specified in column 1 or 2 of the tariff table; and
(b) they are produced entirely in Thailand, or entirely in Thailand and
Australia, from originating materials or non-originating materials, or both;
and
(c) the requirement or requirements that are specified in column 4 of the
tariff table and that apply to the goods are satisfied; and
(d) the importer of the goods holds, at the time the goods are imported, a
Certificate of Origin, or a copy of one, for the goods.
Change in tariff classification
(2) The regulations may make it a requirement (the tariff change
requirement) that each non-originating material (if any) used to produce
the goods must satisfy a particular change in tariff classification. The
regulations may also set out when a non-originating material is taken to satisfy
that change.
(3) The tariff change requirement is also taken to be satisfied if the
total value of all the non-originating materials that:
(a) do not satisfy the particular change in tariff classification;
and
(b) are used to produce the goods;
does not exceed 10% of the customs value of the goods.
Regional value content
(4) The regulations may make it a requirement that the goods must satisfy
a regional value content requirement. The regulations may prescribe different
regional value content requirements for different kinds of goods.
No limit on paragraph (1)(c)
(5) Subsections (2) and (4) do not limit the requirements the
regulations may specify under paragraph (1)(c).
Dilution with water or another substance
(6) However, the goods are not Thai originating goods under this section
if:
(a) they are classified to any of Chapters 1 to 40 of the Harmonized
System; and
(b) they are produced merely as a result of non-originating materials
being diluted with water or another substance; and
(c) that dilution does not materially alter the characteristics of the
non-originating materials.
Goods are Thai originating goods if:
(a) they are produced entirely in Thailand or entirely in Thailand and
Australia; and
(b) they are classified to any of Chapters 28 to 40 of the Harmonized
System; and
(c) they are the product of a chemical reaction (within the meaning of the
Customs (Thailand-Australia Free Trade Agreement) Regulations 2004);
and
(d) the importer of the goods holds, at the time the goods are imported, a
Certificate of Origin, or a copy of one, for the goods.
(1) If goods (the underlying goods) are imported into
Australia with standard accessories, standard spare parts or standard tools,
then the accessories, spare parts or tools are Thai originating
goods if:
(a) the underlying goods are Thai originating goods; and
(b) the accessories, spare parts or tools are not invoiced separately from
the underlying goods; and
(c) the quantities and value of the accessories, spare parts or tools are
the usual quantities and value in relation to the underlying goods.
Exception
(2) However, the accessories, spare parts or tools are not Thai
originating goods under this section if:
(a) the underlying goods must satisfy a regional value content requirement
under section 153ZD to be Thai originating goods; and
(b) the accessories, spare parts or tools are imported solely for the
purpose of artificially raising the regional value content of the underlying
goods.
Underlying goods
(3) If:
(a) the underlying goods must satisfy a regional value content requirement
under section 153ZD to be Thai originating goods; and
(b) the accessories, spare parts or tools are not imported solely for the
purpose of artificially raising the regional value content of the underlying
goods;
then the regulations must require the value of the accessories, spare parts
or tools to be taken into account for the purposes of that
requirement.
Note: The value of the accessories, spare parts or tools is
to be worked out in accordance with the regulations: see subsection
153ZA(2).
(1) If:
(a) goods are packaged for retail sale in packaging material or a
container; and
(b) the packaging material or container is classified with the goods in
accordance with Rule 5 of the Interpretation Rules;
then the packaging material or container is to be disregarded for the
purposes of this Division (with 1 exception).
(2) The exception is that in working out if the goods are Thai originating
goods, if the goods must satisfy a regional value content requirement under
section 153ZD, the regulations must require the value of the packaging
material or container to be taken into account for the purposes of that
requirement.
Note: The value of the packaging material or container is to
be worked out in accordance with the regulations: see subsection
153ZA(2).
(1) Goods are not Thai originating goods under this Division if:
(a) they are transported through a country or place other than Thailand or
Australia; and
(b) either:
(i) they undergo any process of production or other operation in that
country or place (other than any operation to preserve them in good condition or
any operation that is necessary for them to be transported to Australia);
or
(ii) they are traded or used in that country or place.
(2) This section applies despite any other provision of this
Division.
2 Before Division 5 of
Part VI
Insert:
In this Division:
producer has the same meaning as in Division 1D of
Part VIII.
Thai customs official means a person representing the customs
administration of Thailand.
Regulations may prescribe record keeping obligations
(1) The regulations may prescribe record keeping obligations that apply in
relation to goods that:
(a) are exported to Thailand; and
(b) are claimed to be Australian originating goods for the purpose of
obtaining a preferential tariff in Thailand.
On whom obligations may be imposed
(2) Regulations for the purposes of subsection (1) may impose such
obligations on a producer or exporter of goods.
Requirement to produce records
(1) An authorised officer may require a person who is subject to record
keeping obligations under regulations made for the purposes of
section 126AG to produce to the officer such of those records as the
officer requires.
Note: Failing to produce a record when required to do so by
an officer may be an offence: see section 243SB. However, a person does not
have to produce a record if doing so would tend to incriminate the person: see
section 243SC.
Disclosing records to Thai customs official
(2) An authorised officer may, for the purpose of verifying a claim for a
preferential tariff in Thailand, disclose any records so produced to a
Thai customs official.
Power to ask questions
(1) An authorised officer may require a person who is an exporter or
producer of goods that:
(a) are exported to Thailand; and
(b) are claimed to be Australian originating goods for the purpose of
obtaining a preferential tariff in Thailand;
to answer questions in order to verify the origin of the goods.
Note: Failing to answer a question when required to do so by
an officer may be an offence: see section 243SA. However, a person does not
have to answer a question if doing so would tend to incriminate the person: see
section 243SC.
Disclosing answers to Thai customs official
(2) An authorised officer may, for the purpose of verifying a claim for a
preferential tariff in Thailand, disclose any answers to such questions to a
Thai customs official.
3 Subsection 4(3C)
Omit “or in the third column of Schedule 3 or 4 to that
Act”, substitute “, in the third column of Schedule 3 or 4 to
that Act or in the third column of the table in Schedule 5 or 6 to that
Act”.
4 Subsection 4(3C)
Omit “or in the third column of Schedule 3 or 4 to that
Act”, substitute “, in the third column of Schedule 3 or 4 to
that Act or in the third column of the table in Schedule 6 to that
Act”.
5 Subsection 4(3C)
Omit “Schedule 6”, substitute “Schedule 5 or
6”.
6 Subsection 4(3D)
After “Customs Tariff Act 1995”, insert “or in the
third column of the table in Schedule 5 or 6 to that Act”.
7 Subsection 4(3D)
After “Customs Tariff Act 1995”, insert “or in the
third column of the table in Schedule 6 to that Act”.
8 Subsection 4(3D)
Omit “Schedule 6”, substitute “Schedule 5 or
6”.