1. The Schedule of a Party sets out the reservations taken bythat Party, pursuant to Articles 1108(1) and 1206(2), with respectto existing, non-conforming measures that derogate from anobligation relating to: (a) national treatment, pursuant to Article 1102 (Investment) or 1202 (Services); (b) most-favored-nation treatment, pursuant to Article 1103 (Investment) or 1203 (Services); (c) local presence, pursuant to Article 1205 (Services); (d) performance requirements, pursuant to Article 1106 (Investment); or (e) nationality requirements for senior management or members of boards of directors, pursuant to Article 1107 (Investment). 2. Each reservation sets out the following elements (ftnt 1): (a) SECTOR refers to the general sector in which the reservation is taken; (b) SUB-SECTOR refers to the specific sector in which the reservation is taken; (c) INDUSTRY CLASSIFICATION refers to the activity, where applicable, covered by the reservation according to domestic industry classification codes; (d) TYPE OF RESERVATION specifies the obligation referred to in paragraph 1 for which a reservation is taken; (e) LEVEL OF GOVERNMENT indicates the level of government maintaining the measure for which the Party is taking the reservation; (f) LEGAL CITATION identifies the specific existing measures, where applicable, for which the reservation is taken; (ftnt 2) (g) DESCRIPTION describes the non-conforming aspects of the existing measures for which the reservation is taken and, where applicable, commitments for liberalization upon entry into force of this Agreement; and (h) DURATION sets out the period for which the reservation is taken and the phase-in of commitments for liberalization. 3. In the interpretation of a reservation, all elements of thereservation should be considered. Where the DURATION does notprovide for liberalization, the LEGAL CITATION shall govern to theextent of any inconsistency with any other element. Where theDURATION provides for liberalization upon or after entry into forceof this Agreement, the DURATION shall govern to the extent of anyinconsistency with any other element. 4. Where a Party maintains a measure that requires that a serviceprovider be a citizen, permanent resident or resident of itsterritory as a condition to the provision of a service in itsterritory, a reservation for Articles 1202, 1203 or 1205 taken withrespect to that measure shall operate as a reservation for Articles1102 or 1103 with respect to the effect of that measure on theability of the service provider to establish an investment. 5. For purposes of this Annex:CMAP means Clasificaci¢n Mexicana de Actividades y Productos;concession means an authorization provided by the State to a personto exploit a natural resource or provide a service, for whichMexican nationals and Mexican enterprises are granted priority overforeigners;CPC means Central Product Classification numbers as set out inStatistical Office of the United Nations, Statistical Papers, Series M, No. 77, Provisional Central Product Classification, 1991;foreigners' exclusion clause means the express provision in anenterprise's by-laws, stating that the enterprise shall not allowforeigners, directly or indirectly, to become partners orshareholders of the enterprise;international cargo means goods that have an origin or destinationoutside the territory of a Party;Mexican enterprise means an enterprise constituted under the lawsof Mexico;Mexican national means a national of Mexico, as defined by theConstitution of Mexico;person of a Party means a national or an enterprise of a Party; andSIC means: (a) with respect to Canada, Standard Industrial Classification (SIC) numbers as set out in Statistics Canada, Standard Industrial Classification, fourth edition, 1980; and (b) with respect to the United States, Standard Industrial Classification (SIC) numbers as set out in the United States Office of Management and Budget, Standard Industrial Classification Manual, 1987. FOOTNOTE 1: The reservations are current as of September 5, 1992. The three delegations understand that where a Party adoptsliberalizing measures prior to the date of entry into force of thisAgreement, such measures will be considered to be existingmeasures. FOOTNOTE 2: The three delegations are considering the need forinclusion of language to the effect that measures set out in theLEGAL CITATION shall be deemed to include existing administrativedecisions, interpretations and practices pursuant to the measurecited. ANNEX I Schedule of the United StatesSECTOR: EnergySUB-SECTOR: Atomic EnergyINDUSTRY CLASSIFICATION: Not ApplicableTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Atomic Energy Act of 1954, 42 U. S. C. 2133-2134DESCRIPTION: InvestmentA license is required for any personin the United States to transfer, manufacture, produce, use or importany facilities that produce or usenuclear materials. Such license maynot be issued to any entity known orbelieved to be owned, controlled ordominated by an alien, a foreigncorporation or a foreign government(42 U. S. C. 2133, 2134). Theissuance of a license is alsoprohibited for utilization orproduction facilities for such uses asmedical therapy or research anddevelopment activities to anycorporation or other entity owned, controlled or dominated by one of theforeign persons described above (42U. S. C. 2134(d)). DURATION: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR: Business ServicesSUB-SECTOR: Export IntermediariesINDUSTRY CLASSIFICATION: 7389 Business Services, Not Elsewhere ClassifiedTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Export Trading Company Act of 1982, Public Law 97-290, 96 Stat. 1233, 15 U. S. C. 4011-4021 15 C. F. R. Part 325DESCRIPTION: Cross-Border ServicesTitle III of the Export TradingCompany Act of 1982 authorizes theSecretary of Commerce to issue"certificates of review" with respectto export conduct. The Act calls forthe issuance of a certificate ofreview if the Secretary determines, and the Attorney General concurs, thatthe export conduct specified in anapplication will not have theanticompetitive effects proscribed bythe Act. A certificate of reviewlimits the liability under federal andstate antitrust laws in engaging inthe export conduct certified. Only a "person" as defined by the Actcan apply for a certificate of review. The term "person" means "an individualwho is a resident of the UnitedStates; a partnership that is createdunder and exists pursuant to the lawsof any State or of the United States;a State or local government entity; acorporation, whether organized as aprofit or nonprofit corporation, thatis created under and exists pursuantto the laws of any State or of theUnited States; or any association orcombination, by contract or otherarrangement, between such persons. "A foreign national or enterprise canreceive the protection provided by acertificate of review by becoming a"member" of a qualified applicant. The regulations define "member" tomean "an entity (U. S. Or foreign)which is seeking protection under thecertificate with the applicant. Amember may be a partner in apartnership or a joint venture; ashareholder of a corporation; or aparticipant in an association, cooperative, or other form of profitor nonprofit organization orrelationship, by contract or otherarrangement. "DURATION:Indeterminate============================================================================= ANNEX I Schedule of United StatesSECTOR:Business ServicesSUB-SECTOR:Export IntermediariesINDUSTRY CLASSIFICATION:7389 Business Services, Not Elsewhere ClassifiedTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Export Administration Act of 1979, Pub. L. 96-72, as amended Export Administration Regulations, 15 C. F. R. Parts 768 through 799DESCRIPTION: Cross-Border ServicesWith some limited exceptions, theexport from the United States of allcommodities, and all "technical data", requires either a general license or avalidated license or otherauthorization granted by the Office ofExport Licensing, United StatesDepartment of Commerce. A generallicense requires no application ordocumentation and is generallyavailable for use by all persons. An application for a validated licensemay be made only by a person subjectto the jurisdiction of the UnitedStates who is in fact the exporter, orby his duly authorized agent. Anapplication may be made on behalf of aperson not subject to the jurisdictionof the United States by an authorizedagent in the United States, who thenbecomes the applicant. DURATION: Indeterminate============================================================================= ANNEX I Schedule of United StatesSECTOR: CommunicationsSUB-SECTOR: Telecommunications (Enhanced or Value-Added Services)INDUSTRY CLASSIFICATION: CPC 752323 Value-Added Network Services CPC 752329 Other Message ServicesTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: F. C. C. Decision, International Communications Policies Governing Designation of Recognized Private Operating Agencies, 104 F. C. C. 2d 208, n. 123, n. 126 (1986) 47 C. F. R. 64. 702 (1991) (Definition of enhanced or value- added services)DESCRIPTION: InvestmentIf a U. S. -based foreign-owned enhancedservice provider obtains voluntaryRecognized Private Operating Agencycertification from the U. S. Departmentof State for purposes of negotiatingoperating agreements with governmentsother than the U. S. Government, itmust submit copies of all operatingagreements granted to it by foreigngovernments and any refusal of aforeign government to grant it anoperating agreement. For purposes ofthis rule, a service provider isgenerally considered "foreign owned"if 20 percent or more of its stock isowned by persons that are not U. S. Citizens. DURATION: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR: ManufacturingSUB-SECTOR: Agricultural ChemicalsINDUSTRY CLASSIFICATION: SIC 2879 Pesticides and Agricultural Chemicals, not Elsewhere ClassifiedTYPE OF RESERVATION: National Treatment (Article 1102)LEGAL CITATION: Federal Insecticide, Fungicide, and Rodenticide Act, as amended, 7 U. S. C. 136 et seq. DESCRIPTION:Investment7 U. S. C. 135h(g) prevents theAdministrator of the EnvironmentalProtection Agency from knowinglydisclosing information submitted by anapplicant or registrant under the Act(without consent) to any personengaged in the production, sale ordistribution of pesticides incountries other than the United Statesor to any person who intends todeliver such data to such foreign ormultinational business or entity. DURATION: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR: Mining and MaterialsSUB-SECTOR: Minerals MiningINDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Mineral Lands Leasing Act of 1920; 30 U. S. C. Chapter 3; 10 U. S. C. 7435DESCRIPTION: Investment1. Under the Mineral Lands LeasingAct of 1920, aliens and corporationswith foreign stockholders may notacquire rights-of-way for oil or gaspipelines, or pipelines carryingproducts refined from them, across on-shore federal lands, or acquire leasesor interests in certain minerals, suchas coal or oil. However, non-U. S. Citizens may own a 100 percentinterest in a domestic corporationthat acquires a right-of-way for oilor gas pipelines across on-shorefederal lands or lease to developmineral resources on on-shore federallands unless the foreign investor'shome country denies similar or likeprivileges for the mineral or accessin question to U. S. Citizens orcorporations, as compared with theprivileges it accords to its own(30 U. S. C. 181, 183(a)). 2. Nationalization is not consideredto be denial of similar or likeprivileges. 3. See also 10 U. S. C. 7435, whichrestricts foreign citizens, orcorporations controlled by them, fromobtaining access to leases on NavalPetroleum Reserves, should the laws, customs or regulations of theircountry deny the privilege of leasingpublic lands to citizens orcorporations of the United States. DURATION: Indeterminate. ============================================================================= ANNEX I Schedule of United StatesSECTOR: Professional ServicesSUB-SECTOR: Patent Attorneys and Patent Agents and other Practice before the Patent and Trademark OfficeINDUSTRY CLASSIFICATION: [to be provided]TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: 35 USC Chapter 3 (Practice Before Patent and Trademark Office) 37 C. F. R. Part 10 (Representation of Others Before the U. S. Patent and Trademark Office)DESCRIPTION: Cross-Border ServicesAs a condition to be registered topractice for others before the U. S. Patent and Trademark Office (USPTO):(a) a patent attorney must be a U. S. Citizen or an alien lawfully residingin the United States (37 C. F. R. 10. 6(a));(b) a patent agent must be a U. S. Citizen, an alien lawfully residing inthe United States, or a non-residentwho is registered to practice in acountry that permits patent agentsregistered to practice before theUSPTO to practice in that country (37C. F. R. 10. 6(c)); and(c) a practitioner in trademark andnon-patent cases must be an attorneylicensed in the United States, a"grandfathered" agent, an attorneylicensed to practice in anothercountry that accords equivalenttreatment to attorneys licensed in theUnited States, or an agent registeredto practice in such a country (37C. F. R. 10. 14(a)-(c)). DURATION: Citizenship and permanent residency requirements subject to removal within two years after entry into force of this Agreement in accordance with Article 1210(3). ============================================================================= ANNEX I Schedule of the United StatesSECTOR: Public AdministrationSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103)LEGAL CITATION: 22 U. S. C. 2194(a), 2194(b) and 2198(c)LEVEL OF GOVERNMENT: FederalDESCRIPTION: InvestmentThe Overseas Private InvestmentCorporation (OPIC) insurance and loanguarantees under 22 U. S. C. 2194(a), 2194(b) and 2198(c) are not availableto certain aliens, foreignenterprises, or foreign controlleddomestic enterprises. DURATION: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR: TransportationSUB-SECTOR: Air TransportationINDUSTRY CLASSIFICATION: SIC 3721 Aircraft Repair and Rebuilding on a Factory Basis SIC 4581 Aircraft Repair (Except on a Factory Basis)TYPE OF RESERVATION: Most-Favored-Nation Treatment (Article 1203)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: 49 U. S. C. App. 1354, 1421-1430 14 C. F. R. Parts 43 and 145 Agreement Concerning Airworthiness Certification, Exchange of Letters between U. S. And Canada dated August 31, 1984, Treaties and International Agreement Service 11023DESCRIPTION: Cross-BorderFor major aircraft repair, overhaul ormaintenance activities, during whichan aircraft is withdrawn from service, U. S. Measures require that, in orderto perform work on U. S. -registeredaircraft, foreign air repair stationsmust be certified by the FederalAviation Administration withcontinuing oversight provided by theFederal Aviation Administration. Pursuant to a bilateral airworthinessagreement dated August 31, 1984, asamended, between the United States andCanada, the United States recognizesthe certifications and oversightprovided by Canada for all repairstations and individuals performingthe work located in Canada. DURATION: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR: TransportationSUB-SECTOR: Air TransportationINDUSTRY CLASSIFICATION: 4512 Air Transportation Scheduled 4522 Air Transportation Non-scheduled 4513 Air Courier ServicesTYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Federal Aviation Act of 1958, as amended; 14 C. F. R. For purposes of this entry, the Description governs. DESCRIPTION: InvestmentWhether an entity is a U. S. Citizendetermines the type of commercial airservices company that it can own orcontrol. Under the Federal AviationAct of 1958 (49 U. S. C. App. Ch. 20), "citizens" include (1) individuals whoare citizens; (2) a partnership inwhich each member is a citizen of theU. S. ; or (3) a U. S. Corporation ofwhich the president and at leasttwo-thirds of the board of directorsand other managing officers are U. S. Citizens, and at least seventy-fivepercent of the voting interest in thecorporation is owned or controlled byU. S. Citizens. 49 U. S. C. App. 1301(16). In addition, this statutoryrequirement has historically beeninterpreted by the Department ofTransportation (and the CivilAeronautics Board before it) torequire that an air carrier in fact beunder the actual control of U. S. Citizens. The Department ofTransportation makes thisdetermination on a case-by-case basis. Nevertheless, the Department hasprovided guidance as to some lines ofdemarcation. For example, totalforeign equity investment of up to 49percent (with a maximum of 25 percentbeing voting stock), taken alone, isnot construed as indicative of foreigncontrol. (See Department ofTransportation Order 91-1-41, January23, 1991. )Only air carriers that are U. S. Citizens are permitted to operatedomestic air services or operateinternational air services as a "U. S. "carrier; non-U. S. Citizens may ownand control foreign air carriers thatoperate between the U. S. And foreignpoints. See Sections 401, 402, 417(b)(7) and 1108 of the FederalAviation Act. The different rights ofeach type of air carrier are usuallyspelled out in the applicable aviationbilateral agreement. Certain distinctions based oncitizenship also exist with regard toother types of air services providers, such as air freight forwarders (14C. F. R. 297), charter operators (14C. F. R. 380), and intermodal operators(14 C. F. R. 222). Air freight forwarders may be "U. S. Citizens" (defined as indicated above)which use the services of (inter alia)direct air carriers (with a Departmentof Transportation certificate, regulation, order or permit) totransport property. 14 C. F. R. Part296. They may also be "foreign airfreight forwarders", which similarlyuse direct air carriers to transportproperty. 14 C. F. R. Part 296. Thereis no "U. S. Citizenship" requirementfor "foreign air freight forwarders. "14 C. F. R. 297. 3(d). Foreign airfreight forwarders may obtain the sameoperating exemptions available to U. S. Citizens. They must, however, applyfor registration with the Departmentof Transportation. Their applicationcan be rejected "for reasons relatingto the failure of effectivereciprocity, or if the Departmentfinds that it is in the publicinterest to do so. " 14 C. F. R. 297. 22. Charter operators may be "publiccharter operators", which inter aliamust be "U. S. Citizens" (defined asindicated above) or "foreign charteroperators, " for which there is not acitizenship requirement. 14 C. F. R. 380. 2. Unlike domestic charteroperators, "foreign charter operators"wishing to operate charters whichoriginate in the U. S. Must registerwith the Department of Transportation. 14 C. F. R. 380. 61. The Department ofTransportation may reject aregistration application "for reasonsrelating to the failure of effectivereciprocity or if the Department findsit would be in the public interest todo so. " 14 C. F. R.  380. 64. A direct foreign air carrier mayengage in the surface transport ofproperty (which it has carried by air)in a zone extending 35 miles from theboundary of the airport or city it isauthorized to serve. There is no suchgeographic limitation on a direct U. S. Air carrier, or on a U. S. Or foreignindirect air carrier. DURATION: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR: TransportationSUB-SECTOR: Air TransportationINDUSTRY CLASSIFICATION: SIC 0721 Crop Planting, Cultivating, and Protecting (limited to aerial dusting and spraying, dusting crops, with or without fertilizing, spraying crops, with or without fertilizing) SIC 4522 Air Transportation, services, sightseeing airplane services) SIC 7319 Advertising, Not Elsewhere Classified (limited to aerial advertising, sky writing) SIC 7335 Commercial Photography (limited to aerial photographic service, except mapmaking) SIC 7389 Business Services, Not Elsewhere Classified (limited to mapmaking, including aerial, pipeline and powerline inspection services, firefighting service, other than forestry or public) SIC 7997 Membership Sports & Recreation Clubs (limited to aviation clubs, membership) SIC 8299 Schools & Education Services, Not Elsewhere Classified (limited to flying instruction) SIC 8713 Surveying Services (limited to aerial surveying)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Federal Aviation Act of 1958, as amended; 49 U. S. C. App. 1508(b); 14 C. F. R. 375. For purposes of this entry, paragraph 3 of the Description governs. DESCRIPTION: Cross-Border Services1. Authorization from the Departmentof Transportation is required for theprovision of specialty air services inthe territory of the United States. Aperson of Canada or Mexico thatprovides aerial construction, heli-logging, aerial sightseeing, flight training, aerial inspection andsurveillance and aerial sprayingservices may not be authorized toprovide such services if there isinadequate reciprocity on the part ofthe country of the applicant, or ifapproval would otherwise not be in thepublic interest. 2. A person of Mexico or Canada maybe authorized to provide, subject tocompliance by that person with U. S. Safety regulations, aerial mapping, aerial surveying, aerial photography, forest fire management, fire fighting, aerial advertising, glider towing andparachute jumping. Investment3. Specialty air enterprises arerequired to comply with the samerequirements as those set out in theexception for air transportationcarriers described in the investmentexception for air transportation. DURATION:Cross-BorderParagraph 2 of the Description governson entry into force. A person of Canada or Mexico mayobtain, subject to compliance withU. S. Safety requirements, authorization to provide the followingspecialty air services in theterritory of the United States:(a) two years after entry into force of the Agreement, aerial construction and heli-logging;(b) three years after entry into force of the Agreement, aerial sightseeing, flight training and aerial inspection and surveillance services; and(c) six years after entry into force of the Agreement, aerial spraying services. Investment: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR: TransportationSUB-SECTOR: Land TransportationINDUSTRY CLASSIFICATION: SIC 4213 Trucking, Except Local SIC 4215 Courier Services, Except by Air SIC 4131 Intercity and Rural Bus Transportation SIC 4142 Bus Charter Service, Except Local SIC 4151 School Buses (limited to interstate transportation not related to school activity)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Bus Regulatory Reform Act of 1982, as amended, section 6, 49 U. S. C. 10922(l) (1) and (2) 49 U. S. C. 10530 (3) 49 U. S. C. 10329, 10330 and 11705 and 49 C. F. R. 1044 19 U. S. C. 1202 Memorandum of Understanding Between the United States of America and the United Mexican States on Facilitation of Charter/Tour Bus Service, December 3, 1990. DESCRIPTION: Cross-Border ServicesOperating authority from theInterstate Commerce Commission (ICC)is required to provide interstate orcross border bus or truck services inthe territory of the United States. Amoratorium has been imposed on newgrants of operating authority forpersons of Mexico, except forprovision of cross-border charter ortour bus services. Under the moratorium, persons ofMexico without operating authority mayoperate only within ICC BorderCommercial Zones, for which ICCoperating authority is not required. Persons of Mexico providing truckservices (including for hire, private, and exempt services) without operatingauthority are required to obtain acertificate of registration from theICC to enter the United States andoperate in the ICC Border CommercialZones. Persons of Mexico providingbus service are not required to obtainan ICC certificate of registration toprovide such service within the ICCBorder Commercial Zones. A person providing bus or truckservice between points in the UnitedStates is required to use UnitedStates-registered and either U. S. -built or duty-paid equipment. InvestmentThe moratorium has the effect of beingan investment restriction becauseenterprises of the United Statesproviding bus or truck services thatare owned or controlled by persons ofMexico may not obtain ICC operatingauthority. DURATION: On entry into force of this Agreement, the Description shall govern. Cross-Border ServicesA person of Mexico will be permittedto obtain operating authority toprovide:(a) three years after signature of this Agreement, cross-border truck services to or from border states (California, Arizona, New Mexico, and Texas), and such persons will be permitted to enter and depart the territory of United States through different ports of entry;(b) three years after entry into force of this Agreement, cross-border scheduled bus services; and(c) six years after entry into force of this Agreement, cross-border truck services. InvestmentA person of Mexico will be permittedto establish an enterprise in theUnited States to provide:(a) three years after signature of this Agreement, truck services for the distribution of international cargo between points in the United States; and(b) seven years after entry into force of this Agreement, bus services between points in the United States. Indeterminate: The moratorium willremain in place on grants of authorityfor the provision of truck services bypersons of Mexico between points inthe United States for thetransportation of goods other thaninternational cargo. ============================================================================= ANNEX I Schedule of United StatesSECTOR: Transportation ServicesSUB-SECTOR: Customs BrokersINDUSTRY CLASSIFICATION: SIC 4731 Arrangement of Transportation of Freight and CargoTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: 19 U. S. C. 1641(b)DESCRIPTION: Cross-Border Services and InvestmentOnly U. S. Citizens may obtain acustoms broker's license, which isrequired to conduct customs businesson behalf of another person. Acorporation, association, orpartnership established under the lawsof any state may receive a customsbroker's license if at least oneofficer of the corporation orassociation, or one member of thepartnership, holds a valid customsbroker's license. DURATION: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR: AllSUB-SECTOR:TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103)LEGAL CITATION: Securities Act of 1933, Rules 251 and 405, 17 C. F. R. 240. 251 and 240. 405 Securities Exchange Act of 1934, Section 12(b)(2), 15 U. S. C. 1(b)(2) and the Rules thereunder. DESCRIPTION: InvestmentForeign issuers, except for certainCanadian issuers, may not use thesmall business forms under theSecurities Act of 1933 to registersecurities. DURATION: Indeterminate============================================================================= ANNEX I Schedule of the United StatesSECTOR:SUBSECTOR:INDUSTRY CLASSIFICATION: SIC 4952 Sewerage SystemTYPE OF RESERVATION: Performance Requirements (Article 1106)LEGAL CITATION: Clean Water Act, 33 U. S. C. 1251 et seq. DESCRIPTION: InvestmentThe Clean Water Act authorizes grantsfor the construction of treatmentplants for municipal sewage orindustrial waste. Grant recipientsmay be privately-owned enterprises. The Act provides that grants shall bemade for treatment works only if sucharticles, materials, and supplies ashave been manufactured, mined orproduced in the United States will beused in the treatment works. TheAdministrator of the EnvironmentalProtection Agency has authority not toapply this provision, e. G. , if thecost of the articles in question isunreasonable. 33 U. S. C. 1295. DURATION: Indeterminate ANNEX I Schedule of CanadaSECTOR: AgricultureSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Farm Credit Act, R. S. C. 1985, c. F-2 as amended by R. S. C. 1985, c. 1 (4th Supp. ); S. C. 1991, c. 5, 53 Farm Credit Regulations, C. R. C. 1978, c. 644 as amended by SOR/81-560; SOR/82-495; SOR/83-198DESCRIPTION: InvestmentLoans by the Farm Credit Corporationmay be made only to:(a) individuals who are Canadian citizens or permanent residents;(b) farming corporations controlled by Canadian citizens or permanent residents; or(c) cooperative farm associations, all of whose members are Canadian citizens or permanent residents. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: All SectorsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102) Performance Requirements (Article 1106) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Investment Canada Act, R. S. C. 1985, c. 28, as amended by S. C. 1988, c. 65 Investment Canada Regulations, SOR/85-611, as amended by SOR/189-69 An Act to Amend the Investment Canada Act, (Bill C-89, introduced in Parliament on 18 June 1992)DESCRIPTION: Investment1. Under the Investment Canada Act, the following acquisitions of Canadianbusinesses by "non-Canadians" aresubject to review by InvestmentCanada:(1) all direct acquisitions of Canadian businesses with assets of $5 million or more;(2) all indirect acquisitions of Canadian businesses with assets of $50 million or more; and(3) indirect acquisitions of Canadian businesses with assets between $5 million and $50 million which represent more than 50 percent of the value, calculated in the prescribed manner, of the assets of all the entities the control of which is being acquired, directly or indirectly, in the transaction in question. 2. "Canadian business", "Canadian"and "non-Canadian" are defined in theInvestment Canada Act. A "non-Canadian" is an individual, governmentor agency thereof or an entity whichis not "Canadian". 3. In addition, specificacquisitions or new businesses indesignated types of businessactivities related to Canada'scultural heritage or nationalidentity, which are normallynotifiable, may be reviewed if theGovernor in Council authorizes areview in the public interest. 4. Investments subject to reviewunder the Investment Canada Act arenot to be implemented unless theMinister responsible for theInvestment Canada Act advises theapplicant that the investment islikely to be of net benefit to Canada. Such a determination is made inaccordance with six factors describedin the Act. 5. These factors are summarized asfollows:(a) the effect of the investment on the level and nature of economic activity in Canada, including the effect on employment, on the utilization of parts, components and services produced in Canada, and on exports from Canada;(b) the degree and significance of participation by Canadians in the investment;(c) the effect of the investment on productivity, industrial efficiency, technological development and product innovation in Canada;(d) the effect of the investment on competition within any industry or industries in Canada;(e) the compatibility of the investment with national industrial, economic and cultural policies, taking into consideration industrial, economic and cultural policy objectives enunciated by the government or legislature of any province likely to be significantly affected by the investment; and(f) the contribution of the investment to Canada's ability to compete in world markets. 6. In making a net benefitdetermination, the Minister, throughInvestment Canada, may review plansunder which the applicant demonstratesthe net benefit to Canada of theproposed acquisition. An applicantmay also submit undertakings to theMinister in connection with anyproposed acquisition which is thesubject of review. In the event ofnoncompliance with an undertaking byan applicant, the Minister may seek acourt order directing compliance orany other remedy authorized under theAct. 7. The establishment or acquisitionof Canadian businesses by non-Canadians, other than those describedabove, are to be notified to theagency administering the Act, Investment Canada. 8. Review of "acquisition ofcontrol", as defined in the InvestmentCanada Act, of a Canadian business byan American or Mexican will take placeif the value of the gross assets ofthe Canadian business is not less thanthe applicable thresholds, effectiveon the date of entry into force ofthis Agreement and adjusted on eachanniversary thereof. The calculationof the applicable review threshold isset out in the Duration section below. 9. The review threshold applicableto American and Mexican investors ishigher than those set out above. However, this higher review thresholddoes not apply in the followingsectors: uranium production andownership of uranium producingproperties; oil and gas; financialservices; transportation services andcultural businesses. 10. Indirect "acquisitions ofcontrol", as defined in the InvestmentCanada Act, of Canadian businesses by"American" and "Mexican" investors arenot reviewable. Notwithstanding thedefinition of "investor of a Party" inChapter Eleven, only investors who arenationals, or entities controlled bynationals, (as defined in theInvestment Canada Act) of the UnitedStates or Mexico, may benefit from thehigher review threshold. 11. Notwithstanding Article 1106(1), Canada reserves the right to imposerequirements, or enforce anycommitment or undertaking, inconnection with the establishment, acquisition, expansion, conduct oroperation of an investment of aninvestor of another Party for thetransfer of technology, productionprocess or other proprietary knowledgeto a national or enterprise, affiliated to the transferor, inCanada, in connection with the reviewof an acquisition of an investmentpursuant to the Investment Canada Act. 12. Except for requirements, commitments or undertakings related totechnology transfer as set out above, Article 1106(1) shall apply torequirements, commitments orundertakings imposed or enforced underthe Investment Canada Act. However, Article 1106(1) shall not be construedto apply to any requirement, commitment or undertaking imposed orenforced in connection with a reviewunder the Investment Canada Act, tolocate production, carry out researchand development, employ or trainworkers, or to construct or expandparticular facilities, in Canada. DURATION: Paragraphs 10, 11 and 12 of theDescription setting out Canada'sreservations and commitments withrespect to Articles 1102, 1106(1), and 1138 shall govern. For American and Mexican investors, the applicable threshold for thereview of a direct acquisition ofcontrol of a Canadian business shallbe:(a) for the twelve month period commencing on the date of entry into force of this Agreement, such monetary amount as determined in accordance with Annex 1607. 3 of the Canada-United State Free Trade Agreement;(b) commencing on the first anniversary of the date of entry into force of this Agreement, the monetary amount for the preceding year multiplied by an annual adjustment representing the increase in nominal Gross Domestic Product, as set out below. The calculation of the annualadjustment shall be determined inJanuary of each year after 1994 usingthe most recently available data aspublished by Statistics Canada andusing the following formula:Ann ual Adjustment = Current nominal GDP at market prices --------------------------------- ----------------------Previous year nominal GDP at market prices"Current nominal GDP at market prices"means the arithmetic mean of thenominal Gross Domestic Product atmarket prices for the most recent fourconsecutive quarters (seasonallyadjusted at annual rates). "Previous year nominal GDP at marketprices" means the arithmetic mean ofthe nominal Gross Domestic Product atmarket prices for the four consecutivequarters (seasonally adjusted atannual rates) for the comparableperiod in the year preceding the yearused in calculating the "currentnominal GDP at market prices". The amounts determined in this mannershall be rounded to the nearestmillion dollars. ============================================================================= ANNEX I Schedule of CanadaSECTOR: All SectorsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102) Senior Management (Article 1107)LEVEL OF GOVERNMENT: Federal ProvincialLEGAL CITATION:DESCRIPTION: InvestmentWhen selling or disposing of itsequity interests in, or the assets of, an existing state enterprise or anexisting governmental entity, Canadaand each province reserve the right toprohibit or impose limitations on theownership of such interests or assets, and on the ability of owners of suchinterests or assets to control anyresulting enterprise, by investors ofanother Party or non-Party or theirinvestments. In addition, Canada andeach province reserve the right toadopt or maintain any measure relatingto the nationality of seniormanagement or members of the board ofdirectors. For the purposes of this reservation:(a) any measure maintained, or adopted after the entry into force of this Agreement, prohibiting or imposing limitations on the ownership of equity interests or assets or nationality requirements described in this reservation shall be deemed to be an existing measure; and(b) "state enterprise" means an enterprise owned or controlled through ownership interests by Canada or a province and includes an enterprise established after the date of entry into force of this Agreement solely for the purposes of selling or disposing of equity interests in, or the assets of, an existing state enterprise or governmental entity. DURATION:The Description shall govern on entryinto force of this Agreement. Indeterminate. ============================================================================= ANNEX I Schedule of CanadaSECTOR: All SectorsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Canada Business Corporations Act, R. S. C. 1985, C. I-44, as amended by R. S. C. 1985, c. 27 (2nd Supp. ), R. S. C. 1985, c. 1 (4th Supp. ); S. C. 1990, c. 17; S. C. 1991, c. 45, 46, 47 Canada Corporations Act, R. S. C. 1970, C. C-32, as amended by R. S. C. 1970, c. C-10 (1st Supp. ); S. C. 1970-71-72, c. 43, 63; S. C. 1972, c. 17; S. C. 1974-75-76, c. 33; S. C. 1978-79, c. 11; S. C. 1985, c. 26; S. C. 1986, c. 26, 35 Canada Business Corporations Act Regulations SOR/79-316, as amended by SOR/79-513, SOR/79-728, SOR/80-873, SOR/81-3, SOR/81-189, SOR/81-868, SOR/82-187, SOR/83-511, SOR/83781, SOR/83-817, SOR/85-384, SOR/86-365, SOR/86-366, SOR/86-421, SOR/86-983, SOR/87-248, SOR/87-629, SOR/8863, SOR/88-491, SOR/89-159, SOR/89-323, SOR/90-660, SOR/91-567DESCRIPTION: InvestmentThe cited laws and regulations permitconstraints to be placed on issue, transfer and ownership of shares infederally incorporated businesscorporations. The object is to permitcorporations to meet Canadianownership requirements, under certainlaws as prescribed in the regulations, in sectors where such ownership isrequired as a condition to operate. In order to maintain certain"Canadian" ownership levels, corporations are permitted to sellshareholders' shares without theconsent of those shareholders, and topurchase the corporation's own shareson the open market. "Canadian" isdefined in the regulations. DURATION:Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: All SectorsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Canada Business Corporations Act, R. S. C. 1985, c. I-44 as amended R. S. C. 1985, c. 27 (2nd Supp. ), R. S. C. 1985, c. 1 (4th Supp. ); S. C. 1990, c. 17; S. C. 1991, c. 45, 46, 47 Canada Business Corporations Act Regulations, SOR/79-316, as amended SOR/79-513, SOR/79-728, SOR/80-873, SOR/81-3, SOR/81-189, SOR/81-868, SOR/82-187, SOR/83-511, SOR/83-781, SOR/83-817, SOR/85-384, SOR/86-365, SOR/86-366, SOR/86-421, SOR/86-983, SOR/87-248, SOR/87-629, SOR/88-63, SOR/88-491, SOR/89-159, SOR/89-323, SOR/90-660, SOR/91-567 Canada Corporations Act, R. S. C. 1970, c. C-32 Special Acts of Parliament incorporating specific companiesDESCRIPTION: InvestmentThe Canada Business Corporations Actrequires that a simple majority ofmembers of the board of directors, orof a committee thereof, of afederally-incorporated company must beresident Canadians. For the purposesof the Act the term "residentCanadian" is defined as an individualwho is a Canadian citizen ordinarilyresident in Canada, a citizen who is amember of a class as set out in theregulations, or a permanent residentas defined in the Immigration Actexcept a person who has beenordinarily resident in Canada for morethan one year after he became eligibleto apply for Canadian citizenship. In the case of a holding corporation, not more than 1/3 of the directorsneed be resident Canadians if theearnings in Canada of the holdingcorporation and its subsidiaries areless than 5% of the gross earnings ofthe holding corporation and itssubsidiaries. Under the Canada Corporations Act, asimple majority of the electeddirectors of a Special Act corporationmust be residents of Canada andcitizens of a Commonwealth country. This requirement applies to everyjoint stock company incorporatedsubsequent to 22 June 1869 by anySpecial Act of Parliament and anysubsequent amendments to such Acts. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: All SectorsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Citizenship Act, R. S. C. 1985, c. C-29 as amended by R. S. C. 1985 c. 28 (1st Supp. ); c. 30 (3rd Supp. ); c. 44 (3rd Supp. ); c. 28 (4th Supp. ) Foreign Ownership of Land Regulations, SOR/79-416; SOR/79-514; SOR/80-156; SOR/82-544DESCRIPTION: InvestmentUnder the Citizenship Act, a provinceis authorized to prohibit or restrictacquisitions of real property locatedin that province by non-Canadians. The Foreign Ownership of LandRegulations are made pursuant to theCitizenship Act and the AlbertaAgricultural and Recreational LandOwnership Act. In Alberta, anineligible person or foreign owned orcontrolled corporation may only holdan interest in controlled landconsisting of not more than 2 parcelscontaining, in the aggregate, not morethan 20 acres. An "ineligibleperson" is (1) an individual who isnot a Canadian citizen or permanentresident; (2) a foreign government oragency thereof; or (3) a corporationincorporated elsewhere than in Canada. "Controlled land" means land inAlberta but does not include (1) landother than land owned by the Crown;(2) land within a city, town, newtown, village, or summer village and(3) mines or minerals. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR:SUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Air Canada Public Participation Act, R. S. C. 1985, c. 35 (4th Supp. ) Canada Development Corporation Reorganization Act, S. C. 1985, c. 49 Petro-Canada Public Participation Act, S. C. 1991, c. 10 Canadian Arsenals Limited Divestiture Authorization Act, S. C. 1986, c. 20 Cooperative Energy Act, S. C. 1980-81-82-83, c. 108 Eldorado Nuclear Limited Reorganization and Divestiture Act, S. C. 1988, c. 41 Nordion and Theratronics Divestiture Authorization Act, S. C. 1990, c. 4DESCRIPTION: InvestmentNon-residents may not own more than aspecified percentage of the votingshares of the corporation to whicheach Act applies. For each company therestrictions are as follows:Air Canada: 25%Canada Development Corporation: 25%Petro-Canada Inc: 25%Canadian Arsenals Limited: 25%Eldorado Nuclear Limited: ownershipnot restricted but voting rightsrestricted to 25% of votes cast atmeetingsNordion Limited: 25%Theratronics Limited: 49%Cooperative Energy Corporation: 49%Non-resident is defined in the citedlaws to generally mean:(a) an individual, other than a Canadian citizen, who is not ordinarily resident in Canada;(b) a corporation incorporated, formed or otherwise organized outside Canada;(c) the government of a foreign state or any political subdivision thereof, or a person empowered to perform a function or duty on behalf of such a government;(d) a corporation that is controlled directly or indirectly by non-residents as defined in any of paragraphs (a) to (c);(e) a trust (i) established by a non-resident as defined in any of paragraphs (b) to (d), other than a trust for the administration of a pension fund for the benefit of individuals a majority of whom are residents, or (ii) in which non-residents as defined in any of paragraphs (a) to (d) have more than fifty per cent of the beneficial interest; or(f) a corporation that is controlled directly or indirectly by a trust described in paragraph (e). DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: All SectorsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Export and Import Permits Act, R. S. C. , 1985, c. E-19DESCRIPTION: Cross-Border ServicesOnly natural persons ordinarilyresident in Canada, enterprises havingtheir head office in Canada or branchoffices in Canada of a foreignenterprise may apply for and be issuedimport or export permits or a transitauthorization certificate for goodsand related services subject tocontrols pursuant to regulations ofthe Export and Import Permits Act. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: AutomotiveSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION:LEVEL OF GOVERNMENT: Performance Requirements (Article 1106) FederalLEGAL CITATION: Canada-United-States Free Trade Agreement Implementation ActDESCRIPTION: InvestmentArticle 1106(3) shall not apply to thegranting of waivers of customs dutiesconditioned, explicitly or implicitly, upon the fulfillment of performancerequirements by those manufacturers ofautomotive goods:(a) set out in Part One of Annex 1002. 1 of the Canada - United- States Free Trade Agreement, in accordance with the headnote to that Part; and(b) for the applicable periods specified in Article 1002(2) and (3) of the Canada - United-States Free Trade Agreement to those manufacturers of automotive goods set out in Parts Two and Three, respectively, of Annex 1002. 1 of that Agreement. DURATION: (a) Indeterminate(b) For Part Two, until January 1, 1998; and for Part Three, until January 1, 1996 or such earlier date specified in existing agreements between Canada and the recipient of the waiver. ============================================================================= ANNEX I Schedule of CanadaSECTOR: Business Service IndustriesSUB-SECTOR: Customs Brokerages and BrokersINDUSTRY CLASSIFICATION: SIC 7794 Customs Brokerages and BrokersTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Customs Act, R. S. C. , 1985, c. 41 (2nd Supp. ) Customs Brokers Licensing Regulations, SOR/86-1067DESCRIPTION: Cross-Border Services and Investment1. To be a licensed customs brokerin Canada, an individual must be aCanadian citizen or permanentresident. 2. To be a licensed customsbrokerage in Canada:(a) a corporation must be incorporated in Canada with a majority of its directors being Canadian citizens or permanent residents; and(b) a partnership must be composed of persons who are Canadian citizens or permanent residents, or corporations incorporated in Canada with a majority of their directors being Canadian citizens or permanent residents. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: Business Service IndustriesSUB-SECTOR: Duty Free ShopsINDUSTRY CLASSIFICATION: SIC 6599 Other Retail Stores, Not Elsewhere ClassifiedTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Customs Act, R. S. C. , 1986, c. 1 (2nd Supp. ) Duty Free Shop Regulations, SOR/86-1072, as amendedDESCRIPTION: Cross-Border Services and Investment1. To be a licensed duty free shopoperator at a land border crossing inCanada, an individual must:(a) be a Canadian citizen or permanent resident;(b) be of good character;(c) be principally resident in Canada; and(d) have resided in Canada for at least 183 days of the year preceding the year of application for the licence. 2. To be a licensed duty free shopoperator at a border crossing inCanada, a corporation must:(a) be incorporated in Canada; and(b) have all of its shares beneficially owned by Canadian citizens or permanent residents who meet the requirements of paragraph 1. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: Business Service IndustriesSUB-SECTOR: Examination Services relating to the Export and Import of Cultural PropertyINDUSTRY CLASSIFICATION: SIC 990 Other ServicesTYPE OF RESERVATION: Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Cultural Property Export and Import Act, R. S. C. 1985, c. C-51DESCRIPTION: Cross-Border ServicesFor purposes of the Cultural PropertyExport and Import Act an "expertexaminer" of cultural property must beeither a natural person who ordinarilyresides in Canada or a corporationthat has its head office in Canada ormaintains one or more establishmentsin Canada to which employees employedin connection with the business of thecorporation ordinarily report forwork. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: Business Service IndustriesSUB-SECTOR: Patent Agents and AgenciesINDUSTRY CLASSIFICATION: SIC 7499 Other Financial Intermediaries, Not Elsewhere Classified (Limited to Holders of Intellectual Property Rights)TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Patent Act, R. S. C. , 1985, c. P-4 Patent Rules, CRC, Vol. XIII, c. 1250, p. 10053 Patent Cooperation Treaty Regulations, SOR/89-453DESCRIPTION: Cross-Border Services1. To be able to represent personsin the presentation and prosecution ofapplications for patents or in otherbusiness before the Patent Office, apatent agent must be a resident ofCanada and registered by the PatentOffice. 2. To prosecute an application for apatent in Canada a registered patentagent who is not a resident of Canadamust appoint a registered patent agentwho is a resident of Canada as anassociate to prosecute theapplication. 3. Any firm may be added to thepatent register provided that it hasat least one member who is also on theregister. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: Business Service IndustriesSUB-SECTOR: Trade-Mark AgentsINDUSTRY CLASSIFICATION: SIC 7499 Other Financial Intermediaries, Not Elsewhere Classified (Limited to Holders of intellectual Property Rights)TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Trade-Marks Act, R. S. C. , 1985, c. T-13 Trade-Marks Regulations, CRC, Vol. XVIII, c. 1559, p. 13803, as amendedDESCRIPTION: Cross-Border Services1. To be able to represent personsin the presentation and prosecution ofapplications for trade-marks or inother business before the Trade-MarkOffice, a trade-mark agent must be aresident of Canada and registered bythe Trade-Mark Office. 2. To prosecute an application for atrade-mark in Canada, a registeredtrade-mark agent who is not residentin Canada must appoint a registeredtrade-mark agent who is resident inCanada as an associate to prosecutethe application. 3. Trade-mark agents who reside, andare registered (in good standing), ina Commonwealth country or the UnitedStates may be added to the register oftrade-mark agents. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: EnergySUB-SECTOR: Oil and GasINDUSTRY CLASSIFICATION: [To be provided]TYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Canada Petroleum Resources Act, R. S. C. 1985, c. 36 (2nd Supp. ) as amended by R. S. C. 1985, c. 21 (4th Supp. ), S. C. 1990, c. 8, 41. , S. C. 1991, c. 10 (partly in force), 24 (not in force), 46 (not in force) Territorial Lands Act, R. S. C. 1985, c. T-7 as amended by R. S. C. 1985, c. 7 (3rd Supp. )(partly in force); S. C. 1991, c. 2, 24 (not in force), 50 (not in force) Public Lands Grants Act, R. S. C. 1985, c. P-30 as amended R. S. C. 1985, c. 13 (1st Supp. ); S. C. 1991, c. 24 (not in force). Act repealed S. C. 1991, c. 50 (repealing legislation not in force) Canada-Newfoundland Atlantic Accord Implementation Act, S. C. 1987, c. 3 as amended by S. C. 1988, c. 28, S. C. 1990, c. 41; S. C. 1991, c. 46 (not in force), 49, 50 (not in force) Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act, S. C. 1988, c. 28 as amended by S. C. 1990, c. 28, 41; S. C. 1991, c. 46 (not in force), 49, 50 (not in force) Canada Oil and Gas Land Regulations, C. R. C. C. 1518 as amended SOR/80-590; SOR/82-663; SOR/89-144DESCRIPTION: InvestmentCanadian legislation contains certainqualifications for holders of oil andgas production licenses fordiscoveries made after March 5, 1982. These qualifications ensure thatholders of such licenses, or sharestherein, are Canadian citizensordinarily resident in Canada, permanent residents or corporationsincorporated in Canada. Notwithstanding qualification to holda production license, no productionlicense shall be issued fordiscoveries made after March 5, 1982unless the Minister of Energy, Minesand Resources is satisfied that theCanadian ownership rate of theinterest-owner in relation to theproduction license on the date ofissuance would not be less than 50%. "Interest-owner" is defined in theCanada Petroleum Resources Act to mean"an interest holder who holds theinterest or a group of interestholders who hold all the shares of theinterest". With respect to production licensesfor discoveries made prior to March 5, 1982, the Canadian ownershiprequirements are as set out in theCanada Oil and Gas Land Regulations. These qualifications and Canadianownership requirements are in respectof production licenses issued on"frontier lands" and the "offshoreareas" (areas not under provincialjurisdiction) as defined in thelegislation. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: EnergySUB-SECTOR: UraniumINDUSTRY CLASSIFICATION: [To be provided]TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Investment Canada Act, R. S. C. 1985, c. 28, as amended by S. C. 1988, c. 65 Investment Canada Regulations, SOR/85- 611 as amended by SOR/189-69 An Act to Amend the Investment Canada Act, (Bill C-89, introduced in Parliament on 18 June 1992) Policy on Non-resident Ownership in the Uranium Mining Sector, 1987DESCRIPTION: InvestmentNon-resident ownership of a uraniummining property is limited to 49% atthe stage of first production. Exceptions to this limit may bepermitted if it can be establishedthat the property is in factCanadian-controlled as defined in theInvestment Canada Act. Exemptions from the policy areallowed, subject to Cabinet approval, only in cases where Canadianparticipants in the ownership of theproperty cannot be found. Investmentsin properties by "non-Canadians", asdefined in the Investment Canada Act, prior to December 23, 1987, beyond thepermitted ownership level, are allowedto remain in place; however noincrease in non-Canadian ownership ispermitted. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: FisheriesSUB-SECTOR: Fish Harvesting and ProcessingINDUSTRY CLASSIFICATION: [To be provided]TYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Coastal Fisheries Protection Act, R. S. C. 1985, c. C-33 as amended by R. S. C. 1985, c. 31 (1st Supp. ); R. S. C. 1985, c. 39 (2nd Supp. ); S. C. 1990, c. 44 Fisheries Act, R. S. C. 1985, c. F-14 as amended by R. S. C. 1985, c. 31 (1st Supp. ); R. S. C. 1985, c. 35 (1st Supp. ); R. S. C. 1985, c. 40 (4th Supp. ); S. C. 1990, c. 16; S. C. 1990, c. 17 Policy on Foreign Investment in the Canadian Fisheries Sector, 1985 Commercial Fisheries Licensing Policy Coastal Fisheries Protection Regulations, C. R. C. , 1978, c. 413DESCRIPTION: InvestmentUnder the Coastal Fisheries ProtectionAct, "foreign" fishing vessels areprohibited from entering Canada's 200mile fishing zone except underauthority of a license or undertreaty. "Foreign" vessels are thosewhich are not "Canadian" as defined inthe Coastal Fisheries Protection Act. Under the Fisheries Act, The Ministerof Fisheries and Oceans has adiscretionary authority with respectto the issuance of licenses. Fish processing companies which have aforeign ownership level of more than49% are prohibited from holdingCanadian commercial fishing licenses. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: FisheriesSUB-SECTOR: Fishing-Related ServicesINDUSTRY CLASSIFICATION: SIC 032 Services Incidental to FishingTYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Coastal Fisheries Protection Act, R. S. C. , 1985, c. C-33DESCRIPTION: Cross-Border ServicesUnder the Coastal Fisheries ProtectionAct, the Department of Fisheries andOceans is responsible for controllingthe activities of foreign fishingvessels in Canada's ExclusiveFisheries Zone (EFZ), including accessto Canadian ports (port privileges). In general, the Department grants suchport privileges, including thepurchase of fuel and supplies, shiprepair, crew exchanges andtransshipment of fish catches, only tofishing vessels from countries withwhich it has favorable fisheryrelations, based primarily onadherence by the foreign country toCanadian and internationalconservation practices and policies. Exceptions to this general rule areallowed in cases of emergency ("forcemajeure") and where the specificprovisions of bilateral fisheriestreaties apply. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: Government FinanceSUB-SECTOR: SecuritiesINDUSTRY CLASSIFICATION: [To be provided]TYPE OF RESERVATION: National Treatment (Article 1202)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Financial Administrative Act, R. S. C. , 1985, Chap. F-11 and annual Orders-in- CouncilDESCRIPTION: InvestmentCanada Savings Bonds are issuedannually pursuant to the FinancialAdministration Act. Terms andconditions are set by Orders-in-Council. Sale of Canada Savings Bondsis restricted to individuals who areCanadian nationals. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Air TransportationINDUSTRY CLASSIFICATION: [To be provided]TYPE OF RESERVATION: National Treatment (Article 1102) Most Favored Nation Treatment (Article 1103) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: National Transportation Act, 1987, R. S. C. 1985, c. 28 (3rd Supp. ), as amended by R. S. C. 1985, c. 29 (3rd Supp. ); R. S. C. 1985 c. 19 (4th Supp. ); R. S. C. 1985, c. 32 (4th Supp. ) Aeronautics Act, R. S. C. 1985, c. A-2 as amended by R. S. C. 1985, c. 33 (1st Supp. ); R. S. C. 1985, c. 28 (3rd Supp. ) Air Regulations, C. R. C. 1978, c. 2 Aircraft Marking and Registration Regulations, SOR/90-591, as amended by SOR/91-504DESCRIPTION: InvestmentThe following "commercial airservices" are reserved to Canadian aircarriers or operators: domestic airtransportation services (cabotage);international scheduled airtransportation services reserved bybilateral agreements to Canadianairlines; and internationalnon-scheduled air transportationservices between Canada and a countryother than a foreign air carrier'sstate of registry ("fifth freedomcharters"). For specialty airservices, see Schedule of Canada, Annex I, p. I-C-42 and Schedule ofCanada, Annex II, p. II-C-9. Only qualified persons may providecommercial air services reserved toCanadian air carriers or operators. Non-Canadian investment in votingstock of enterprises providingcommercial air services that arereserved to Canadian air carriers oroperators is limited to 25% or to alesser percentage where control infact of the enterprise is otherwiseconsidered not to be held byCanadians. Non-Canadians are notpermitted, through voting interests orother forms of investment, to controlCanadian air carriers or operators. Aircraft other than state aircraft mayonly be registered in Canada byqualified persons. Aircraft notregistered in Canada are limited byregulation concerning the periodduring which they may be operated inCanada by Canadians. A qualified person is a Canadiancitizen or permanent resident, or acorporation incorporated by or underthe laws of Canada or a province andof which:(a) not less than 75 % of the voting interest is in fact owned and controlled by Canadian citizens or permanent residents or by a corporation meeting the requirements on Canadian ownership and control;(b) not less than 2/3 of its directors are Canadian citizens or permanent residents;(c) the executive head is a Canadian citizen or permanent resident; and(d) the principal place of business is in Canada. A corporation incorporated by or underthe laws of Canada or a province butthat does not meet the Canadianownership and control requirements mayonly register a private aircraft whenthe corporation is the sole owner andsubject to other limitations andrequirements of the Air Regulations. The Air Regulations also have theeffect of limiting "non-Canadian"corporations operating foreignregistered private aircraft withinCanada to the carriage of their ownemployees. A "non-Canadian"corporation is a corporation whichdoes not meet the Canadian ownershipand control requirements. All commercial air services operatingin Canada require a Canadian operatingcertificate to ensure their safety andsecurity. An operating certificateauthorizing the provision ofcommercial air services reserved toCanadian operators or air carriers isonly issued to qualified persons. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Air TransportationINDUSTRY CLASSIFICATION: SIC 4513 Non-Scheduled Air Transport, Specialty IndustryTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Aeronautics Act, R. S. C. , 1985, c. A-2, section 4. 2 Air Regulations, C. R. C. , Vol. I, c. 2, sections 700 and 702 Air Regulations Series 2, No. 2 (Aircraft Marking and Registration Regulations), SOR/90-591, section 19DESCRIPTION: Cross-Border Services and Investment1. A person requires a Canadianoperating certificate issued by theDepartment of Transport to providespecialty air services in theterritory of Canada. The Departmentof Transport will issue an operatingcertificate to a person applying forauthority to provide such services, subject to compliance by such personwith Canadian safety requirements. 2. Such operating certificate forthe provision of aerial construction, heli-logging, aerial inspection, aerial surveillance, flight training, aerial sightseeing, and aerialspraying services is not issued to aperson that is not "Canadian" asdefined in the applicable regulations(a Canadian national or a corporationincorporated and having its principalplace of business in Canada, its chiefexecutive officer and not fewer than2/3 of its directors as Canadiannationals, and not less than 75% ofits voting interest owned andcontrolled by persons otherwisemeeting these requirements). 3. A person of Mexico or of theUnited States may obtain an operatingcertificate, subject to compliance bysuch person with Canadian safetyrequirements, for the provision ofaerial mapping, aerial surveying, aerial photography, forest firemanagement, fire-fighting, aerialadvertising, glider towing andparachute jumping services. DURATION: Cross-Border ServicesParagraph 3 of the Description shallgovern upon entry into force of thisAgreement. A person of Mexico or of the UnitedStates will be permitted to obtain anoperating certificate, subject tocompliance with Canadian safetyrequirements, for the provision of thefollowing specialty air services:(a) two years after the entry into force of this Agreement, aerial construction and heli-logging services;(b) three years after the entry into force of this Agreement, aerial inspection, aerial surveillance, flight training, and aerial sightseeing services; and(c) six years after the entry into force of this Agreement, aerial spraying services. ============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Air TransportationINDUSTRY CLASSIFICATION: SIC 4523 Aircraft Servicing Industry SIC 3211 Aircraft and Aircraft Parts IndustryTYPE OF RESERVATION: Most-Favored-Nation Treatment (Article 1203) Local Presence (1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Aeronautics Act, R. S. C. , 1985, c. A-2, section 4. 9 Air Regulations, Series 2, No. 11 [ ] Airworthiness Manual, chapters 573 and 575 [ ] Agreement Concerning Airworthiness Certification, Exchange of Letters between Canada and the United States, dated August 31, 1984, CTS______. DESCRIPTION: Cross-Border ServicesAircraft repair, overhaul andmaintenance activities which arerequired to maintain the airworthinessof Canadian-registered aircraft mustbe performed by Canadian-certifiedpersons. Such certifications are notprovided for enterprises locatedoutside Canada, except sub-organizations of approved maintenanceorganizations that are themselveslocated in Canada. Pursuant to an airworthiness agreementbetween Canada and the United States, Canada recognizes the certificationsand oversight provided by the UnitedStates for all repair, maintenance andoverhaul activities performed by U. S. -certified persons, including theindividual performing the work, located in the United States. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Land TransportationINDUSTRY CLASSIFICATION: SIC 456 Truck Transport Industries SIC 4572 Interurban and Rural Transit Systems Industry SIC 4573 School Bus Operations Industry SIC 4574 Charter and Sightseeing Bus Services IndustryTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEGAL CITATION: Motor Vehicle Transport Act, 1987, R. S. C. , 1985, c. 29, (3rd Supp. ), Parts I and II National Transportation Act, 1987, R. S. C. , 1985, c. 28 (3rd Supp. ), Part IV Customs Tariff, R. S. C. , 1985, c. 41 (3rd Supp. ), subsection 19(1)DESCRIPTION: Cross-Border ServicesOnly persons of Canada, usingCanadian-built or duty-paid trucks orbuses, may provide truck or busservices between points in theterritory of Canada. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Water Transport Industries SIC 4553 Marine Salvage Industry SIC 4559 Other Service Industries Incidental to Water TransportTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Canada Shipping Act, R. S. C. , 1985, c. S-9, sections 6 and 7DESCRIPTION: Cross-Border Services and InvestmentTo register a ship in Canada for thepurpose of providing internationalmaritime transportation services, theowner of the ship must be:(a) a Canadian citizen or a citizen of a Commonwealth country, or(b) a corporation incorporated under the laws of, and having its principal place of business in, Canada or a Commonwealth country. For domestic maritime transportationservices (cabotage), see Schedule ofCanada, Annex II, p. II-C-10. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Water Transport Industries SIC 4553 Marine Salvage Industry SIC 4554 Piloting Service, Water Transport Industry SIC 4559 Other Service Industries Incidental to Water TransportTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Canada Shipping Act, R. S. C. , 1985, c. S-9, Part IIDESCRIPTION: Cross-Border ServicesMasters, mates, and engineers arerequired to be certified by theDepartment of Transport as ship'sofficers while engaged on a Canadian-registered vessel. Only Canadiannationals may be certified as ship'sofficers. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 4554 Piloting Service, Water Transport IndustryTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Pilotage Act, R. S. C. , 1985, c. P-14 General Pilotage Regulations, C. R. C. , Vol. XIII c. 1263 Atlantic Pilotage Authority Regulations, C. R. C. Vol. XIII, c. 1264 Laurentian Pilotage Authority Regulations, C. R. C. , Vol. XIII, c. 1268 Great Lakes Pilotage Regulations, C. R. C. , Vol. XIII, c. 1266 Pacific Pilotage Regulations, C. R. C. , Vol. XIII, c. 1270DESCRIPTION: Cross-Border ServicesA licence issued by the Department ofTransport is required to providepilotage services in Canada. OnlyCanadian citizens or permanentresidents may obtain such licence. Apermanent resident of Canada who hasbeen issued a pilot's licence mustbecome a Canadian citizen within fiveyears of receipt of such licence inorder to retain it. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 454 Water Transport IndustryTYPE OF RESERVATION: Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Shipping Conference Exemption Act, 1987, R. S. C. , 1985, c. 17 (3rd Supp. ), section 18DESCRIPTION: Cross-Border ServicesMembers of a shipping conference shallmaintain jointly an office or agencyin the region of Canada where theyoperate. A shipping conference is anassociation of ocean carriers that hasthe purpose or effect of regulatingrates and conditions for thetransportation by such carriers ofgoods by water. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing IndustryTYPE OF RESERVATION: Most-Favored-Nation Treatment (Article 1203)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Coasting Trade Act, S. C. , 1992, c. 31, subsection 3(5)DESCRIPTION: Cross-Border ServicesThe prohibitions under the CoastingTrade Act set out in Schedule ofCanada, Annex II, p. II-C-10 do notapply to any vessel that is owned bythe U. S. Government when used solelyfor the purpose of transporting goodsowned by the U. S. Government from theterritory of Canada to supply DistantEarly Warning sites. DURATION: Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: EnergySUB-SECTOR: Oil and GasINDUSTRY CLASSIFICATION: [To be provided]TYPE OF RESERVATION: Performance Requirements (Article 1106)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Canada Oil and Gas Operations Act (in force as of September 1, 1992) Hibernia Development Project ActDESCRIPTION:1. The terms and conditions ofgovernment assistance for the Hiberniaproject require that certain goods andservices be sourced in Newfoundlandand in Canada and that the projectoperator undertakes, on a "bestefforts" basis, to achieve specificCanadian and Newfoundland contentlevels. 2. In addition, Canada reserves theright to impose any requirement orenforce any commitment or undertakingfor the transfer of technology, aproduction process or otherproprietary knowledge to a national orenterprise in Canada, in connectionwith the Hibernia project. DURATION: For purposes of this entry, paragraph2 of the Description shall govern withrespect to Canada's reservation to theobligations of Article 1106(1) (f). Indeterminate============================================================================= ANNEX I Schedule of CanadaSECTOR: EnergySUB-SECTOR: Oil and GasINDUSTRY CLASSIFICATION: [To be provided]TYPE OF RESERVATION: Performance Requirements (Article 1106) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Canada Oil and Gas Operation Act, (in force as of September 1, 1992) Canada-Nova Scotia Offshore Petroleum Resources Accord Implementation Act, S. C. 1988, c. 28 Canada-Newfoundland Atlantic Accord, S. C. 1987, c. 3 Yukon Oil and Gas Accord (under negotiation) Northwest Territories Oil and Gas Accord (under negotiation)DESCRIPTION:1. Under the Canada Oil and GasOperations Act, the Minister ofEnergy, Mines and Resources requiresthe applicant to submit a "benefitsplan". Approval of the benefits planis required to receive authorizationto proceed with any oil and gasdevelopment project. 2. A "benefits plan" means a planfor the employment of Canadians andfor providing Canadian manufacturers, consultants, contractors and servicecompanies with a full and fairopportunity to participate on acompetitive basis in the supply ofgoods and services used in anyproposed work or activity referred toin the benefits plan. The Act permitsthe Minister to impose an additionalrequirement on the applicant, as partof the benefits plan, to ensure thatdisadvantaged individuals or groupshave access to training and employmentopportunities or can participate inthe supply of goods and services usedin any proposed work referred to inthe benefits plan. Similar provisionswill be included in the Yukon andNorthwest Territories Accords. 3. The Canada-Nova Scotia OffshorePetroleum Resources AccordImplementation Act and the Canada-Newfoundland Atlantic AccordImplementation Act have the samerequirement for a "benefits plan" butalso require that the "benefits plan"ensure that:(a) before carrying out any work or activity in the offshore area the corporation or other body submitting the plan shall establish in the Province an office where appropriate levels of decision-making are to take place;(b) expenditures shall be made for research and development to be carried out in the Province, and for education and training to be provided in the Province; and(c) first consideration shall be given to goods produced or services provided from within the Province, where those goods or services are competitive in terms of fair market price, quality and delivery. 4. The Boards administering thebenefits plan under these Acts mayalso require that the plan includeprovisions to ensure thatdisadvantaged individuals or groups orcorporations owned or cooperativesoperated by them participate in thesupply of goods and services used inany proposed work or activity referredin the benefits plan. 5. In addition, Canada reserves theright to impose any requirement orenforce any commitment or undertakingfor the transfer of technology, aproduction process or otherproprietary knowledge to a national orenterprise in Canada, in connectionwith the approval of developmentprojects under the Acts cited above. DURATION: For purposes of this entry, paragraph5 of the Description shall govern withrespect to Canada's reservation to theobligations of Article 1106(1) (f). For purposes of this entry, the YukonOil and Gas Accord and the NorthwestTerritories Oil and Gas Accord shallbe deemed to be existing measures, upon completion of their negotiation. Indeterminate ANNEX I Schedule of MexicoSECTOR: All sectorsSUB-SECTOR: All sub-sectorsINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution). T¡tulo I Cap¡tulo I. Ley de Nacionalidad y Naturalizaci¢n(Nationality and Naturalization Law). Cap¡tulo VI (Disposiciones generales)Ley Org nica de la Fracci¢n I delArt¡culo 27 de la Constituci¢n(Organic Law of the First Section ofArticle 27 of the United MexicanStates Political Constitution). Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment). Cap¡tulos I y IV (Objetoy Fideicomisos en frontera ylitorales)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment). T¡tulo III Cap¡tulo I y T¡tulo IIICap¡tulo III. (Inversi¢n extranjeramediante fideicomisos)DESCRIPTION: InvestmentForeigners and foreign enterprises, asdefined in the Constituci¢n Pol¡ticade los Estados Unidos Mexicanos; andMexican enterprises without aforeigners' exclusion clause may notacquire "direct dominion" (dominiodirecto) over land and water in a 100kilometers strip along the country'sborders or in a 50 kilometers stripinland from its coasts (the RestrictedZone). Nevertheless, foreigners, foreignenterprises and Mexican enterprisesmay acquire "Certificados deParticipaci¢n Ordinaria" (CPO's). SuchCPO's grant to the beneficiaries theright to use and enjoy the real estateand to receive the profits that it mayobtain from the profitable use of theproperty. The CPO's are issued by a Mexicancredit institution that has beengranted authorization to acquirethrough trust the title to real estateintended for industrial and touristactivities in the Restricted Zone fora period not to exceed 30 years. The trust is renewable if:(a) The beneficiaries of the trust which is to be extinguished or terminated will be beneficiaries of the new trust;(b) the new trust is to be executed under the same terms and conditions as the trust which is to be extinguished or terminated, in respect of the purposes of the trust, the use of real estate and its characteristics;(c) the respective permits are requested within a period of 360 to 181 days prior to the trust be extinguished or terminated; and(d) the provisions of the Ley para Promover la Inversi¢n Mexicana y Regular la Inversi¢n Extranjera and its regulations are observed. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: All sectorsSUB-SECTOR: All sub-sectorsINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: National Treatment (Article 1102)LEGAL CITATION: Ley Para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment). Reglamento de la Ley Para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment). DESCRIPTION: InvestmentThe Comisi¢n Nacional de InversionesExtranjeras in order to evaluate theapplications submitted to itsconsideration (acquisitions orestablishment of investments inrestricted activities as set out inthis Schedule), shall take intoaccount the following criteria:(a) Its effects on employment and training;(b) Its technological contribution;(c) In general its contribution to increase the Mexican industrial production and competitiveness. The Comisi¢n Nacional de InversionesExtranjeras may impose performancerequirements which are not prohibitedby Article 1106 of the InvestmentChapter. DURATION: Description shall govern upon entryinto force of this Agreement. ============================================================================= ANNEX I Schedule of MexicoSECTOR: All sectorsSUB-SECTOR: All sub-sectorsINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment). Reglamento de la Ley Para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment). DESCRIPTION: InvestmentMexico will review the acquisition, whether directly or indirectly, ofmore than 49% of the ownershipinterest of a Mexican enterprise in anunrestricted sector, that is owned orcontrolled by Mexican nationals, directly or indirectly, by an investorof another Party if the value of thegross assets of the Mexican enterpriseis not less than the applicablethresholds, effective on the date ofentry into force of this Agreement andadjusted on each anniversary thereof. The calculation of the applicablereview thresholds is set out in thefollowing section below. DURATION: Description shall govern upon entryinto force of this Agreement. The basis for calculating thethreshold will be:(a) USD 25 million, for the three year period commencing on the date of entry into force of this Agreement;(b) USD 50 million, for the three year period commencing on the fourth year after the date of entry into force of this Agreement;(c) USD 75 million, for the three year period commencing on the seventh year after the entry into force of this Agreement;(d) USD 150 million, for the tenth year after entry into force of this Agreement. Beginning with the Agreement's secondyear these thresholds shall beadjusted for cumulative inflationbased on the US GDP price deflatorfrom the date of entry into force ofthis Agreement. Beginning with year eleven after entryinto force of this Agreement, thethreshold will be adjusted for growthin nominal Mexican GDP--but in no casewill the threshold to be appliedexceed that of Canada. ============================================================================= ANNEX I Schedule of MexicoSECTOR: All sectorsSUB-SECTOR: All sub-sectorsINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: National Treatment (Article 1102) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution). Ley General de Sociedades Cooperativas(General Law of CooperativeCompanies). T¡tulo I Cap¡tulo I yT¡tulo II Cap¡tulo IIDESCRIPTION: InvestmentNo more than 10 percent of the personsparticipating in a Mexican CooperativeProduction enterprise may beforeigners. Foreigners cannot engage in generaladministrative functions. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: All sectorsSUB-SECTOR: All sub-sectorsINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal para el Fomento de la Microindustria (Law to Promote the Microindustry). DESCRIPTION: InvestmentOnly Mexican nationals and Mexicanenterprises with foreigners' exclusionclause may qualify as microindustryenterprises. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: Agriculture, Livestock, Forestry, and Lumber ActivitiesSUB-SECTOR: Agriculture, Livestock or ForestryINDUSTRY CLASSIFICATION: CMAP 1111 Agriculture CMAP 1112 Livestock CMAP 120011 Forestry CMAP 120012 Exploitation of Forest Nurseries CMAP 120030 Collection of Forest Products CMAP 120040 Falling TreesTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos (United Mexican States Political Constitution). Ley Agraria (Agrarian Law). T¡tulo VI, DESCRIPTION: InvestmentAll enterprises constituted in Mexicowhich own land for agriculture, livestock or forestry purposes, mustissue a special type of shares ("T"shares) which represent the value ofthe aforementioned land at the time ofits acquisition. Investors of anotherParty and their investments may own upto 49 percent of such "T" shares. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Entertainment Services (Broadcasting and Multipoint Distribution Systems, (MDS), and Cable Television)INDUSTRY CLASSIFICATION: CMAP 941104 Private Production and Transmission of Radio Programs (Limited to Production and Transmission of Radio Programs, MDS and uninterrupted music) CMAP 941105 Private Services of Production, Transmission and Repetition of Television Programming (Limited to Production, Transmission and Repetition of Television Programs, MDS, Direct Broadcasting Systems, and High Definition Television and Cable Television)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal de Radio y Televisi¢n(Radio and Television Federal Law), T¡tulo IV (Funcionamiento), Cap¡tuloIII (Programaci¢n)Reglamento de la Ley Federal de Radioy Televisi¢n y de la Ley de laIndustria Cinematogr fica relativo alcontenido de las transmisiones deRadio y Televisi¢n (Regulations of theRadio and Television Federal Law andMotion Picture Industry Law relatingto Radio o Television Content), T¡tuloIII (Programaci¢n)Reglamento del Servicio de Televisi¢npor Cable, (Cable TelevisionRegulations) Cap¡tulo VI(Programaci¢n)DESCRIPTION: Cross-Border ServicesFor the protection of copyrights aholder of a concession for acommercial broadcast station or for acable television system in Mexico isrequired to obtain an authorizationfrom the Secretar¡a de Gobernaci¢n toimport in any form radio or televisionprogramming for broadcast or cabledistribution of such programmingwithin Mexico. The authorization will be granted ifthe request includes documentationshowing that the foreign government, sponsoring international organization, or the private entrepreneur ororganizer has granted the license("derechos") to retransmit ordistribute by cable such program. ============================================================================= ANNEX I Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Entertainment Services (Cable Television)INDUSTRY CLASSIFICATION: CMAP 941105 Private Services of Production, Transmission and Retransmission of Television Programming (Limited to cable television)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos(United Mexican StatesPolitical Constitution), Article 32Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Libro I Cap¡tulo III (Concesiones, Permisos y Contratos)Ley Federal de Radio y Televisi¢n(Radio and Television Federal Law), T¡tulo III, (Concesiones, Permisos eInstalaciones)Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento del Servicio de Televisi¢npor Cable (Cable TelevisionRegulations), Cap¡tulo II(Concesiones)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: Cross-Border Services1. A concession granted by theSecretar¡a de Comunicaciones yTransportes is required to constructand operate, or to operate, cabletelevision systems. Such concession isgranted only to Mexican nationals orMexican enterprises. Investment:2. Investors of another Party andtheir investments may own, directly orindirectly, up to 49 percent of anenterprise established or to beestablished in Mexico which owns oroperates a cable television systems orprovides cable television services. DURATION: Cross-Border ServicesIndeterminate. InvestmentParagraph 2 of the description shallgovern upon entry into force of thisAgreement; subject to discussion bythe Parties five years after the entryinto force of this Agreement. ============================================================================= ANNEX I Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Entertainment ServicesINDUSTRY CLASSIFICATION: CMAP 941103 Private Exhibition of Films (cinema)TYPE OF RESERVATION: National Treatment (Article 1202) Performance Requirements (Article 1106)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de la Industria Cinematogr fica(Motion Picture Industry Law)Reglamento de la Ley de la IndustriaCinematogr fica (Regulations of theMotion Picture Industry)DESCRIPTION: Cross-Border Services and InvestmentOn an annual basis, 30 percent of thescreen time of every theater may bereserved for films produced, eitherwithin or outside Mexico, by Mexicanenterprises. DURATION: The description shall govern uponentry into force of this Agreement. Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Entertainment Services (Broadcasting, Multipoint Distribution Systems (MDS), and Cable Television)INDUSTRY CLASSIFICATION: CMAP 941104 Private Production and Transmission of Radio Programs (Limited to Production and Transmission of Radio Programs, MDS and uninterrupted music) CMAP 941105 Private Services of Production, Transmission and Retransmission of Television Programming (Limited to Production, Transmission and Retransmission of Television Programs, MDS, Direct Broadcasting Systems, High-Definition Television and Cable Television)TYPE OF RESERVATION: National Treatment (Article 1202) Performance Requirement (Article 1106)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal de Radio y Televisi¢n, (Radio and Television Federal Law), T¡tulo IV (Funcionamiento), Cap¡tuloIII (Programaci¢n)Reglamento de la Ley Federal de Radioy Televisi¢n y de la Ley de laIndustria Cinematogr fica relativo alcontenido de las transmisiones deRadio y Televisi¢n (Regulation ofRadio and Television Federal Law andRegulations of the Motion PictureIndustry Law relating to BroadcastingContent), T¡tulo III (Programaci¢n)Reglamento del Servicio de Televisi¢npor Cable (Cable TelevisionRegulations), Cap¡tulo VI(Programaci¢n)DESCRIPTION: Cross-Border Services and InvestmentThe use of the Spanish language isrequired for the broadcast, cable ormultipoint-distribution-systemdistribution of radio or televisionprogramming, except when theSecretar¡a de Gobernaci¢n authorizesthe use of another language. A majority of personnel involved inthe production and performance of alive broadcast programming activitymust be Mexican nationals. To perform in Mexico, a radio andtelevision announcer or presentor whois not a Mexican national must obtainan authorization from the Secretar¡ade Gobernaci¢n. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Entertainment Services (Broadcasting, and Multipoint Distribution Systems and Cable Television)INDUSTRY CLASSIFICATION: CMAP 941105 Private Services of Production, Transmission and Retransmission of Television Programming (Limited to Broadcasting, Cable Television and Multipoint Distribution Systems)TYPE OF RESERVATION: National Treatment (Article 1202)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal de Radio y Televisi¢n, (Radio and Television Federal Law), T¡tulo IV (Funcionamiento), Cap¡tuloIII (Programaci¢n)Reglamento de la Ley Federal de Radioy Televisi¢n y de la Ley de laIndustria Cinematogr fica relativo alcontenido de las transmisiones deRadio y Televisi¢n (Regulations of theRadio and Television Federal Law andRegulation of the Motion PictureIndustry Law relating to BroadcastingContent), T¡tulo III (Programaci¢n)Reglamento del Servicio de Televisi¢npor Cable, (Cable TelevisionRegulations), Cap¡tulo VI(Programaci¢n)DESCRIPTION: Cross-Border Services and InvestmentThe use of the Spanish language orSpanish subtitles is required foradvertising broadcast or distributedin Mexico. Advertising included in programstransmitted directly from outsideMexico may not be broadcast in suchprograms when they are retransmittedor distributed in MexicoDURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Telecommunications (Enhanced or Value-Added Services)INDUSTRY CLASSIFICATION: CMAP 720006 Other Telecomunications Services (Limited to Enhanced or Value-Added Services)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Libro Primero, Cap¡tulo III(Concesiones, Permisos y Contratos)Reglamento de Telecomunicaciones(Telecommunications Regulations), Cap¡tulo 4, (Permisos)Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: Cross-border Services1. A provider of enhanced orvalue-added services must obtain apermit issued by the Secretar¡a deComunicaciones y Transportes. 2. Persons of Canada or the UnitedStates may provide all enhanced orvalue-added services, except videotextor enhanced packet switching services, without the need to establish localpresence. 3. Videotext and enhanced packetswitching services may not be providedon a cross-border basis. Investment1. Investors of another Party andtheir investments may own 100 percentof an enterprise established or to beestablished in Mexico that providesany telecommunication enhanced orvalue-added service, other thanvideotext or enhanced packet switchingservices. 2. Investors of another Party andtheir investments may own, directly orindirectly, up to 49 percent of anenterprise established or to beestablished in Mexico that providesvideotext or enhanced packet switchingservices. DURATION: Cross-border ServicesParagraphs 2 and 3 of the descriptionshall govern upon entry into force ofthis Agreement. Commencing July 1, 1995, a person ofCanada or the United States mayprovide videotext or enhanced packetswitching services without the need toestablish a local presence in Mexico. InvestmentParagraph 1 of the description shallgovern upon entry into force of thisAgreement. Commencing July 1, 1995, investors ofanother Party and their investmentsmay own 100 percent of an enterpriseestablished or to be established inMexico that provides videotext orenhanced packet switching services. ============================================================================= ANNEX I Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Transport Telecommunications General Means of CommunicationINDUSTRY CLASSIFICATION: CMAP 7200 Communications CMAP 7100 Transport CMAP 9411 Radio and TelevisionTYPE OF RESERVATION: National Treatment (Articles 1102, 1202)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law)Ley Federal de Radio y Televisi¢n, (Radio and Television Federal Law)Reglamento del Servicio de Televisi¢npor Cable (Cable TelevisionRegulations)Reglamento de Telecomunicaciones(Telecommunications Regulations)DESCRIPTION: InvestmentForeign Governments and Foreign stateenterprises or their investments maynot invest, directly or indirectly, ina Mexican enterprise providingservices related to the general meansof communication set out herein. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: ConstructionSUB-SECTOR:INDUSTRY CLASSIFICATION: CMAP 501101 Residential or Housing Construction CMAP 501102 Non-residential Construction CMAP 501200 Construction of Urbanization Projects CMAP 501311 Construction of Industrial Plants CMAP 501312 Construction of Electricity Generation Plants CMAP 501321 Construction and Maintenance of Electricity Conduction Lines and Networks CMAP 501411 Mounting or Installing Concrete Structures CMAP 501412 Mounting or Installing Metallic Structures CMAP 501421 Marine and River Works CMAP 501422 Construction of Routes for Land Transportation CMAP 502001 Hydraulic and Sanitation Installations in Buildings CMAP 502002 Electrical Installations in Buildings CMAP 502003 Telecommunications Installations CMAP 502004 Other Special Installations CMAP 503001 Earth Movement CMAP 503002 Cement Works CMAP 503003 Underground Excavations CMAP 503004 Underwater Works CMAP 503005 Installation of Signs and Warnings CMAP 503006 Demolition CMAP 503007 Construction of Water Purification or Treatment Plants CMAP 503009 Drilling Water Wells CMAP 503010 Construction Activities not Elsewhere ClassifiedTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment), Cap¡tulos II y IIIReglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment). DESCRIPTION: InvestmentPrior approval of the Comisi¢nNacional de Inversiones Extranjeras isrequired for investors of anotherParty or their investments to own, directly or indirectly, more than 49percent of the ownership interests ofan enterprise established or to beestablished in Mexico that carry outconstruction activities as set out inthe classification mentioned above. DURATION: Five years after the entry into forceof this Agreement, investors ofanother Party and their investmentsmay own 100 percent of the ownershipinterests of such enterprises withoutComisi¢n Nacional de InversionesExtranjeras' prior approval. ============================================================================= ANNEX I Schedule of MexicoSECTOR: ConstructionSUB-SECTOR: Not applicableINDUSTRY CLASSIFICATION: CMAP 503008 Exploration and drilling works and services done by specialized contractors excluding the case when these same works and services are done by personnel of PEMEX in the activities classified under industrial classification 220000. TYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution), T¡tuloI Cap¡tulo I. Ley Reglamentaria del Art¡culo 27Constitucional en el Ramo del Petr¢leo(Regulatory Law of Article 27 of theUnited Mexican States PoliticalConstitution in matters related withPetroleum)Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment) Cap¡tulo IReglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: InvestmentRisk-sharing services contracts areprohibited. Prior approval of the Comisi¢nNacional de Inversiones Extranjeras isrequired for investors of anotherParty and their investments to own, directly or indirectly, more than 49percent of the ownership interests ofan enterprise established or to beestablished in Mexico involved in"non-risk sharing" service contractsfor the drilling of petroleum and gaswells. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: Educational ServicesSUB-SECTOR: Private SchoolsINDUSTRY CLASSIFICATION: CMAP 921101 Preschool Private Educational Services CMAP 921102 Primary School Private Educational Services CMAP 921103 Secondary School Private Educational Services CMAP 921104 Middle High School Private Educational Services CMAP 921105 Higher Private Educational Services CMAP 921106 Private Educational Services that Combine Preschool, Primary, Secondary, Middle High and Higher InstructionTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)Ley Para la Coordinaci¢n de laEducaci¢n Superior (Law for theCoordination of the Higher Education), Cap¡tulo IILey Federal de Educaci¢n (EducationLaw), Cap¡tulo IIIDESCRIPTION: InvestmentPrior approval of the Comisi¢nNacional de Inversiones Extranjeras isrequired for investors of anotherParty or their investments to own, directly or indirectly, more than 49percent of the ownership interests ofan enterprise established or to beestablished in Mexico that operateseducational services as set out in theclassification mentioned above. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: EnergySUB-SECTOR: Commercialization of Petroleum ProductsINDUSTRY CLASSIFICATION: CMAP 623050 Retail Sales of Gas of liquified petroleum gas (LPG), including the installation of fixed deposits when the facilities are built by the same establishment. TYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Reglamentaria del Art¡culo 27Constitucional en el Ramo del Petr¢leo(Regulatory Law of Article 27 of theUnited Mexican States PoliticalConstitution related to Oil). Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment). Cap¡tulo IReglamento de la Ley Reglamentaria delArt¡culo 27 Constitucional en el Ramode Petr¢leo (Reglamentation of theRegulatory Law of Article 27 of theUnited Mexican States PoliticalConstitution related to Oil)Reglamento de la Distribuci¢n deGas. (Regulations of the Distributionof LPG). Cap¡tulos I y II(Autorizaciones y permisos)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment). DESCRIPTION: InvestmentOnly Mexican nationals and Mexicanenterprises with foreigners' exclusionclause may engage in the distributionof liquified Petroleum gas. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: EnergySUB-SECTOR: Commercialization of Petroleum ProductsINDUSTRY CLASSIFICATION: CMAP 6260000 Retail Outlets of Gasoline and Diesel. Includes Lubricants, Oils and Additives for Resale in these Retail Outlets. TYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Reglamentaria del Art¡culo 27Constitucional en el Ramo del Petr¢leo(Regulatory Law of Article 27 of theUnited Mexican States PoliticalConstitution related to Oil)Reglamento de la Ley Reglamentaria delArt¡culo 27 Constitucional en el Ramodel Petr¢leo (Reglamentation of theRegulatory Law of Article 27 of theUnited Mexican States PoliticalConstitution related to Oil). DESCRIPTION: Only Mexican nationals and Mexicanenterprises with foreigners' exclusionclause may acquire, establish andoperate retail outlets engaged in theresale of gasoline, diesel, lubricants, oils and additives. DURATION: The description shall govern uponentry into force of this Agreement============================================================================= ANNEX I Schedule of MexicoSECTOR: FishingSUBÄSECTOR: FishingINDUSTRY CLASSIFICATION: CMAP 130011 Fishing on the High Seas CMAP 130012 Coastal Fishing CMAP 130013 Fresh Water Fishing CMAP 130014 Fishing in the Economic Exclusive ZoneTYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de Pesca (Fishing Law) Cap¡tulo I. Ley de Navegaci¢n y Comercio Mar¡timo(Navigation and Maritime CommerceLaw), Libro II T¡tulo Unico Cap¡tulo VLey Federal del Mar (Federal Sea Law)Ley Federal de Aguas (Federal Law ofWater)Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment). Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment). DESCRIPTION: InvestmentWith respect to enterprisesestablished or to be established inMexico performing coastal fishing, fresh water fishing and fishing in theexclusive economic zone, investors ofanother Party and their investmentsmay own, directly or indirectly, up to49 percent of the ownership interestof such enterprises. With respect to enterprisesestablished or to be established inMexico performing fishing on the highseas, prior approval of the ComisionNacional de Inversiones Extranjeras isrequired for investors of anotherParty or their investments to own, directly or indirectly, more than 49percent of the ownership interests ofenterprises established or to beestablished in Mexico performingfishing on the high seas. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: Manufacturing and Assembly of GoodsSUB-SECTOR: Auto Parts IndustryINDUSTRY CLASSIFICATION: CMAP 383103 Manufacturing of Parts and Accessories for Electrical Automotive Systems CMAP 384121 Manufacture and Assembly of Car and Truck Bodies and Tows CMAP 384122 Manufacture of Car and Trucks Motors and Their Parts CMAP 384123 Manufacture of Car and Truck Transmission System Parts CMAP 384124 Manufacture of Car and Truck Suspension System Parts CMAP 384125 Manufacture of Car and Truck Brake System Parts and Accessories CMAP 384126 Manufacture of Other Car and Truck Parts and AccessoriesTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Annex 300-A (Trade and Investment inthe Automotive Industry Sector) ofthis Agreement. Ley Para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment). Reglamento de la Ley Para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment). Decreto para el fomento ymodernizaci¢n de la IndustriaAutomotriz (Decree for the Developmentand Modernization of the AutomotiveIndustry) ("Auto Decree"). Decreto que Determina Reglas para laAplicaci¢n del Decreto para el Fomentoy Modernizaci¢n de la IndustriaAutomotriz (Resolution thatEstablishes Rules for theImplementation of the Auto Decree)("Auto Decree ImplementingRegulations"). DESCRIPTION: Investors of another Party and theirinvestments may own, directly orindirectly, up to 49 percent of theownwership interests of an enterpriseestablished or to be established inMexico and engaged in the auto partsindustry. Investors of another Party and theirinvestments that qualify as "nationalsuppliers" may own 100% of anenterprise established or to beestablished in Mexico engaged in themanufactured of specified auto parts. To qualify as "national supplier", theenterprise must:(a) obtain a national value added calculated as set out in the "Auto Decree Implementing Regulations" of at least 20%; and(b) not be controlled or related, directly or indirectly, to a manufacturer of motor vehicles. DURATION: Annex 300-A (Trade and Investment inthe Automotive Sectors) of ChapterThree (National Treatment and MarketAccess) shall govern. Commencing on the sixth year after theentry into force of this Agreement, investors of another Party and theirinvestments may own 100 percent of theownership interests of an enterpriseestablished or to be established inMexico engaged in auto parts industry. (See also page I-M-39 of this Schedule- performance requirements)============================================================================= ANNEX I Schedule of MexicoSECTOR: Manufacture of GoodsSUB-SECTOR: Automotive IndustryINDUSTRY CLASSIFICATION: CMAP 383103 Manufacturing of Parts and Accessories for Electrical Automotive Systems CMAP 3841 Automotive Industry. CMAP 384121 Manufacture and Assembly of Car and Truck Bodies and Tows CMAP 384122 Manufacture of Car and Trucks Motors and Their Parts CMAP 384123 Manufacture of Car and Truck Transmission System Parts CMAP 384124 Manufacture of Car and Truck Suspension System Parts CMAP 384125 Manufacture of Car and Truck Brake System Parts and Accessories CMAP 384126 Manufacture of Other Car and Truck Parts and AccessoriesTYPE OF RESERVATION: Performance Requirements (Article 1106)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Annex 300-A (Trade and Investment in the Automotive Sector) of Chapter Three (Market Access) of this AgreementDecreto para el fomento ymodernizaci¢n de la IndustriaAutomotriz (Decree for the Developmentand Modernization of the AutomotiveIndustry) ("Auto Decree")Decreto que Determina Reglas para laAplicaci¢n del Decreto para el Fomentoy Modernizaci¢n de la IndustriaAutomotriz (Resolution thatEstablishes Rules for theImplementation of the Auto Decree)("Auto Decree ImplementingRegulations")DESCRIPTION: InvestmentAnnex 300-A (Trade and Investment inthe Automotive Sector) of ChapterThree (Market Access) shall govern. Asummary of performance requirements inthe automotive industry follows:(a) National value added shall constitute at least 20% of the total value of sales of an enterprise of the autoparts industry or of a "National Supplier". In calculating the national value added, custom duties shall be included in the value of imports. (b) A manufacturer of motor vehicles must attain specified levels of national value added from suppliers of Mexican parts (enterprises of the autoparts industry and national suppliers) and must comply with specified trade balance requirements in order to receive permits for the importation of new motor vehicles. (c) Manufacturers of autotransportation vehicles may only import the types of autotransportation vehicles it produces in Mexico and in a quantity not exceed 50% of the number of such vehicles it produces in Mexico in a year. DURATION: Annex 300-A (Trade and Investment inthe Automotive Sector) of ChapterThree (Market Access) shall governupon entry into force of thisAgreementCommencing on the sixth year afterentry into force of this AgreementMexico will eliminate restrictions onthe number of an autotransportationvehicles that a manufactureautotransportation vehicles mayimport. Commencing on the eleventh year afterthe entry into force of thisAgreement, Mexico will eliminate allperformance requirements in the AutoDecree and the "Auto Decree ImplementingRegulations". ============================================================================= ANNEX I Schedule of MexicoSECTOR: Manufacture of GoodsSUB-SECTOR: Maquiladora IndustryINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: Performance Requirements (Article 1106)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Aduanera (Customs Law)Decreto para el Fomento y Operaci¢n dela Industria Maquiladora deExportaci¢n (Decree for the Promotionand Operation of Maquiladora Industryfor Export)DESCRIPTION: InvestmentPersons authorized by the Secretar¡ade Comercio y Fomento Industrial tooperate under the "Maquiladora Decree"may not sell to the domestic marketmore than 50% of the total value ofits exports. DURATION: Domestic market may not exceed:(a) during the first year of entry into force of this Agreement, 55% of the total value of its exports;(b) during the second year after the date of entry into force of this Agreement, 60% of the total value of its exports;(c) during the third year after the date of entry into force of this Agreement, 65% of the total value of its exports;(d) during the fourth year after the date of entry into force of this Agreement, 70% of the total value of its exports;(e) during the fifth year after the date of entry into force of this Agreement, 75% of the total value of its exports;(f) during the sixth year after the date of entry into force of this Agreement, 80% of the total value of its exports;(g) during the seventh year after the date of entry into force of this Agreement, 85% of the total value of its exports;(h) from the eighth year after the date of entry into force of this Agreement and thereafter, persons may not be subject to this requirement. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Manufacture of GoodsSUB-SECTOR: Not applicableINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: Performance Requirements (Article 1106)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Reglamentaria del Art¡culo 131 dela Constituci¢n Pol¡tica de losEstados Unidos Mexicanos en Materia deComercio Exterior (Mexican ForeignTrade Act)Decreto para el Fomento y Operaci¢n delas Empresas Altamente Exportadoras"(Decree for the Promotion andOperation of High-Export Firms)DESCRIPTION: Investment1. "Direct exporters" authorized bythe Secretar¡a de Comercio y FomentoIndustrial to operate under the "ALTEXDecree" must export at least 40% oftheir total sales or $2, 000, 000. U. S. Dollars. 2. "Indirect exporters" authorized bythe Secretar¡a de Comercio y FomentoIndustrial tooperate under the "ALTEX Decree" mustexport at least 50% of their totalsales. DURATION: Seven years after the entry into forceof this Agreement, direct and indirectexporters will not be subject to theabove mencioned percentage. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Manufacture of GoodsSUB-SECTOR: Not applicableINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: Performance Requirements (Article 1106)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Reglamentaria del Art¡culo 131 dela Constituci¢n Pol¡tica de losEstados Unidos Mexicanos en Materia deComercio Exterior (Mexican ForeignTrade Act). Ley Aduanera (Customs Law). Programa de Importaci¢n Temporal paraProducir Art¡culos de Exportaci¢n(Temporal Import Program to ProduceExport Goods). DESCRIPTION: InvestmentPersons authorized by Secretar¡a deComercio y Fomento Industrial tooperate under the "PITEX Decree" arerequired to:(a) export at least 30% of their total production for the temporary entry of machinery, equipment, instruments, molds and durable tools used in the manufacturing process; equipment used to handle materials directly related to exported such goods; and research, industrial security, quality control, communication, training personnel, computer and environmental devices, equipment and accessories or others related with the process of the goods exported. (b) export at least 10% of their total production or $500, 000 U. S. Dollars for the temporary import of raw materials, parts and components totally used as inputs on the export merchandise, packages, bottles, containers and trailer's containers which are fully used to contain export merchandise; fuel, lubricants, auxiliary materials, reparation of tools and equipment consumed in the export process. DURATION: As from the eighth year after the dateof entry into force of this Agreementsuch persons will not be subject tothe above mentioned percentages. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Manufacturing IndustrySUB-SECTOR: Artificial explosives, fireworks, firearms and cartridgesINDUSTRY CLASSIFICATION: CMAP 352236 Manufacturing of Artificial Explosives and Fireworks CMAP 382208 Manufacturing of Firearms and CartridgesTYPE OF RESERVATION: National Treatment (Article 1102) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal de Armas de Fuego yExplosivos (Federal Law of Firearmsand Explosives) T¡tulo III Cap¡tulo ILey para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento de la Ley Federal de Armasde Fuego y Explosivos (Regulations ofthe Federal Law of Firearms andExplosives) Cap¡tulo IVReglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: InvestmentInvestors of another Party and theirinvestments may own, directly orindirectly, up to 49 percent of theownership interest of an enterpriseestablished or to be established inMexico that manufacture artificialexplosives and fireworks, andammunition as set out in theclassification mentioned above. Foreigners cannot appoint directorsnor become members of the board ofdirectors of such enterprises. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: MiningSUB-SECTOR: Extraction and Exploitation of MineralsINDUSTRY CLASSIFICATION: CMAP 210000 Exploitation of Mineral Carbon CMAP 231000 Extraction of Minerals Containing Iron CMAP 232001 Extraction of Minerals Containing Gold, Silver and Other Precious Minerals and Metals CMAP 232002 Extraction of Mercury and Antimony CMAP 232003 Extraction of Industrial Minerals Containing Lead and Zinc CMAP 232004 Extraction of Minerals Containing Copper CMAP 232006 Extraction of Other Metallic Minerals Not Containing Iron CMAP 291001 Extraction of Sand and Gravel CMAP 291002 Extraction of Marble and other Gravels for construction CMAP 291003 Exploitation of Feldspar CMAP 291004 Extraction of Kaolin, Clay and Refractory Minerals CMAP 291005 Extraction of Limestones CMAP 291006 Exploitation of Gypsum CMAP 292001 Extraction of Barium Oxide CMAP 292002 Extraction of Phosphoric Rock CMAP 292003 Extraction of Fluorite CMAP 292004 Extraction of Sulphur CMAP 292005 Extraction of Other Minerals in Order to Obtain Chemicals CMAP 292006 Extraction of Salt CMAP 292007 Extraction of Graphite CMAP 292008 Extraction of other Non Metallic MineralsTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Minera (Mining Law)Ley Para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento de la Ley Minera (MiningLaw Regulations)Reglamento de la Ley Para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: InvestmentPrior approval of the Comisi¢nNacional de Inversiones Extranjeras isrequired for investors of anotherParty or their investments to own, directly or indirectly, more than 49percent of the ownership interests ofan enterprise established or to beestablished in Mexico engaged in theextraction or exploitation of all kindof minerals. DURATION: The description shall govern upon theentry into force of this Agreement. Commencing on the sixth year after theentry into force of this Agreementinvestors of another Party and theirinvestments may own 100 percent ofownership interests of an enterpriseestablished or to be established inMexico engaged in such activities. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Printing, Editing and Associated IndustriesSUB-SECTOR: Newspaper PublishingINDUSTRY CLASSIFICATION: CMAP 342001 Newspaper PublishingTYPE OF RESERVATION: National Treatment (Article 1102)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: InvestmentInvestors of another Party and theirinvestments may own 100 percent of anenterprise established or to beestablished in Mexico engaged in thesimultaneous printing and distributionin Mexico of a daily newspaper that ispublished outside of Mexico. Investors of another Party and theirinvestments may own, directly orindirectly, up to 49 percent of anenterprise established or to beestablished in Mexico engaged in thepublication of daily newspaperswritten primarily for a Mexicanaudience and distributed in Mexico. For purposes of this reservation, daily newspapers are those publishedat least five days a week. DURATION: The description shall govern uponentry into force of this Agreement. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Other Services Provider by natural personsSUB-SECTOR: Medical DoctorsINDUSTRY CLASSIFICATION: CMAP 9231 Private Medical, Odontological and Veterinary Services (limited to medical and odontological services)TYPE OF RESERVATION: National Treatment (Article 1202)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal del Trabajo (Federal Labor Law)DESCRIPTION: Cross-Border ServicesOnly Mexican nationals licensed asdoctors in Mexico may provide medicalin-house services in Mexicanenterprises. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Services Provider by natural personsSUB-SECTOR: Specialized PersonnelINDUSTRY CLASSIFICATION: CMAP 951012 Custom Brokers and Representation Agency Services (limited to shippers' export declarations)TYPE OF RESERVATION: National Treatment (Article 1202)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Aduanera, (Customs Law) Cap¡tulo Unico, T¡tulo NovenoDESCRIPTION: Cross-Border ServicesA shipper's export declaration must beprocessed by a Mexican nationallicensed as a customs broker (agenteaduanal) or by the representative(apoderado aduanal) employed by theexporter and authorized by theSecretar¡a de Hacienda y Cr‚ditoP£blico for this purpose. DURATION: Indeterminate; subject to discussionby the Parties five years after theentry into force of this Agreement. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Other Services Provider by natural personsSUB-SECTOR: Professional ServicesINDUSTRY CLASSIFICATION: CMAP 9510 Professional, Technical and Specialized Services (limited to Professional Services)TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: Federal and StateLEGAL CITATION: Ley Reglamentaria del Art¡culo 5o. Constitucional, relativo al ejerciciode las profesiones en el DistritoFederal y sus regulaciones (RegulatoryLaw of Article 5 of the United MexicanStates Political Constitution inrelation to Professional Services andits regulations) Cap¡tulo III, Secci¢nTercera, Cap¡tulos IV y VEquivalent State LawsLey General de Poblaci¢n (GeneralPopulation Law)Cap¡tulo IIIDESCRIPTION: Cross-Border ServicesOnly Mexican nationals may be licensedat the federal level, in the DistritoFederal, and in the States of BajaCalifornia Sur, Colima, Chihuahua, Durango, Jalisco, Estado de M‚xico, Morelos, Nayarit, Nuevo Le¢n, Puebla, Quer‚taro, Sonora, Tabasco andVeracruz in professions that require a"c‚dula professional". Only a permanent resident (inmigradoor inmigrante) in Mexico may begranted a waiver of the citizenshiprequirement by the Supreme Court to belicensed as a professional at thefederal level. DURATION: Citizenship and permanent residencyrequirements are subject to removalwithin two years after the entry intoforce of this Agreement in accordancewith Article 1210(3). Upon removal ofthese requirements, a foreignprofessional will be required to havenon-immigrant visitor status and anaddress in Mexico. With respect to legal services seeMexico's Schedule in Annex II, p. M-10. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Services Provided by natural personsSUB-SECTOR: Professional ServicesINDUSTRY CLASSIFICATION: CMAP 951002 Legal Services and Foreign Legal ConsultantsTYPE OF RESERVATION: National Treatment (Article 1102 and 1202) Most-Favored-Nation Treatment (Articles 1103 and 1203) Local Presence (Article 1205)LEVEL OF GOVERNMENT: Federal and StateLEGAL CITATION: Ley Reglamentaria del Art¡culo 5o. Constitucional, relativo al ejerciciode las profesiones en el DistritoFederal (Regulatory Law of Article 5'of the United Mexican States PoliticalConstitution in relation toProfessional Services), Cap¡tulo I, Cap¡tulo III, Secci¢n TerceraReglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: Cross Border Services and InvestmentExcept as provided for in thisreservation, only lawyers licensed inMexico may have an ownership interestin a law firm established in Mexico. Lawyers licensed in a Canadianprovince that allows partnershipsbetween lawyers licensed in thatprovince and lawyers licensed inMexico, will be permitted to formpartnerships with lawyers licensed inMexico. The number of lawyers licensed inCanada serving as partners, and theirownership interest in the partnership, shall not exceed the number of lawyerslicensed in Mexico serving aspartners, and their ownership interestin the partnership. A lawyer licensedin Canada shall not be allowed topractice or advise on Mexican law. A law firm established in Mexicoresulting from the partnership oflawyers licensed in Canada and lawyerslicensed in Mexico may hire lawyerslicensed in Mexico as employees. Lawyers licensed in Canada will besubject to the regime for foreignlegal consultants established in pageM-2 of Schedule VI. DURATION: The description shall govern uponentry into force of this Agreement. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Services Provided by natural personsSUB-SECTOR: Professional ServicesINDUSTRY CLASSIFICATION: CMAP 951003 Accounting and Auditing Services (limited to accounting services)TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: C¢digo Fiscal de la Federaci¢n, (Federal Tax Code), T¡tulo Tercero, Cap¡tulo UnicoReglamento del C¢digo Fiscal de laFederaci¢n, (Regulations of theFederal Tax Code)Reglamento de la Ley Para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: Cross-Border ServicesOnly Mexican nationals who arelicensed as accountants in Mexico areauthorized to perform audits for taxpurposes on behalf of the following:(a) state enterprises, (b) enterprises that are authorized to receive tax-deductible donations, (c) enterprises with income, capital stock, number of employees, and operations above levels specified annually by the Secretar¡a de Hacienda y Cr‚dito P£blico, or(d) enterprises undergoing a merger or divestiture. DURATION: Citizenship and permanent residencyrequirements are subject to removalwithin two years after the entry intoforce of this Agreement in accordancewith Article 1210(3). Upon removal ofthese requirements, a foreignprofessional will be required to havenon-immigrant visitor status and anaddress in Mexico. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Services Provided by natural personsSUB-SECTOR: Specialized ServicesINDUSTRY CLASSIFICATION: CMAP 951001 Notary Public (limited to Corredores P£blicos)TYPE OF RESERVATION: National Treatment (Articles 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: Federal and StateLEGAL CITATION: C¢digo de Comercio (Commerce Code), Libro Primero, T¡tulo TerceroReglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)DESCRIPTION: Cross-Border Services1. Only a Mexican by birth may belicensed to be a commercial notarypublic. 2. A commercial notary public may nothave any business affiliations withany person to provide commercialnotary public services. DURATION: 1. Citizenship and permanent residencyrequirements are subject to removalwithin two years after the entry intoforce of this Agreement in accordancewith Article 1210(3). Upon removal ofthese requirements, a foreignprofessional will be required to havenon-immigrant visitor status and anaddress in Mexico. 2. Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Services Provided by Natural PersonsSUB-SECTOR: Specialized ServicesINDUSTRY CLASSIFICATION: CMAP 951001 Notary PublicTYPE OF RESERVATION: National Treatment (Article 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: Federal and StateLEGAL CITATION: Ley del Notariado del Distrito Federal(Notary Law of the Federal District, and its equivalents at state laws)Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: Cross-Border Services and InvestmentOnly Mexicans by birth may be licensedto be notaries public. A notary public may not have anybusiness affiliations with any personto provide notary public services. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Services Provided by Natural PersonsSUB-SECTOR: Specialized ServicesINDUSTRY CLASSIFICATION: CMAP 923121 Private Veterinary Services to CattleTYPE OF RESERVATION: National Treatment (Article 1202)LEVEL OF GOVERNMENT: Federal, State and LocalLEGAL CITATION: Reglamento de Control de ProductosQu¡mico-Farmac‚uticos, Biol¢gicos, Alimenticios, Equipos y Servicios paraAnimales, (Chemical Products ControlRegulations) Cap¡tulos IV y VDESCRIPTION: Cross-Border ServicesVeterinarians responsible forenterprises managing chemical, pharmaceutical and biological goodsfor application to animals must beMexican nationals. A Mexican nationalwho is a licensed professional must beresponsible for the laboratories ofsuch enterprises. DURATION: Citizenship and permanent residencyrequirements are subject to removalwithin two years after the entry intoforce of this Agreement in accordancewith Article 1210(3). Upon removal ofthese requirements, a foreignprofessional will be required to havenon-immigrant visitor status and anaddress in Mexico. ============================================================================= ANNEX I Schedule of MexicoSECTOR: Retail CommerceSUB-SECTOR: Sales of Non-Food Products in Specialized EstablishmentINDUSTRY CLASSIFICATION: CMAP 623087 Sales of Firearms, Cartridges and Ammunition CMAP 612024 Wholesale Commerce, not elsewhere Classified (limited to a firearms, cartridges and ammunition)TYPE OF RESERVATION: National Treatment (Article 1102) Senior Managment (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal de Armas de Fuego yExplosivos (Federal Law of Firearmsand Explosives), T¡tulo Tercero, Cap¡tulo IReglamento de la Ley de Armas de Fuegoy Explosivos (Regulation of theFederal Law of Firearms andExplosives), Cap¡tulo IVLey para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)DESCRIPTION: InvestmentInvestors of another Party and theirinvestments may own, directly andindirectly, up to 49 percent of theownership interest of an enterpriseestablished or to be established inMexico that sells firearms, cartridgesand ammunition as set out in theclassification mentioned aboveForeigners cannot appoint or electmembers to be directors nor becomemembers of the board of directors ofsuch enterprises. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: Religious ServicesSUB-SECTOR: Not applicableINDUSTRY CLASSIFICATION: CMAP 929001 Religious ServicesTYPE OF RESERVATION: Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de Asociaciones Religiosas y CultoPrivado (Religious Associations Law). T¡tulo II, Cap¡tulo IIDESCRIPTION: InvestmentThe representatives of the religiousassociations in Mexico must be Mexicannationals. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: Services to Agriculture and CattleSUB-SECTOR: Services to AgricultureINDUSTRY CLASSIFICATION: CMAP 971010 Agriculture Services SupplyTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos, (United MexicanStates Political Constitution) Article32Reglamento de la Ley de SanidadFitopecuaria (Regulation of thePhitosanitary Law), Cap¡tulo VIIDESCRIPTION: Cross-Border ServicesA concession granted by the Secretar¡ade Agricultura y Recursos Hidr ulicosis required to spray pesticides. Only Mexican nationals or Mexicanenterprises may obtain suchconcession. DURATION: The requirement of a concession willbe replaced with a permit requirement, and the citizenship requirement willbe eliminated, in accordance with theschedule of liberalization forspecialty air services. ============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Air TransportationINDUSTRY CLASSIFICATION: CMAP 713001 Transportation Services on Mexican-Registered Aircraft CMAP 713002 Air Taxi Transportation ServicesTYPE OF RESERVATION: National Treatment (Article 1102) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera(Law to Promote MexicanInvestment and to Regulate ForeignInvestment), Cap¡tulo IReglamento de la Ley Para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera(Regulation of theLaw to Promote Mexican Investment andto Regulate Foreign Investment)Ley de V¡as Generales deComunicaci¢n(General Means ofCommunications Law), Libro Cuarto, Cap¡tulo I-XIIDESCRIPTION: InvestmentInvestors of another Party and theirinvestments may own directly orindirectly, up to 25 percent of thevoting interest in an enterpriseestablished or to be established inMexico that provides commercial airservices. The chairman and at leasttwo-thirds of the board of directorsand two-thirds of managing officers ofsuch enterprises must be Mexicannationals. DURATION: Description shall govern upon entryinto force of this Agreement. ============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Air TransportationINDUSTRY CLASSIFICATION: CMAP 973303 Specialty Air ServicesTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Libro Cuarto, Cap¡tulo XIIDESCRIPTION: Cross-Border Services1. A permit issued by the Secretar¡ade Comunicaciones y Transportes (SCT)is required to provide all specialtyair services in the territory ofMexico. 2. Such permit may be issued to aperson of Canada and the United Statesto provide services related to flighttraining, forest fire-management, fire-fighting, glider towing, andparachute jumping in Mexico, subjectto compliance with national safetyrules. 3. Such permit may not be issued to aperson of Canada or the United Statesto provide: aerial advertising, aerialsightseeing services, aerialconstruction, heli-logging, inspection(surveillance), mapping, photography, surveying and aerial sprayingservices. InvestmentInvestors of another Party and theirinvestments may own, directly orindirectly, up to 25 percent of thevoting interest in an enterpriseestablished or to be established inMexico that provides specialty airservices. The chairman and at leasttwo-thirds of the board of directorsand two-thirds of managing officers ofsuch enterprises must be Mexicannationals. DURATION: Cross-Border ServicesParagraphs 2 and 3 of the descriptionshall govern upon entry into force ofthis Agreement. A person of Canada or the UnitedStates will be issued a permit by SCTto provide, subject to compliance withsafety requirements, the followingspecialty air services:(a) three years after entry into force of the Agreement, aerial advertising, aerial sightseeing services, aerial construction and heli-logging. (b) six years after entry into force of this Agreement, inspection (surveillance), mapping, photography, surveying and aerial spraying services. InvestmentDescription shall govern upon entryinto force of this Agreement============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Air TransportationINDUSTRY CLASSIFICATION: CMAP 384205 Aircraft Building, Assembly and Repair (limited to aircraft repair)TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution), Art¡culo 32Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Libro Cuarto, Cap¡tulo XVReglamento de Talleres Aeron uticos(Aeronautical Workshops Regulation)Article 8DESCRIPTION: Cross-Border ServicesA concession granted by the Secretar¡ade Comunicaciones y Transportes isrequired to establish and operate anaircraft repair facility. Only Mexicannationals and Mexican enterprises mayobtain such concession. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Air TransportationINDUSTRY CLASSIFICATION: CMAP 973301 Air Navigation Services CMAP 973302 Airport and Heliport Administration ServicesTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution), Art¡culo 32Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Libro Primero, Cap¡tulo II y II, LibroCuarto, Cap¡tulo IXLey para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera(Law to Promote MexicanInvestment and to Regulate ForeignInvestment) Libro Primero, Cap¡tulo IIy III, Libro Cuarto, Cap¡tulo IXReglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera(Regulation of theLaw to Promote Mexican Investment andto Regulate Foreign Investment)DESCRIPTION: Cross-Border ServicesA concession granted by the Secretar¡ade Comunicaciones y Transportes isrequired to construct and operate, oroperate, airports and heliports and toprovide air navigation services. OnlyMexican nationals and Mexicanenterprises may obtain suchconcession. InvestmentPrior approval of the Comisi¢nNacional de Inversiones Extranjeras isrequired for investors of anotherParty or their investments to own, directly or indirectly, more than 49percent of the ownership interest ofan enterprise established or to beestablished in Mexico engaged in thefollowing activities:(a) construction and operation of airports or heliports;(b) operation of airports or heliports; or(c) provision of air navigation services. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Land TransportationINDUSTRY CLASSIFICATION: CMAP 973101 Bus and Truck Station Administration and Ancillary Services (main bus and truck terminals and bus and truck stations)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Libro Primero, Cap¡tulo II y III, Libro Segundo, T¡tulo Segundo, Cap¡tulos I y II, T¡tulo Tercero, Cap¡tulo UnicoReglamento para el Aprovechamiento delDerecho de V¡a de las CarreterasFederales y Zonas Aleda¤as(Regulations for the Use of the Rightof Way of Federal Roads and theirAdjacent Areas), Cap¡tulos II y IVReglamento del Autotransporte Federalde Pasajeros, (Regulations of theFederal Transport of Passengers), and34 Cap¡tulo IVDESCRIPTION: Cross-Border ServicesA permit issued by the Secretar¡a deComunicaciones y Transportes isrequired to establish or operate a busor truck station or terminal. OnlyMexican nationals and Mexicanenterprises with a foreigners'exclusion clause may obtain suchpermit. InvestmentForeign investment is not permitted inan enterprise established or to beestablished in Mexico engaged in theestablishment or operation of bus ortruck station or terminals asdescribed in the industryclassification mentioned above. DURATION: Cross-Border ServicesDescription shall govern upon entryinto force of this Agreement. Three years after signature of thisAgreement, such permit may be obtainedby Mexican nationals and Mexicanenterprises. InvestmentWith respect to enterprisesestablished or to be established inMexico providing such serviceinvestors of another Party and theirinvestment may own:(a) three years after the signature of this Agreement, up to 49 percent of ownership interest of the enterprise;(b) seven years after the entry into force of this Agreement, up to 51 percent of the ownership interest of the enterprise; and(c) ten years after the entry into force of this Agreement, up to 100 percent of the enterprise. ============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Land TransportationINDUSTRY CLASSIFICATION: CMAP 973102 Road and Bridge Administration Services and Ancillary ServicesTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution), Art¡culo 32Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Libro Primero, Cap¡tulos I, II y III, Libro Segundo, T¡tulo Segundo, Cap¡tulo II, T¡tulo Tercero, Cap¡tuloUnicoDESCRIPTION: Cross-Border ServicesA concession granted by the Secretar¡ade Comunicaciones y Transportes isrequired to provide road and bridgeadministration services and ancillaryservices. Only Mexican nationals andMexican enterprises may obtain suchconcession. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Land TransportationINDUSTRY CLASSIFICATION: CMAP 711312 Urban and Suburban Passenger Transportation Service by Bus CMAP 711315 Collective Automobile Transportation Service CMAP 711316 Established Route Automobile Transportation Service CMAP 711317 Automobile Transportation Service from a Specific Station CMAP 711318 School and Tourist Transportation Service (limited to school transportation service)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202)LEVEL OF GOVERNMENT: Federal and StateLEGAL CITATION: Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote GeneralInvestment and to Regulate ForeignInvestment)Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulation ofthe Law to Promote General Investmentand to Regulate Foreign Investment)Reglamento para el AutotransporteFederal de Pasajeros (Regulations ofthe Federal Transport of Passengers)State laws [to be provided]DESCRIPTION: Cross-Border Services and InvestmentOnly Mexican nationals and Mexicanenterprises with a foreigners'exclusion clause may provide local busservices, school bus services and taxiand other collective transportationservices. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Land TransportationINDUSTRY CLASSIFICATION: CMAP 711201 Road Transport Services for Construction Materials CMAP 711202 Road Transport Moving Services CMAP 711203 Other Services of Specialized Cargo Transportation CMAP 711204 General Trucking Services CMAP 711311 Inter-City Busing Services CMAP 711318 School and Tourist Transportation Services (limited to tourist transportation services). TYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: StateLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution), Art¡culo 32State laws and its regulationsequivalent to Ley de V¡as Generales deComunicaci¢n (General Means ofCommunication Law) [to be provided]Libro Primero, T¡tulo Segundo, Cap¡tulo II, Libro Primero, Cap¡tuloIIIDESCRIPTION: Cross-Border ServicesIn each state, a concession isrequired to provide intrastate bus andtruck services on roads under thejurisdiction of such state. Suchconcession is provided on the basis ofeconomic needs tests. Preferences in the granting of suchconcessions by states is accorded tonatural persons born in such statesand enterprises constitued by personsborn in such states, including thestates of Michoac n, San Luis Potos¡, Tamaulipas, Tlaxcala and Zacatecas. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Land TransportationINDUSTRY CLASSIFICATION: CMAP 711201 Road Transport Services for Construction Materials CMAP 711202 Road Transport Moving Services CMAP 711203 Other Services of Specialized Cargo Transportation CMAP 711204 General Trucking Services CMAP 711311 Inter-City Busing Services CMAP 711318 School and Tourist Transportation Services (limited to tourist transportation services)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), and its regulations [to be provided]Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera, (Law to Promote GeneralInvestment and to Regulate ForeignInvestment)Memorandum de Entendimiento entre losEstados Unidos Mexicanos y los EstadosUnidos de Norteam‚rica para lapromoci¢n de Servicios de TransporteTur¡stico de Ruta Fija, (Memorandum ofUnderstanding Between the UnitedStates of America and the UnitedMexican States on Facilitation ofCharter/Tour Bus Service)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera, (Regulation ofthe Law to Promote General Investmentand to Regulate Foreign Investment)DESCRIPTION: Cross-Border ServicesA permit issued by the Secretar¡a deComunicaciones y Transportes isrequired to provide bus or truckservices for the transportation ofgoods or passengers to or from theterritory of Mexico. Only Mexicannationals and Mexican enterprises witha foreigners' exclusion clause mayprovide such services, except that aperson of Canada or the United Statesmay be granted permanent operatingauthority to provide internationalcharter or tour bus services into theterritory of Mexico. Only Mexican nationals, and Mexicanenterprises with a foreigners'exclusion clause, using Mexicanregistered equipment and drivers whoare Mexican nationals, may provide busand truck services for thetransportation of goods and passangersbetween two points in the territory ofMexico. InvestmentForeign investment is not permitted inan enterprise established or to beestablished in Mexico engaged in busor truck transportation services asdescribed in the industryclassification mentioned above. DURATION: Cross-Border ServicesDescription shall govern upon entryinto force of this Agreement. A person of Canada or of the UnitedStates will be permitted to provide:(a) three years after signature of this Agreement, cross-border truck services to or from the territory of border states (Baja California, Sonora, Chihuahua, Coahuila, Tamaulipas and Nuevo Le¢n), and such person will be permitted to enter and depart Mexico through different ports of entry in such states;(b) three years after signature of this Agreement, only Mexican nationals and Mexican enterprises, using Mexican-registered equipment and drivers who are Mexican nationals, may provide bus and truck services for the transportation of goods and passengers between two points in the territory of Mexico. (c) three years after entry into force of this Agreement, cross-border scheduled bus services to or from the territory of Mexico; and(d) six years after entry into force of this Agreement, cross-border truck services to or from the territory of Mexico. InvestmentWith respect to enterprisesestablished or to be established inMexico providing such services, investors of another Party may own:(a) three years after signature of this Agreement, up to 49 percent of ownership of an enterprise providing bus services, tourist transportation services and truck services for the transportation of international cargo, between points in the territory of Mexico;(b) seven years after entry into force of this Agreement, up to 51 percent of the ownership interest of an enterprise providing bus services, tourist transportation services or truck services for the transportation of international cargo, between points in the territory of Mexico; and(c) ten years after entry into force of this Agreement, up to 100 percent ownership interest of an enterprise providing bus services, tourist services and truck services for the transportation of international cargo, between points in the territory of Mexico. Foreign ownership in enterprisesproviding truck services for thecarriage of domestic cargo will not bepermitted. Indeterminate. ============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUB-SECTOR: Land Transportation and Water TransportationINDUSTRY CLASSIFICATION: CMAP 501421 Marine and River Works CMAP 501422 Construction of Roads for Land TransportationTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos, (PoliticalConstitution of the United MexicanStates) Art¡culo 32Ley de V¡as Generales de Comunicaci¢n(General Means of Communications Law)Libro Primero, Cap¡tulos I, LibroSegundo, Cap¡tulo IDESCRIPTION: Cross-Border ServicesA concession granted by the Secretar¡ade Comunicaciones y Transportes isrequired to construct and operate, oroperate, marine and river works androads for land transportation. Suchconcession may be granted only toMexican nationals and Mexicanenterprises. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Non-energy pipelinesINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution)Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Articles 8, 12 and 5Ley Federal de Aguas(Waters FederalLaw)DESCRIPTION: Cross-Border ServicesA concession granted by the Secretar¡ade Comunicaciones y Transportes isrequired to construct and operate, oroperate, pipelines carrying non-energygoods, excluding basic petrochemicals. Only Mexican nationals and Mexicanenterprises may obtain suchconcession. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Freight and Passenger Water TransportationINDUSTRY CLASSIFICATION: CMAP 712011 International Maritime Transportation Services CMAP 712012 Cabotage Maritime Services CMAP 712013 International and Cabotage Towing Services CMAP 712021 River and Lake Transportation Services CMAP 712022 Internal Port Water Transportation ServicesTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation (Articles 1103, 1203)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Cap¡tulo III, Libro TerceroLey para el Desarrollo de la MarinaMercante (Law for the Development ofthe Merchant Navy), Cap¡tulos I y IIILey de Navegaci¢n y Comercio Mar¡timos(Navigation and Maritime NavigationLaw)Libro Segundo, T¡tulo Unico, Cap¡tulosI y IIILey Para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)DESCRIPTION: Cross-Border Services and InvestmentMaritime cabotage services, includingoff-shore maritime services, arereserved to Mexican-flagged vessels. Awaiver may be granted by theSecretar¡a de Comunicaciones yTransportes when Mexican-flaggedvessels are not able to provide suchservices. Only Mexican flagged vesselsmay transport cargo owned by theFederal Government. Foreign-flagged vessels may provideinternational maritime services inMexico on the basis of reciprocitywith the relevant country. OnlyMexican-flagged towing vessels mayprovide towing services from Mexicanports to foreign ports. When suchtowing vessels are not able to providesuch services, the Secretar¡a deComunicaciones y Transporte mayprovide a permit to foreign-flaggedtowing vessels. Only a Mexican nationalor a Mexican enterprise with aforeigners' exclusion clause may ownvessels registered and flagged asMexican. All members of the board ofdirectors and managers of suchenterprise must be Mexican nationals. Prior approval of the Comisi¢nNacional de Inversiones Extranjeras isrequired for investors of anotherParty or their investments, to own, directly or indirectly, more the 49percent of the ownership interest ofan enterprise established or to beestablished in Mexico operatingforeign-flagged vessels providinginternational maritime transportservices. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUB-SECTOR: Specialized PersonnelINDUSTRY CLASSIFICATION: CMAP 951012 Customs Brokers (Agentes Aduanales)TYPE OF RESERVATION: National Treatment (Article 1102)LEGAL CITATION:Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution)Ley Aduanera (Customs Law)DESCRIPTION: InvestmentOnly Mexican nationals by birth mayserve as customs brokers. DURATION:Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Water TransportationINDUSTRY CLASSIFICATION: CMAP 1300 FishingTYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation (Article 1203) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStated Political Constitution), Art¡culo 32Ley de Pesca (Fishing Law), Cap¡tulosI y IILey de Navegaci¢n y Comercio Mar¡timo(Navigation and Maritime Commerce Law)Libro Segundo, T¡tulo Unico, Cap¡tuloIDESCRIPTION: Cross-Border ServicesA concession granted, or permitissued, by the Secretar¡a de Pesca isrequired to engage in fishingactivities in Mexican jurisdictionalwaters. Only Mexican nationals andMexican enterprises, usingMexican-flagged vessels, may obtainsuch concession or permit. Permits mayexceptionally be issued to personsoperating vessels flagged in a foreigncountry that provides equivalenttreatment to Mexican-flagged vesselsto engage in fishing activities in theExclusive Economic Zone (EEZ). Only Mexican nationals and Mexicanenterprises may obtain authorizationfrom the Secretar¡a de Pesca for deepsea fishing on Mexican-flaggedvessels, fixed rigging installation, recollection from the natural milieuof larvae, post-larvae, eggs, seeds oralevines, for research or acuaculturepurposes, introduction of live speciesinto Mexican jurisdictional waters, and for educational fishing inaccordance with the programmes of thefishing educational institutions. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Water TransportationINDUSTRY CLASSIFICATION: CMAP 384201 Shipbuilding and Ship RepairsTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205) Performance Requirement (Article 1106)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStated Political Constitution), Art¡culo 32Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law)Cap¡tulo XV, Libro TerceroLey Para el Desarrollo de la MarinaMercante (Law for the Development ofthe Merchant Navy), Cap¡tulo IVDESCRIPTION: Cross-Border Services and InvestmentA concession granted by the Secretar¡ade Comunicaciones y Transportes isrequired to establish and operate ashipyard. Only Mexican nationals andMexican enterprises may obtain suchconcession. For the owner of a Mexican-flaggedvessel to be eligible for governmentcargo preferences, subsidies and taxbenefits granted under the Ley para elDesarrollo de la Marina Mercante, suchperson must carry out repair andmaintenance operations in shipyardsand repair facilities in Mexico. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Water TransportationINDUSTRY CLASSIFICATION: CMAP 973203 Maritime and Inland (Lake and Rivers) Ports AdministrationTYPE OF RESERVATION: National Treatment (Article 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de Navegaci¢n y Comercio Mar¡timo(Navigation and Maritime CommerceLaw), Libro Segundo, Cap¡tulo IISecciones A y B, T¡tulo UnicoLey de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Cap¡tulo XIDESCRIPTION: Cross-Border ServicesAll port workers must be Mexicannationals. DURATION: Indeterminate============================================================================= ANNEX I Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Water TransportationINDUSTRY CLASSIFICATION: CMAP 973201 Loading and Unloading Services Related to Water Transportation (includes operation and maintenance of docks; Loading and unloading of vessels at shore-side; marine cargo handling; operation and maintenance of piers; ship and boat cleaning; stevedoring; transfer of cargo between ships and trucks, trains, pipelines and wharfs; waterfront terminal operations)TYPE OF RESERVATION: National Treatment (Article 1102, 1202) Local Presence (Article 1205)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution), Art¡culo 32Ley de Navegaci¢n y Comercio Mar¡timo(Navigation and Maritime CommerceLaw), Libro Primero, T¡tulo Unico, Cap¡tulo I, Libro Segundo, T¡tuloSegundoLey Org nica de la Administraci¢nP£blica Federal (Federal PublicAdministration Law)Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law)Libro Tercero, Cap¡tulo IIReglamento del Servicio de Maniobrasen las Zonas Federales de Puertos, Articles 1, 2, 13 and 14(Operation Services in the FederalPort Zones Regulation), Libro Primero, T¡tulo Unico, Cap¡tulo I, LibroSegundo, T¡tulo Unico, Cap¡tulo II, Secci¢n A y Libro Cuarto, T¡tulo UnicoReglamento para el Uso yAprovechamiento del Mar Territorial, V¡as Navegables, Playas, Zona FederalMar¡timo Terrestre y Terrenos Ganadosal Mar, (Regulation for the Use of theTerritorial Sea, Navigable Ways, Beaches, Maritime and TerrestrialFederal Zones)DESCRIPTION: Cross-Border ServicesA concession granted by the Secretar¡ade Comunicaciones y Transportes isrequired to construct and operate, oroperate, maritime and inland portterminals, including dock, cranes andrelated facilities. Only Mexicannationals and Mexican enterprises mayobtain such concession. A permit issued by the Secretar¡a deComunicaciones y Transportes isrequired to provide stevedoring andwarehousing services. Only Mexicannationals and Mexican enterprises mayobtain such permit. InvestmentPrior approval of the Comisi¢nNacional de Inversiones Extranjeras isrequired for investors of anotherParty or their investments to owndirectly or indirectly, more than 49percent of the ownership interest ofan enterprise established or to beestablished in Mexico providing tothird persons the following services:operation and maintenance of docks;loading and unloading of vessels atshore-side; marine cargo handling;operation and maintenance of piers;ship and boat cleaning; stevedoring;transfer of cargo between ships andtrucks, trains, pipelines and wharves;and waterfront terminal operations. DURATION: Cross-Border ServicesIndeterminateInvestmentDescription shall govern upon entryinto force of this Agreement. ANNEX II1. The Schedule of a Party sets out the reservations taken bythat Party, pursuant to Articles 1108(4) and 1206(4), with respectto specific sectors, sub-sectors or activities for which it maymaintain existing, non-conforming measures or adopt new or morerestrictive measures. Such measures may derogate from anobligation relating to: (a) national treatment, pursuant to Article 1102 (Investment) or 1202 (Services); (b) most-favored-nation treatment, pursuant to Article 1103 (Investment) or 1203 (Services); (c) local presence, pursuant to Article 1205 (Services); (d) performance requirements, pursuant to Article 1106 (Investment); or (e) nationality requirements for senior management or members of boards of directors, pursuant to Article 1107 (Investment). 2. Each reservation sets out the following elements: (a) SECTOR refers to the general sector in which the reservation is taken; (b) SUB-SECTOR refers to the specific sector in which the reservation is taken; (c) INDUSTRY CLASSIFICATION refers to the activity, where appropriate, covered by the reservation according to domestic industry classification codes; (d) TYPE OF RESERVATION specifies the obligation referred to in paragraph 1 for which a reservation is taken; (e) DESCRIPTION describes the scope of the sector, sub-sector or activities covered by the reservation; and (f) LEGAL CITATION OF EXISTING MEASURES identifies existing measures that apply to the sector, sub-sector or activities covered by the reservation. 3. In the interpretation of a reservation, all elements of thereservation should be considered. In the event of anyinconsistency between DESCRIPTION and any other element of thereservation, the DESCRIPTION shall govern to the extent of theinconsistency. 4. For purposes of this Annex:CMAP means Clasificaci¢n Mexicana de Actividades y Productos;CPC means Central Product Classification numbers as set out inStatistical Office of the United Nations, Statistical Papers, Series M, No. 77, Provisional Central Product Classification, 1991;Mexican enterprise means an enterprise constituted under the lawsof Mexico;Mexican national means a national of Mexico, as defined by theConstitution of Mexico;person of a Party means a national or an enterprise of a Party; andSIC means: (a) with respect to Canada, Standard Industrial Classification (SIC) numbers as set out in Statistics Canada, Standard Industrial Classification, fourth edition, 1980; and (b) with respect to the United States, Standard Industrial Classification (SIC) numbers as set out in the United States Office of Management and Budget, Standard Industrial Classification Manual, 1987. ANNEX II Schedule of United StatesSECTOR: CommunicationSUB-SECTOR: Cable TelevisionINDUSTRY CLASSIFICATION: SIC 4841 Cable and Other Pay Television ServicesTYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103)DESCRIPTION:InvestmentSubject to Article 2106, the UnitedStates reserves the right to adopt ormaintain any measure that accordsequivalent treatment to persons of anycountry that limits ownership bypersons of the United States in anenterprise engaged in the operation ofa cable television system in thatcountry. LEGAL CITATION OF EXISTING MEASURES: None============================================================================= ANNEX II Schedule of United StatesSECTOR: CommunicationsSUB-SECTOR: Telecommunications Transport Networks and Services and Radio CommunicationsINDUSTRY CLASSIFICATION: CPC 752 Telecommunications Services (Not Including CPC 752323 Value-Added Network Services or CPC 752329 Other Message Services)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentThe United States reserves the rightto adopt or maintain any measurerelating to investment in, or theprovision of, telecommunicationstransport networks andtelecommunications transport servicesor to radio communications. Thesemeasures apply to such matters asmarket entry, spectrum assignment, tariffs, intercarrier agreements, terms and conditions of service, andinterconnection between networks andservices. Telecommunications transportservices typically involve the real-time transmission of customer-suppliedinformation between two or more pointswithout end-to-end change in the formor content of the customer'sinformation, whether or not suchservices are offered to the publicgenerally. These services includevoice and data services provided byany electromagnetic means. Radiocommunications include allcommunications by radio, includingbroadcasting. This reservation doesnot apply to measures relating toenhanced or value-added services. LEGAL CITATION OF EXISTING MEASURES:Communications Act of 1934, asamended, 47 U. S. C. 151 et seq. , seeparticularly 310(a), (b) (1988)(radio licenses for common carrier, aeronautical en route, aeronautical enroute, aeronautical fixed, andbroadcasting services), and anyFederal Communications Commissionrules or policies adopted pursuant toTitle 47 of the United States Code, including F. C. C. Decision, International Competitive Carrier, 102F. C. C. 2d 812 (1985)An Act relating to the Landing andOperation of Submarine Cables in theUnited States, as amended, 47 U. S. C. 34-9 (1988), see particularly 35(Submarine Cable Landing Act)(undersea cables)Communications Satellite Act of 1962, as amended, 47 U. S. C. 701-57 (1988)Telegraph Act, as amended, 47 U. S. C. 17 (1988) (telegraph cables servingAlaska)Children's Television Act of 1990, 47U. S. C. 303a (1990)Television Program Improvement Act of1990, 47 U. S. C. 303c (1990)============================================================================= ANNEX II Schedule of United StatesSECTOR: Social ServicesSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentThe United States reserves the rightto adopt or maintain any measure withrespect to the provision of public lawenforcement and correctional services, and the following services to theextent they are social servicesestablished or maintained for a publicpurpose: income security orinsurance, social security orinsurance, social welfare, publiceducation, public training, health, and child care. LEGAL CITATION OF EXISTING MEASURES:============================================================================= ANNEX II Schedule of the United StatesSECTOR: Minority AffairsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentThe United States reserves the rightto adopt or maintain any measureaccording rights or preferences tosocially or economically disadvantagedminorities, including corporationsorganized under the laws of the Stateof Alaska in accordance with theAlaska Native Claims Settlement Act(43 U. S. C. 1601 et seq. )============================================================================= ANNEX II Schedule of United StatesSECTOR: Professional ServicesSUB-SECTOR: AttorneysINDUSTRY CLASSIFICATION: SIC 8111 Legal ServicesTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentSubject to page VI-U-3, the UnitedStates reserves the right to adopt ormaintain any measure relating to theprovision of legal services, includingforeign legal consultancy services, bypersons of Mexico. LEGAL CITATION OF EXISTING MEASURES: None============================================================================= ANNEX II Schedule of the United StatesSECTOR: PublishingSUB-SECTOR: Newspaper PublishingINDUSTRY CLASSIFICATION: SIC 2711 Newspapers: Publishing, or Publishing and PrintingTYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103)DESCRIPTION: InvestmentSubject to Article 2106, the UnitedStates reserves the right to adopt ormaintain any measure that accordsequivalent treatment to persons of anycountry that limits ownership bypersons of the United States in anenterprise engaged in the publicationof daily newspapers primarily writtenfor audiences and distributed in thatcountry. For purposes of this reservation, daily newspapers are newspaperspublished at least five days eachweek. LEGAL CITATION OF EXISTING MEASURES: None============================================================================= ANNEX II Schedule of the United StatesSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 4412 Deep Sea Foreign Transportation of Freight (limited to promotional programs) SIC 4424 Deep Sea Domestic Transportation of Freight (includes coastwise transportation of freight, deep sea domestic freight transportation, intercoastal transportation of freight, water transportation of freight to noncontiguous territories) SIC 4432 Freight Transportation on the Great Lakes and St. Lawrence Seaway SIC 4449 Water Transportation of Freight, Not Elsewhere Classified (includes canal barge operations, canal freight transportation, intracoastal freight transportation, lake freight transportation except on the Great Lakes, log rafting and towing, river freight transportation except on the St. Lawrence Seaway, transportation of freight on bays and sounds of the oceans) SIC 4481 Deep Sea Transportation of Passengers, Except by Ferry (limited to promotional programs) SIC 4482 Ferries SIC 4489 Water Transportation of Passengers, Not Elsewhere Classified (includes airboats, swamp buggy rides, excursion boat operations, passenger water transportation on rivers and canals, sightseeing boats, water taxis) SIC 4492 Towing and Tugboat Services SIC 4499 Water Transportation Services, Not Elsewhere Classified (limited to cargo salvaging, chartering of commercial boats, lighterage, bunkering, marine salvage, pilotage, steamship leasing, cable laying) SIC 4491 - Marine Cargo Handling (limited to crew activities aboard vessels transporting supplies and cargo within U. S. Territorial waters and longshore work performed by crew affected by reciprocity restrictions) SIC 1629 Heavy Construction, Not Elsewhere Classified (limited to marine dredging) SIC 091 Commercial Fishing (limited to fishing vessels and fishing operations within the Exclusive Economic Zone)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentThe United States reserves the rightto adopt or maintain any measurerelating to the provision of maritimetransportation services and theoperation of U. S. -flagged vessels, including the following:(a) requirements for investment in, ownership and control of, and operation of vessels and other marine structures, including drill rigs, in maritime cabotage services, including maritime cabotage services performed in the domestic offshore trades, the coastwise trades, U. S. Territorial waters, waters above the continental shelf, and in the inland waterways;(b) requirements for investment in, ownership and control of, and operation of U. S. -flagged vessels in foreign trades;(c) requirements for investment in, ownership and control of, and operation of vessels engaging in fishing and related activities in U. S. Territorial waters and the Exclusive Economic Zone (EEZ);(d) requirements related to documenting a vessel under the U. S. Flag;(e) promotional programs, including tax benefits, available for shipowners, operators and vessels meeting certain requirements;(f) certification, licensing and citizenship requirements for crew members on U. S. -flagged vessels;(g) manning requirements of U. S. -flagged vessels;(h) all matters falling under the jurisdiction of the Federal Maritime Commission;(i) negotiation and implementation of bilateral and other international maritime agreements and understandings;(j) limitations on longshore work performed by crew members;(k) tonnage duties and light money assessments for entering U. S. Waters; and(l) certification, licensing, and citizenship requirements for pilots performing pilotage services in U. S. Territorial waters. The following activities are notincluded in this reservation:(a) vessel construction and repair; and(b) landside aspects of port activities including operation and maintenance of docks, loading and unloading of vessels directly to or from land, marine cargo handling, operation and maintenance of piers, ship cleaning, stevedoring, transfer of cargo between a ship and trucks, trains, pipelines and wharves, waterfront terminal operations, boat cleaning, canal operation, dismantling of ships, operation of marine railways for drydocking, marine surveyors, except cargo, marine wrecking of ships for scrap and ship classification societies. LEGAL CITATION OF EXISTING MEASURES: Merchant Marine Act of 1920, 27, 46App. U. S. C. 883 et seq. (Jones Act, including Bowaters Corporations, 46App. U. S. C. 883-1);Jones Act Waiver Statute, Act ofDecember 27, 1950, 46 U. S. C. App. , note preceding Sec. 1;Shipping Act of 1916, 9, 46 U. S. C. App. 808;Shipping Act of 1916, 2, 46 U. S. C. App. 802;Merchant Marine Act of 1936, 905(c), 46 U. S. C. App. 1244;Merchant Ship Sales Act of 1946, 50U. S. C. App. 1738;46 U. S. C. App. 292;46 U. S. C. 12101 et seq. And 31301 etseq. ;46 U. S. C. App. 316 and 8904;Passenger Vessel Act, 46 U. S. C. 289;Merchant Marine Act of 1936, Title VI, 46 U. S. C. App. 1171, et seq. (includes Capital Construction Fund --46 App. U. S. C. 1177, 26 U. S. C. 7518)and the Merchant Marine Act of 1936, Title V, 46 U. S. C. App. 1151, et seq. (includes Capital Reserves Fund, 46App. U. S. C. 1161 and trade in ofobsolete vessels, 46 App. U. S. C. 1160(1) and for National DefenseReserve Fleet, 46 App. 1160(i));46 U. S. C. 31328(2);Merchant Marine Act of 1936, Title XI, 46 U. S. C. App. 1271, et seq. (includesMarine Hull Insurance Requirements --46 App. U. S. C. 1273(b) and 46 U. S. C. Part 249);Tonnage Duties, 46 App. U. S. C. 121;Merchant Marine Act of 1936, 901(a)and (b), 46 App. U. S. C. 1241(b);Public Resolution 17, 46 App. U. S. C. 1241-1; and the Cargo Preference Actof 1904, 10 U. S. C. 2631;Environmental laws: CERCLA (superfund)42 U. S. C. 9601 et seq. ; and OilPollution Act of 1990, 33 U. S. C. 2701;Clean Water Act, 33 U. S. C. 1251 etseq. ;46 U. S. C. 3301 et seq. ;46 U. S. C. 3701, et seq. ;Controlled Carrier Act, Shipping Actof 1984, 9, 46 App U. S. C. 1708;Merchant Marine Act of 1920, 19 asamended, 46 App. U. S. C. 876; ShippingAct of 1984, 13(b)(5); 46 App. U. S. C. 1712 (b)(5); and the Foreign ShippingPractices Act of 1988; Omnibus Tradeand Competitiveness Act of 1988, TitleX, 46 App. U. S. C. 1710a;Immigration Act of 1990, 203, 8U. S. C. 1288, restrictions onstevedoring by crews of foreignvessels;46 U. S. C. 8103;Nicholson Act, 46 U. S. C. App. 251;Commercial Fishing Industry VesselAnti-Reflagging Act of 1987, 46 U. S. C. 2101 and 46 U. S. C. 12108;43 U. S. C. 1841;22 U. S. C. 1980;Intercoastal Shipping Act, 46 App. U. S. C. 843;46 U. S. C. 9302, 46 U. S. C. 8502;Agreement Governing the Operation ofPilotage on the Great Lakes, Exchangeof Notes at Ottawa, August 23, 1978, and March 29, 1979, Treaties andInternational Agreements Service 9445;46 U. S. C. 12107(b); andMagnuson Fisheries Conservation andManagement Act, 16 U. S. C. 1801, etseq. ANNEX II Schedule of CanadaSECTOR: Aboriginal AffairsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107)DESCRIPTION:Investment and Cross-Border ServicesCanada reserves the right to adopt ormaintain any measure denying investorsof another Party and theirinvestments, or service providers ofanother Party, any rights orpreferences provided to aboriginalpeoples. LEGAL CITATION OF EXISTING MEASURES:[Constitution Act, 1982 and anyrelevant legislation or policy]============================================================================= ANNEX II Schedule of CanadaSECTOR: Social ServicesSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107)DESCRIPTION: Investment and Cross-Border ServicesCanada reserves the right to adopt ormaintain any measure with respect tothe provision of public lawenforcement and correctional services, and the following services to theextent that they are social servicesestablished or maintained for a publicpurpose: income security or insurance, social security or insurance, socialwelfare, public education, publictraining, health, and child care. LEGAL CITATION OF EXISTING MEASURES:============================================================================= ANNEX II Schedule of CanadaSECTOR: CommunicationsSUB-SECTOR: Telecommunications Transport Networks and Services, Radiocommunications and Submarine CablesINDUSTRY CLASSIFICATION: CPC 752 Telecommunications ServicesTYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) Senior Management (Article 1107)DESCRIPTION: InvestmentCanada reserves the right to adopt ormaintain any measure relating toinvestment in telecommunicationstransport networks andtelecommunications transport services, radiocommunications and submarinecables, including ownershiprestrictions and measures concerningcorporate officers and directors andplace of incorporation. This reservation does not apply toproviders of Value-Added Networks (CPC752323) and Other Message Services(CPC 752329) whose underlyingtelecommunications transmissionfacilities are leased from providersof public telecommunications transportnetworks. LEGAL CITATION OF EXISTING MEASURES: Bell Canada Act, S. C. 1987, c. 19 British Columbia Telephone Company Special Act, S. C. 1916, c. 66 Teleglobe Canada Reorganization and Divestiture Act, R. S. C. 1985, c. T-4 Telesat Canada Act, R. S. C. 1985, c. T-6 Radiocommunication Act, R. S. C. 1985, c. R-2; as amended by S. C. 1989 c. 1, c. 17 Telegraphs Act R. S. C. 1985, c. T-5 Telecommunications Policy Framework, 1987 Telecommunications Act (Bill C-62)============================================================================= ANNEX II Schedule of CanadaSECTOR: CommunicationsSUB-SECTOR: Telecommunications Transport Networks and Services, Radiocommunications and Submarine CablesINDUSTRY CLASSIFICATION: CPC 752 Telecommunication Services (not including CPC 752323 value-Added Network Service or CPC 752329 Other Message Services)TYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205)DESCRIPTION: Cross-Border ServicesCanada reserves the right to adopt ormaintain any measure relating toradio-communications, submarinecables, and the provision oftelecommunications transport networksand telecommunications transportservices. These measures apply tosuch matters as market entry, spectrumassignment, tariffs, intercarrieragreements, terms and conditions ofservice, interconnection betweennetworks and services, and routingrequirements that impede the provisionof telecommunications transportnetworks and telecommunicationstransport services, radiocommunication and submarine cables, ona cross-border basis. Telecommunications transport servicestypically involve the real-timetransmission of customer-suppliedinformation between two or more pointswithout any end-to-end change in theform or content of the customer'sinformation, whether or not suchservices are offered to the publicgenerally. These services includevoice and data services by wire, radiocommunication or any otherelectromagnetic means of transmission. This reservation does not apply tomeasures relating to the cross-borderprovision of enhanced or value-addedservices. LEGAL CITATION OF EXISTING MEASURES: Bell Canada Act, S. C. 1987, c. 19 British Columbia Telephone Company Special Act, S. C. 1916, c. 66 Railway Act, R. S. C. 1985, c. R-3 Radiocommunication Act, R. S. C. 1985, c. R-2; as amended by S. C. 1989, c. 1, c. 17 Telegraphs Act, R. S. C. 1985, c. T-5 Telecommunications Policy Framework, 1987 Telecommunications Act (Bill C-62) CRTC Decisions, including (85-19), (90-3), (91-10), (91-21), (92-11), (92-12)============================================================================= Annex II Schedule of CanadaSECTOR: Government FinanceSUB-SECTOR: SecuritiesINDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102)DESCRIPTION: InvestmentCanada reserves the right to adopt ormaintain any measure relating to theacquisition or sale or otherdisposition of bonds, treasury bills, or other kinds of debt securitiesissued by the Government of Canada, aprovince or local government bynationals of another Party. LEGAL CITATION OF EXISTING MEASURES: Financial Administrative Act, R. S. C. , 1985, Chap. F-11============================================================================ ANNEX II Schedule of CanadaSECTOR: minority AffairsSUB-SECTOR:INDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentCanada reserves the right to adopt ormaintain any measure according rightsor preferences to socially oreconomically disadvantaged minorities. LEGAL CITATION OF EXISTING MEASURES:None============================================================================= ANNEX II Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Air TransportationINDUSTRY CLASSIFICATION: SIC 4513 Non-Scheduled Air Transport, Specialty IndustryTYPE OF RESERVATION: National Treatment (Article 1102) Most-Favored-Nation Treatment (Article 1103) Senior Management (Article 1107)DESCRIPTION: InvestmentCanada reserves the right to adopt ormaintain any measure that restrictsthe acquisition or establishment of aninvestment in Canada for the provisionof specialty air services to aCanadian national or a corporationincorporated and having its principalplace of business in Canada, its chiefexecutive officer and not fewer than2/3 of its directors as Canadiannationals, and not less than 75% ofits voting interest owned andcontrolled by persons otherwisemeeting these requirements. LEGAL CITATION OF EXISTING MEASURES: Aeronautics Act, R. S. C. , 1985, c. A-2 Air Regulations, C. R. C. , Vol. I, c. 2 Air Regulations Series 2, No. 2 (Aircraft Marking and Registration Regulations), SOR/90-591============================================================================= ANNEX II Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Water Transport Industries SIC 4552 Harbour and Port Operation Industries SIC 4553 Marine Salvage Industry SIC 4554 Piloting Service, Water Transport Industry SIC 4559 Other Service Industries Incidental to Water TransportTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentCanada reserves the right to adopt ormaintain any measure relating to theinvestment in or provision of maritimecabotage services, including:(a) the transportation of goods or passengers by vessel between points in the territory of Canada and the Exclusive Economic Zone;(b) with respect to waters above the continental shelf, the transportation of goods in relation to the exploration, exploitation, or transportation of the mineral or non-living natural resources of the continental shelf; and(c) the engaging by vessel in any maritime activity of a commercial nature in the territory of Canada and the Exclusive Economic Zone and, with respect to waters above the continental shelf, in such other maritime activities of a commercial nature in relation to the exploration, exploitation or transportation of mineral or non- living natural resources of the continental shelf. This reservation relates to, amongother things, local presencerequirements for service providersentitled to participate in theseactivities, the criteria for theissuance of a temporary cabotagelicense to foreign vessels, and limitson the number of cabotage licensesissued to foreign vessels. LEGAL CITATION OF EXISTING MEASURES: Coasting Trade Act, S. C. , 1992, c. 31 Canada Shipping Act, R. S. C. , 1985, c. S-9 Customs Act, R. S. C. , 1985, c. 1 (2nd Supp. ) Customs and Excise Offshore Application Act, R. S. C. , 1985, c. C-53============================================================================= ANNEX II Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Marine Transport Industries SIC 4551 Marine Cargo Handling Industry SIC 4552 Harbour and Port OperationIndustry SIC 4553 Marine Salvage Industry SIC 4554 Piloting Service, Water Transport Industry SIC 4559 Other Service Industries Incidental to Water TransportTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation Treatment (Articles 1103, 1203) Local Presence (Article 1205) Performance Requirements (Article 1106) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentCanada reserves the right to adopt ormaintain any measure denying serviceproviders or investors of the UnitedStates, or their investments, thebenefits accorded service providers orinvestors of Mexico or any othercountry, or their investments, insectors equivalent to those subject tothe maritime services reservationinscribed in page II-U-8. LEGAL CITATION OF EXISTING MEASURES: None============================================================================= ANNEX II Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Water TransportationINDUSTRY CLASSIFICATION: SIC 4541 Freight and Passenger Water Transport Industry SIC 4542 Ferry Industry SIC 4543 Marine Towing Industry SIC 4549 Other Marine Transport Industries SIC 4551 Marine Cargo Handling Industry SIC 4552 Harbour and Port Operation Industry SIC 4553 Marine Salvage Industry SIC 4554 Piloting Service, Water Transport Industry SIC 4559 Other Service Industries Incidental to Water TransportTYPE OF RESERVATION: National Treatment (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205)DESCRIPTION: Cross-Border ServicesCanada reserves the right to adopt ormaintain any measure relating to theimplemention of agreements, arrangements and other formal orinformal undertakings with othercountries with respect to maritimeactivities in waters of mutualinterest in such areas as pollutioncontrol (including double hullrequirements for oil tankers), safenavigation, barge inspectionstandards, water quality, pilotage, salvage, drug abuse control, andmaritime communications. LEGAL CITATION OF EXISTING MEASURES: United States Wreckers Act, R. S. C. 1985, c. U-3 Various Agreements and Arrangements, including: (a) Memorandum or Arrangement on Great Lakes Pilotage; (b) Canada-United-States Joint Marine Pollution Circumpolar Agreement; (c) Agreement with the United States on Loran "C" Service on the East and West Coasts; and (d) Denmark - Canada Joint Marine Pollution Circumpolar Agreement. ANNEX II Schedule of MexicoSECTOR: All sectorsSUB-SECTOR: All sub-sectorsINDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Articles 1102, 1202)DESCRIPTION: Cross-Border Services and InvestmentMexico reserves the right to adopt ormaintain any measure restricting theownership of bonds, treasury bills orany other kind of debt or securityissued by the federal, state or localgovernments except with respect toownership by financial institutions ofanother Party, as such term is definedin Chapter Fourteen (FinancialServices). LEGAL CITATION OF EXISTING MEASURES:============================================================================= ANNEX II Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Entertainment Services (Broadcasting and Multipoint Distribution Systems (MDS))INDUSTRY CLASSIFICATION: CMAP 941104 Private Production and Transmission of Radio Programs (Limited to Transmission of Radio Programs, MDS and uninterrupted music) CMAP 941105 Private Services of Production, Transmission and Repetition of Television Programming (Limited to Transmission and Repetition of Television Programs, MDS, and High-Definition Television)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation (Articles 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1106)DESCRIPTION: Cross-Border Services and InvestmentMexico reserves the right to adopt ormaintain any measure relating toinvestment in or provision ofbroadcasting, multipoint distributionsystems, uninterrupted music andhigh-definition television services. LEGAL CITATION OF EXISTING MEASURES:Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution)Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law)Ley Federal de Radio y Televisi¢n(Radio and Television Federal Law)Ley Para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)============================================================================= ANNEX II Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: TelecommunicationsINDUSTRY CLASSIFICATION: CMAP 720006 Other Telecommunications Services (Limited to Aeronautical Mobile and Fixed Services)TYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation (Articles 1103, 1203) Local Presence (Article 1205)DESCRIPTION: Cross-Border Services and InvestmentMexico reserves the right to adopt ormaintain any measure relating toinvestment in or provision of airtraffic control, aeronauticalmeteorology, aeronauticaltelecommunications, flight control andother telecommunication servicesrelating to air navigation services. LEGAL CITATION OF EXISTING MEASURES:Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution)Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law)Decree creating the entity "Serviciosa la navegaci¢n en el espacio a‚reomexicano" (SENEAM) (Air Services inthe Mexican Air Space), 3 de octubrede 1978Ley para Promover la Inversi¢nMexicana y Regular la Inversi¢nExtranjera (Law to Promote MexicanInvestment and to Regulate ForeignInvestment)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)============================================================================= ANNEX II Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Telecommunications Transport NetworksINDUSTRY CLASSIFICATION: CMAP 720003 Telephone Services CMAP 720004 Telephone Booth Services CMAP 720006 Other Telecommunications Services (Not Including Enhanced or Value-Added Services) CMAP 502003 Telecommunications installationsTYPE OF RESERVATION: National Treatment (Articles 1102, 1202) Most-Favored-Nation (Articles 1103, 1203) Local Presence (Article 1205)DESCRIPTION: Cross-Border Services and InvestmentMexico reserves the right to adopt ormaintain any measure relating toinvestment in, or provision of, telecommunications transport networksand telecommunication transportservices. Telecommunications transportnetworks include the facilities toprovide telecommunications transportservices such as local basic telephoneservices, long-distance telephoneservices (national and international), rural telephone services, cellulartelephone services, telephone boothservices, satellite services, trunking, paging, mobile telephony, maritime telecommunication services, air telephone, telex, and datatransmission services. Telecommunications transport servicestypically involve the real-timetransmission of customer-suppliedinformation between two or more pointswithout any end-to-end change in theform or content of the customer'sinformation, whether or not suchservices are offered to the publicgenerally. LEGAL CITATION OF EXISTING MEASURES:Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution)Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law)Reglamento de Telecomunicaciones(Telecommunications Regulations)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment)============================================================================= ANNEX II Schedule of MexicoSECTOR: Communications and TransportationSUB-SECTOR: Postal Services, Telecommunications, RailroadsINDUSTRY CLASSIFICATION: CMAP 720001 Postal Services CMAP 720005 Telegraphic Services, Radiotelegraphic Services, Wireless Telegraphy CMAP 720006 Other Telecommunications services (limited to satellite communications) CMAP 711101 Railway Transportation Service (limited to operation, administration and control of traffic within the Mexican railway system, supervision and management of railway rights-of-way, construction, operation, and maintenance of basic railway infrastructure)TYPE OF RESERVATION: National Treatment (Article 1202) Most-favored-Nation Treatment (Article 1203) Local Presence (Article 1205)DESCRIPTION: Cross-Border ServicesMexico reserves the right to adopt ormantain any measure related to theprovision of the following services:postal services (operation, administration and organization offirst class mail), telegraph, radiotelegraphy, satellitecommunications (establishment, ownership and operation of satellitesystems, and establishment, ownershipand operation of earth stations withinternational links), and railroads(operation, administration and controlof traffic within the Mexican railwaysystem, supervision and management ofrailway rights-of-way, construction, operation, and maintenance of basicrailway infrastructure). LEGAL CITATION OF EXISTING MEASURES:Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos, (United MexicanStates Political Constitution) Article28Ley de V¡as Generales de Comunicaci¢n(General Means of Communications Lawand its regulations)Ley Org nica de FerrocarrilesNacionales de M‚xico (Mexican NationalRailroad Law)Ley del Servicio Postal Mexicano(Mexican Postal Services Law and itsregulations)============================================================================= ANNEX II Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Other Services Provided by Natural PersonsSUB-SECTOR: Professional ServicesINDUSTRY CLASSIFICATION: CMAP 951002 Legal Services/Foreign Legal ConsultantsTYPE OF RESERVATION: National Treament (Article 1102, 1202) Most-Favored-Nation Treatment (Article 1103, 1203) Local Presence (Article 1205) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentSubject to page VI-M-2, Mexicoreserves the right to adopt ormaintain any measure relating to theprovision of legal services andforeign legal consultancy services byperson of the United States. LEGAL CITATION OF EXISTING MEASURES:Ley Reglamentaria del Art¡culo 5o. Constitucional, relativo al ejerciciode las profesiones en el DistritoFederal (Regulatory Law of Article 5'of the United Mexican States PoliticalConstitution in relation toProfessional Services)Reglamento de la Ley para Promover laInversi¢n Mexicana y Regular laInversi¢n Extranjera (Regulations ofthe Law to Promote Mexican Investmentand to Regulate Foreign Investment). ============================================================================= ANNEX II Schedule of MexicoSECTOR: Social ServicesSUB-SECTOR: Not applicableINDUSTRY CLASSIFICATION:TYPE OF RESERVATION: National Treatment (Article 1102, 1202) Local Presence (Article 1205) Senior Management (Article 1107)DESCRIPTION: Cross-Border Services and InvestmentMexico reserves the right to adopt ormaintain any measure with respect tothe provision of public lawenforcement and correctional services, and the following services to theextent they are social servicesestablished or maintained for a publicpurpose: income security orinsurance, social security orinsurance, social welfare, publiceducation, public training, health, and child care. LEGAL CITATION OF EXISTING MEASURES:============================================================================= ANNEX II Schedule of MexicoSECTOR: TransportationSUB-SECTOR: Specialized PersonnelINDUSTRY CLASSIFICATION: Ship Captains (Capitanes) Aircraft Pilots (Pilotos) Ship Masters (Patrones) Ship Machinists (Maquinistas) Ship Mechanics (Mec nicos) Airport Administrators (Comandantes de Aer¢dromos) Harbor Masters (Capitanes de Puerto) Harbor Pilots (Pilotos de Puerto) Customs Brokers (Agentes Aduanales) Crew on Mexican flagged vessels and aircraft (Personal que tripule cualquier embarcaci¢n o aeronave con bandera o insignia mercante mexicana)TYPE OF RESERVATION: National Treament (Article 1202) Most-Favored-Nation Treatment (Article 1203) Local Presence (Article 1205)DESCRIPTION: Cross-Border ServicesOnly Mexicans by birth may serve ascaptains, pilots, ship masters, machinists, mechanics and crew membersmanning vessels or aircraft under theMexican flag; as harbor pilots, harbormasters and airport administrators;and as customs brokers. LEGAL CITATION OF EXISTING MEASURES:Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos, (PoliticalConstitution of United Mexican States)ANNEX III Schedule of MexicoI. The Mexican State reserves the right to perform exclusively, and to refuse to permit the establishment of investments in, thefollowing activities:1. Petroleum, other Hydrocarbons and Basic Petrochemicals (a) Description of activities (i) exploration and exploitation of crude oil and natural gas; refining or processing of crude oil and natural gas; and production of artificial gas, basic petrochemicals and their feedstocks and pipelines; and, (ii) foreign trade; transportation, storage and distribution up to and including first hand sales of the following goods: crude oil; natural and artificial gas; goods obtained from the refining or processing of crude oil and natural gas; and basic petrochemicals. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25, 27 and 28 (United Mexican States PoliticalConstitution, Articles 25, 27 and 28). Ley Reglamentaria del Art¡culo 27 Constitucional en elRamo del Petr¢leo y sus reglamentos (Regulatory Law ofArticle 27 of the United Mexican States Constitutionrelated to Oil, and its regulations). Ley Org nica de Petr¢leos Mexicanos y OrganismosSubsidiarios (Statutory Law of Petr¢leos Mexicanos andits Subsidiaries). ============================================================================= ANNEX III Schedule of Mexico2. Electricity (a) Description of activities: the supply of electricity as a public service in Mexico, including, except as provided in Annex 602. 3 of the Energy Chapter, the generation, transmission, transformation, distribution and sale of electricity. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States PoliticalConstitution, Articles 25 and 28). Ley del Servicio P£blico de Energ¡a El‚ctrica y sureglamento (Public Service of Electric Energy Law, andits Regulations)3. Nuclear Power and Treatment of Radioactive Minerals (a) Description of activities: the generation of nuclear energy; the exploration, exploitation and processing of radioactive minerals; the nuclear fuel cycle; the use and reprocessing of nuclear fuels and the regulation of their applications for other purposes; the transportation and storage of nuclear wastes; and the production of heavy water. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25, 27 and 28 (United Mexican Constitution, Article 25, 27 and 28). Ley Reglamentaria del Art¡culo 27 Constitucional enMateria de Energ¡a Nuclear (Regulatory Law of theAticle 27 of the United Mexican Constitution related toAtomic Energy). ============================================================================= ANNEX III Schedule of Mexico4. Satellite Communications (a) Description of activities: the establishment, operation and ownership of satellite systems and earth stations with international links. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States, Articles 25and 26). Ley de V¡as Generales de Comunicaci¢n y sus reglamentos(General Means of Communication Law)5. Telegraph Services Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States, Articles 25 and 28) Ley de V¡as Generales de Comunicaci¢n y sus reglamentos (General Means Communication Law)6. Radiotelegraph Services Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States Political Constitution, Article 25 and 28) Ley de V¡as Generales de Comunicaci¢n y sus reglamentos (Genral Means of Communication Law). ============================================================================= ANNEX III Schedule of Mexico7. Postal Services (a) Description of activities: operation, administration and organization of first class mail. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States PoliticalConstitution, Articles 25 and 28). Ley del Servicio Postal Mexicano (Mexican PostalService Law)8. Railroads (a) Description of activities: the operation, administration and control of traffic within the Mexican railway system; supervision and management of railway right-of-way; operation, construction and maintenance of basic railway infrastructure. (b) Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States PoliticalConstitution, Articles 25 y 28). Ley Org nica de Ferrocarriles Nacionales de M‚xico(Statutory Law of Mexican Railroads). 9. Issuance of Bills (currency) and Minting of Coinage Legal citation: Constituci¢n Pol¡tica de los Estados Unidos Mexicanos, Articles 25 and 28 (United Mexican States Political Constitution, Articles 25 and 28). ============================================================================= ANNEX III Schedule of Mexico Ley Org nica del Banco de M‚xico (Statutory Law of Banco de M‚xico). Ley Org nica de la Casa de Moneda de M‚xico (Statutory Law of the Mexican Coining Agency). 10. Control, Inspection and Surveillance of Maritime and Inland(Lake and River) Ports Legal citation: Ley de Navegaci¢n y Comercio Mar¡timo (Commercial and Navigation Law), Articles 43 and 47. Ley de V¡as Generales de Comunicaci¢n (General Means of Communication Law) Article 272. 11. Control, Inspection and Surveillance of Airports andHeliports Legal citation: Ley de V¡as Generales de Comunicaci¢n (General Means of Communication) Article 327. The legal citations are provided only for transparency purposes. II. Deregulation of Activities Reserved to the State1. The activities set out in Section I are reserved to theMexican State, and private equity investment is prohibited underMexican Law. Where Mexico allows private investment toparticipate in such activities through service contracts, concessions, lending arrangements or any other type ofcontractual arrangement, such participation shall not beconstrued to affect the State's reservation of those activities. 2. If Mexican laws or regulations are amended to allow privateequity investment in an activity set out in Section I, Mexico mayimpose restrictions on foreign investment============================================================================= ANNEX III Schedule of Mexicoparticipation notwithstanding Article 1102 and describe them inAnnex I. Mexico may also impose derogations from 1102 on foreignequity investment participation when selling an asset orownership interest in an enterprise in activities set out inSection I and describe them in Annex I. III. Activities Formerly Reserved to the Mexican State Where an activity was reserved to the Mexican State onJanuary 1, 1992 and is not reserved to the Mexican State uponentry into force of this Agreement, Mexico may restrict theinitial sale of a state-owned asset or an ownership interest in astate enterprise that performs that activity to enterprises withmajority ownership by Mexican nationals, as defined by theMexican Constitution. For a period not to exceed three years fromthe initial sale, Mexico may restrict the transfer of such assetor ownership interest to other enterprises with majorityownership by Mexican nationals, as defined by the MexicanConstitution. Upon expiration of the three year period, theobligations of national treatment set out in Article 1102(National Treatment) shall apply. This provision is subject toArticle 1108 (Reservations and exceptions). ANNEX IV The Schedule of a Party sets out the reservations taken bythat Party pursuant to Article 1108(7) with respect to Article1103 (Most-Favored-Nation Treatment). Each reservation sets outthe sector, subsector or activities to which it applies. ANNEX IV Schedule of the United States The United States takes an exception to Article 1103 for allinternational agreements (bilateral and multilateral) in force orsigned prior to the date of entry into force of this Agreement. As for international agreements other than those in force orsigned prior to the date of entry into force of this Agreement, the United States takes an exception to Article 1103 for thoseagreements involving:1. Aviation;2. Fisheries;3. Maritime matters, including salvage; or4. Telecommunications. With respect to state measures not yet described in Annex I, pursuant to paragraph 2 of Article 1108, the United States takesan exception to Article 1103 for international agreements signedwithin two years of the entry into force of this Agreement. For greater certainty, the Parties note that Article 1103does not apply to any current or future foreign aid programs topromote economic development, such as those governed by theEnergy Economic Cooperation Program with Central America and theCaribbean (Pacto de San Jos‚) and the OECD Agreement on ExportCredits. ANNEX IV Schedule of Canada Canada takes an exception to Article 1103 for allinternational agreements (bilateral and multilateral) in force orsigned prior to the date of entry into force of this Agreement. As for international agreements other than those in force orsigned prior to the date of entry into force of this Agreement, Canada takes an exception to Article 1103 for those agreementsinvolving:1. Aviation;2. Fisheries;3. Maritime matters, including salvage; or4. Telecommunications. With respect to provincial measures not yet described inAnnex I, pursuant to paragraph 2 of Article 1108, Canada takes anexception for international agreements signed within two years ofthe entry into force of this Agreement. For greater certainty, the Parties note that Article 1103does not apply to any current or future foreign aid programs topromote economic development, such as those governed by theEnergy Economic Cooperation Program with Central America and theCaribbean (Pacto de San Jos‚) and the OECD Agreement on ExportCredits. ANNEX IV Schedule of Mexico Mexico takes an exception to Article 1103 for allinternational agreements (bilateral and multilateral) in force orsigned prior to the date of entry into force of this Agreement. As for international agreements other than those in force orsigned prior to the date of entry into force of this Agreement, Mexico takes an exception to Article 1103 for those agreementsinvolving:1. Aviation;2. Fisheries;3. Maritime matters, including salvage; or4. Telecommunications. With respect to state measures not yet described in Annex I, pursusant to paragraph 2 of Article 1108, Mexico takes anexception to Article 1103 for international agreements signedwithin two years of the entry into force of this Agreement. For greater certainty, the Parties note that Article 1103does not apply to any current or future foreign aid programs topromote economic development, such as those governed by theEnergy Economic Cooperation Program with Central America and theCaribbean (Pacto de San Jos‚) and the OECD Agreement on ExportCredits. ANNEX V Schedule of United StatesSECTOR: CommunicationsSUB-SECTOR: Telecommunications (Radio Communications)INDUSTRY CLASSIFICATION: CPC 752 Telecommunications ServicesLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Communications Act of 1934, as amended, Sections 1, 2, 4, and Title III, 47 U. S. C. 151 et. Seq. (1988)DESCRIPTION: The Communications Act of 1934 (theAct) requires anyone wishing to engagein communications by radio within theUnited States and between the UnitedStates and points outside the UnitedStates to obtain a license from theFederal Communications Commission(FCC) for the use, but not theownership, of all channels of radiocommunications; and no such licenseshall be construed to create any rightbeyond the terms, conditions andperiods of the license. The Act requires the FCC, in grantingradio station licenses, to determineif such a license would serve thepublic interest, convenience andnecessity and empowers the FCC toimpose conditions pursuant to thisdetermination. The Act also empowersthe FCC to deny applications for radiolicenses where it is unable to findthat such grant would serve the publicinterest, convenience and necessity. ============================================================================= ANNEX V Schedule of United StatesSECTOR: CommunicationsSUB-SECTOR: Cable Television ServicesINDUSTRY CLASSIFICATION: CPC 753 Radio and Television Cable ServicesLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Communications Act of 1934, as amended, 47 U. S. C. 151 et. Seq. (1988) Federal Communications Commission Rules, Sections 76. 501, 74. 931(e)(5), 63. 54, and 21. 912 47 C. F. R. 76. 501, 74. 931(e)(5), 63. 54, and 21. 912DESCRIPTION: A cable television system is notallowed to carry any televisionbroadcast signal if the cable systemowns, operates, controls or has aninterest in a television broadcaststation whose Grade B contour overlapsthe service area of such cable system. (76. 501(a))A cable television system may directlyor indirectly own, operate, control, or have an interest in a nationaltelevision network (such as ABC, CBS, or NBC) only if such system does notpass more than (i) 10 percent of homespassed on a nationwide basis whenaggregated with all other cablesystems in which the network holdssuch a cognizable interest, and (ii)50 percent of homes passed within anyone ADI (Arbitron Area of DominantInfluence), except that a cabletelevision system facing a competingsystem will not be counted toward this50 percent limit. (76. 501(b))A cable television company may notlease excess transmission time orcapacity from a licensee of anInstructional Television Fixed Service(ITFS) station (television servicesintended for use in educationalinstitutions) if the ITFS station islocated within 20 miles of that cabletelevision company's franchise area. (74. 931(e)(5))A telephone common carrier may notengage in the provision (e. G. , ownership, control, or production) ofvideo programming to the viewingpublic in its telephone service area, but may distribute such programming ona common carrier basis and may onlyhave up to a five percent non-controlling financial interest invideo programmers. (63. 54(a))A telephone common carrier may notprovide channels of communications orpole line conduit space, or otherrental arrangements to any entitywhich is directly or indirectly owned, operated or controlled by, or undercommon control with, such telephonecommon carrier, where such facilitiesor arrangements are to be used for, orin connection with, the provision ofvideo programming to the viewingpublic in the telephone service areaof the telephone common carrier. (63. 54(b))In cable television franchise areasserved by a single cable operator, that operator may not be authorized touse frequencies assigned to theMultichannel Multipoint DistributionService (MMDS) (the 2150-2165 Mhz and2596-2644 Mhz bands), if a portion ofan MMDS station's protected servicearea lies within that cable televisionoperator's franchise area. (21. 912)============================================================================= ANNEX V Schedule of the United StatesSECTOR: EnergySUB-SECTOR: Natural Gas TransportationINDUSTRY CLASSIFICATION: SIC 4922 Natural Gas Transmission SIC 4923 Natural Gas Transmission and Distribution SIC 4924 Natural Gas DistributionLEGAL CITATION: 15 U. S. C. Section 717(f) 18 C. F. R. Part 157DESCRIPTION: Section 7(c) of the Natural Gas Act of1938, as amended, requires a naturalgas company, or a person which will bea natural gas company upon completionof proposed construction or extensionof transportation facilities, toobtain a certificate of publicconvenience and necessity toconstruct, extend, acquire, or operatesuch facilities. In addition, acertificate is required to transportor sell for resale natural gas ininterstate commerce. The Act requires the FERC to holdhearings on applications for permanentcertificates and to give interestedpersons notice of such hearings andnotices of applications are publishedin the Federal Register. The FERC does not require acertificate of pubic convenience andnecessity for certain replacementconstruction, maintenance, emergencyfacilities, auxiliary installations, and certain types of taps. Natural gas services for drilling oilwells, or for testing or purging newnatural gas pipeline facilities areexempt from the certificaterequirement. Certain "emergency" sales, transportation, or exchanges areexempt from the certificaterequirement. When a certificate isrequired, the FERC may grant atemporary certificate for sale ortransportation in emergencycircumstances, pending thedetermination on a permanentcertificate. ============================================================================= ANNEX V Schedule of the United StatesSECTOR: Postal ServicesSUB-SECTOR: Postal ServicesINDUSTRY CLASSIFICATION: SIC 4311 United States Postal ServiceLEVEL OF GOVERNMENT: FederalLEGAL CITATION: 39 U. S. C.  401 et seq. 18 U. S. C.  1693 39 C. F. R. Parts 310 and 320DESCRIPTION: The United States Postal Service isgenerally authorized to "receive, transmit, and deliver throughout theUnited States, its territories andpossessions . . . Written and printedmatter, parcels and like materials. "The Postal Service also has theexclusive authority to "provide andsell postage stamps. "A carrier other than the U. S. PostalService may carry letters if, amongother things, each letter is enclosedin an envelope, proper postage hasbeen paid in stamps, the stamp iscanceled by the sender, and thecarrier endorses the envelope. The postal regulations define"letters" to exclude telegrams, booksand magazines, and other materials. The regulations also permit letters tobe carried accompanying cargo, by thesender, by others withoutcompensation, and by specialmessengers. The Postal Service hassuspended its regulations with respectto private "express mail" services. ============================================================================= ANNEX V Schedule of United StatesSECTOR: RecreationSUB-SECTOR: National Parks ConcessionsINDUSTRY CLASSIFICATION: SIC 7999 Amusement and Recreation Services, Not Elsewhere ClassifiedLEVEL OF GOVERNMENT: FederalLEGAL CITATION: 16 U. S. C.  20 and 20aDESCRIPTION: A concession is required to operatehotels, restaurants, gift shops, snackbars, equipment rentals, horsebackriding services, guide services, fishing guides, mountain climbing, bustransportation, and other servicesfacilities in U. S. National parks. The National Park Service regulatesall aspects of these services, including building specifications, rates for the services, and hours ofoperation. The National Park Service awardsconcessions only where they aredetermined to be "necessary andappropriate. " In developing its plansfor the operation of a national park, the Park Service determines whatoperations, including concessions, are"necessary and appropriate. " As aresult of this determination, the ParkService may determine that a givenconcession is not needed. ANNEX V Schedule of CanadaSECTOR: Communication IndustriesSUB-SECTOR: Postal ServicesINDUSTRY CLASSIFICATION: SIC 4841 Postal Service IndustryLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Canada Post Corporation Act, R. S. C. , c. C-10 Letter Definition Regulations, SOR/83-481DESCRIPTION: Canada Post Corporation has theexclusive privilege to collect, transmit and deliver "letters", asdefined in the Letter DefinitionRegulations, addressed in theterritory of Canada, and its assent isrequired in order for other persons tosell stamps. ============================================================================= ANNEX V Schedule of CanadaSECTOR: CommunicationsSUB-SECTOR: RadiocommunicationsINDUSTRY CLASSIFICATION: CPC 752 TelecommunicationLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Radiocommunication Act, R. S. C. 1985, c. R-2; as amended by S. C 1989 c. 1, c. 17, ss. 5, 6DESCRIPTION: A person desiring to operate a privateradio transmission system must obtaina licence from the Department ofCommunications. The issuance of suchlicence is subject to spectrumavailability and policies regardingits use. In general, priority isgiven to the use of spectrum for thepurpose of developing non-privatenetworks. ============================================================================= ANNEX V Schedule of CanadaSECTOR: EnergySUB-SECTOR: Electricity TransmissionINDUSTRY CLASSIFICATION: [To be provided]LEVEL OF GOVERNMENT: FederalLEGAL CITATION: National Energy Board Act, R. S. C. , 1985, c. N-6DESCRIPTION: Under Part III of the Act, construction and operation ofinternational electricity transmissionlines may require approval by theNational Energy Board. ============================================================================= ANNEX V Schedule of CanadaSECTOR: EnergySUB-SECTOR: Oil and Gas TransportationINDUSTRY CLASSIFICATION: [To be provided]LEVEL OF GOVERNMENT: FederalLEGAL CITATION: National Energy Board Act R. S. C. , 1985 c. N-6DESCRIPTION: The approval of the National EnergyBoard (NEB) is required for theconstruction and operation of allinterprovincial or internationalpipelines for the transmission of oilor gas. A public hearing must be heldand a certificate of publicconvenience and necessity issued wherethe pipeline in question is longerthan 40 kilometers. Pipelines shorterthan 40 kilometers may be authorizedby an order without a public hearing. All modifications to and extension ofpipelines must be approved by theBoard. Part IV of the Act requires that alltolls for the transmission of oil andgas on NEB-regulated pipelines and alltariff matters shall be filed with orapproved by the NEB. A public hearingmay be held in considering toll andtariff matters. ============================================================================= ANNEX V Schedule of CanadaSECTOR: Food, Beverages and Drug Industries, RetailSUB-SECTOR: Liquor, Wine and Beer StoresINDUSTRY CLASSIFICATION: 6021 Liquor Stores 6022 Wine Stores 6023 Beer StoresLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Importation of Intoxicating Liquors Act, R. S. C. , 1985, c. I-3DESCRIPTION: The Importation of IntoxicatingLiquors Act gives each provincialgovernment an import monopoly on anyintoxicating liquors entering itsterritory. ============================================================================= ANNEX V Schedule of CanadaSECTOR: TransportationSUB-SECTOR: Land TransportationINDUSTRY CLASSIFICATION: SIC 457 Public Passenger Transit SystemsLEVEL OF GOVERNMENT: Federal (administration delegated to provinces)LEGAL CITATION: National Transportation Act, 1987, R. S. C. , 1985, c. 28 (3rd Supp. )DESCRIPTION: Provincial transport boards have beendelegated the authority to permitpersons to provide extra-provincial(inter-provincial and cross-border)bus services in their respectiveprovinces on the same basis as localbus services. All provinces, exceptNew Brunswick, Prince Edward Islandand Yukon, permit the provision oflocal and extra-provincial busservices on the basis of a publicconvenience and necessity test. ANNEX V Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: TelecommunicationsINDUSTRY CLASSIFICATION: CMAP 720006 Other Telecommunications Services (Limited to Private Networks)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de V¡as Generales de Comunicaci¢n(General Means of Communication Law), Libro Primero, Cap¡tulo III(Concesiones, Permisos y Contratos)Reglamento de Telecomunicaciones(Telecommunications Regulations), Cap¡tulo 2 Cap¡tulo 4 (Permisos)DESCRIPTION: Cross-Border ServicesResale of circuit capacity of aprivate network may not exceed 30percent of such capacity. ============================================================================= ANNEX V Schedule of MexicoSECTOR: Private Educational ServicesSUB-SECTOR:INDUSTRY CLASSIFICATION: CMAP 921101 Preschool Private Educational Services CMAP 921102 Primary School Private Educational Services CMAP 921103 Secondary School Private Educational Services CMAP 921104 Middle High (Preparatory) School Private Educational Services CMAP 921105 Higher Private Educational Services CMAP 921106 Private Educational Services that Combine Preschool, Primary, Secondary, Middle High and Higher School InstructionLEVEL OF GOVERNMENT: Federal and StateLEGAL CITATION: Constituci¢n Pol¡tica de los EstadosUnidos Mexicanos (United MexicanStates Political Constitution)T¡tuloPrimero, Cap¡tulo ILey Federal de Educaci¢n (FederalEducation Law) Cap¡tulos I, II, III yIVLey para la Coordinaci¢n de laEducaci¢n Superior (Higher EducationCoordination Law) Cap¡tulos I y IILey Reglamentaria del Art¡culo 5Constitucional relativo al ejerciciode las profesiones en el DistritoFederal, (Regulatory Law of Article 5of the United Mexican States PoliticalConstitution in relation toProfessional Services) Article 1, related articles and its RegulationArt. 12, Cap¡tulos I y III, SeccionesI y IIIReglamento de la Ley Reglamentaria delArt¡culo 5 Constitucional relativo alejercicio de las profesiones en elDistrito Federal, (Regulation of theRegulatory Law of Article 5 of theUnited Mexican States PoliticalConstitution in relation toProfessional Services) Cap¡tulo VDESCRIPTION: Cross-Border Services and InvestmentFor the provision of primary, secondary, normal and workers orpeasants educational services, priorand express authorization granted bythe Secretar¡a de Educaci¢n P£blica orcorresponding state authorities isrequired. Such authorization isgranted on a case-by-case basis inaccordance with public convenience andnecessity. ============================================================================= ANNEX V Schedule of MexicoSECTOR: TransportationSUBÄSECTOR: Land TransportationINDUSTRY CLASSIFICATION: CMAP 973103 Vehicle Parking services) Services (Parking and garage CMAP 973104 Weight Scale Services for Transportation. CMAP 973105 Towing Services for Vehicles. CMAP 973106 Other Services Related to Land Transportation not mentioned in sections 9731, 7112 and 7113 of the CMAPLEVEL OF GOVERNMENT: Federal and StateLEGAL CITATION: Ley de V¡as Generales deComunicaci¢n (General Means ofCommunication Law)State laws [to be provided]DESCRIPTION: A permit issued by the Secretar¡a deComunicaciones y Transportes isrequired to provide services relatedto land transportation. In some statessuch permits are granted on a basis ofthe public convenience and necessity. Annex VI Schedule of United StatesSECTOR: CommunicationsSUB-SECTOR: BroadcastingINDUSTRY CLASSIFICATION: CPC 7524 Program Transmission ServicesLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Communications Act of 1934, as amended, Sections 309, 325, 47 U. S. C. 309, 325 (1988)DESCRIPTION: The United States will ensure that inconsidering applications for a grantof authority to transmit programmingto foreign stations for retransmissioninto the United States under Section325 of the Communications Act of 1934(the Act), the Federal CommunicationsCommission (FCC) will not consider thenationality of the affected stationsfor the purpose of favoring a U. S. Station that is competing with aMexican station for affiliation with aU. S. Programmer. Rather the FCC willapply the criteria for the grant ofsuch permit in the same manner aswould be applied to a domesticbroadcast station application underSection 309 of the Act. In addition, the term of the Section325 permit shall be extended from oneyear to five years in all situationswhere it can be assured that theretransmitting station is and will bein full compliance with applicabletreaties. In assessing the publicinterest, convenience, and necessityrequired by the Act for the grant ofauthorization under Section 325, theprimary criterion will be avoiding thecreation or maintenance of electricalinterference to U. S. Broadcaststations that violates applicabletreaty provisions. In evaluating thisand any other criteria permitted underSection 309, the U. S. Will ensure thatthe Section 325 process shall not beconducted in a manner that wouldconstitute an unnecessary restrictionon trade. ============================================================================= ANNEX VI Schedule of the United StatesSECTOR: Professional ServicesSUB-SECTOR: AttorneysINDUSTRY CLASSIFICATION: SIC 8111 Legal ServicesLEVEL OF GOVERNMENT: StateLEGAL CITATION: [to be provided]DESCRIPTION: Lawyers authorized to practice in Mexico or Canada and law firms headquartered in Mexico or Canada will be permitted to provide foreign legal consultancy services, and to establish for that purpose, in Alaska, California, Connecticut, District of Columbia, Florida, Georgia, Illinois, Michigan, New Jersey, New York, Ohio, Oregon, Texas, and Washington, or in any other state that so permits by the date of entry into force of this agreement. ANNEX VI Schedule of CanadaSECTOR: Professional ServicesSUB-SECTOR: LawyersINDUSTRY CLASSIFICATION: SIC [To be provided]LEVEL OF GOVERNMENT: ProvincialLEGAL CITATION: [To be provided]DESCRIPTION: Lawyers authorized to practise inMexico or the United States and lawfirms headquartered in Mexico or theUnited States will be permitted toprovide foreign legal consultancyservices and to establish for thatpurpose, in British Columbia, Ontario, and Saskatchewan, and in any otherprovince that so permits by the dateof entry into force of this Agreement. ANNEX VI Schedule of MexicoSECTOR: CommunicationsSUB-SECTOR: Entertainment Services (Cinema)INDUSTRY CLASSIFICATION: CMAP 941102 Private Services of Distribution and Films RentalLEGAL CITATION: Ley de la Industria Cinematogr fica(Motion Picture Industry Law)Reglamento de la Ley de la IndustriaCinematogr fica. (Regulations of theMotion Picture Industry Law)DESCRIPTION: Cross-Border ServicesA distributor of films producedoutside of Mexico is required toprovide to the Cineteca Nacional nomore than one copy of two film titlesof each five film titles imported bysuch distributor into Mexico. ============================================================================= ANNEX VI Schedule of MexicoSECTOR: Professional, Technical and Specialized Services and Services Provided by Natural PersonsSUB-SECTOR: Professional ServicesINDUSTRY CLASSIFICATION: CMAP 951002 Legal Services and Foreign Legal ConsultantsLEVEL OF GOVERNMENT: Federal and StateLEGAL CITATION: [to be provided]DESCRIPTION: 1. Mexico will ensure that:(a) a lawyer authorized to practice in a province of Canada or a state of the United States of America who seeks to practice as a foreign legal consultant in Mexico shall be granted a license to do so if lawyers licensed in Mexico are accorded equivalent treatment in such province or state; and(b) a law firm headquartered in a province of Canada or a state of the United States of America that seeks to establish in Mexico to provide legal services through licensed foreign legal consultants shall be authorized to do so if law firms headquartered in Mexico are accorded equivalent treatment in such province or state. 2. Mexico will, pursuant toparagraph 1(a), deny benefits toforeign lawyers employed by orassociated with foreign legalconsultancy firms established inMexico, pursuant to paragraph 1(b), ifsuch lawyers are not authorized topractice in a province of Canada or astate of the United States of Americathat authorizes lawyers licensed inMexico to practice as foreign legalconsultants in its territory. 3. Subject to paragraphs 1 and 2, Mexico will adopt rules and proceduresregarding the practice of foreignlegal consultants in Mexico, includingmatters related to association andhiring of lawyers licensed in Mexico. ============================================================================= ANNEX VI Schedule of MexicoSECTOR: TransportationSUBSECTOR: Land TransportationINDUSTRY CLASSIFICATION: CMAP 711201 Road Transport Services for Construction Materials CMAP 711202 Road Transport Moving Services CMAP 711203 Other Services of Specialized Cargo Transportation CMAP 711204 General Trucking Services CMAP 711311 Inter-City Busing Services CMAP 711318 School and Tourist Transportation Services (limited to Tourist Transportation Services)LEGAL CITATION: Federal regulations will beestablished in relation to leasing andrental operations. DESCRIPTION: An enterprise authorized in Mexico toprovide bus or truck transportationservices may use equipment of its own, leased vehicles with option topurchase (financial leasing), leasedvehicles (operational leasing), orshort-term rental vehicles. ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: BankingTYPE OF RESERVATION: Article 1409 (Staffing)MEASURE: U. S. Citizenship requirements for chief executive officers of national banks not affiliated or owned by foreign banksLEVEL OF GOVERNMENT: FederalLEGAL CITATION: The National Bank Act, 12 U. S. C.  72. DESCRIPTION: All directors of a national bank mustbe citizens of the United States. Because it is also required that chiefexecutive officers of all nationalbanks be directors, a chief executiveofficer of a national bank must be acitizen of the United States. Anexception from these requirementsexists for national banks affiliatedor owned by foreign banks. Such banksare only required to have citizensconstitute a simple majority of thedirectors and need not employ citizensas chief executive officers. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: BankingTYPE OF RESERVATION: Article 1409 (Staffing)MEASURE: Residency requirements on boards of directors of national banksLEVEL OF GOVERNMENT: FederalLEGAL CITATION: The National Bank Act, 12 U. S. C.  72. DESCRIPTION: Two-thirds of the directors of anational bank must have (i) residedfor one year prior to their election, and (ii) continue to reside, in thestate in which the bank is located orwithin 100 miles of the national bank. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: BankingTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Limitations on acquisition of interests in banks on an interstate basisLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Bank Holding Company Act of 1956, as amended, 12 U. S. C.  1842(d); International Banking Act of 1978, as amended, 12 U. S. C.  3103(a)(5). DESCRIPTION: Federal authorities may not approvethe establishment of, or acquisitionof an interest in, a bank subsidiarywithin a state ("the host state") by aforeign bank that has a full-servicebranch or bank subsidiary in theUnited States, unless the measures ofthe host state expressly permit thetransaction. Thus, foreign banks maynot acquire interests in banks in somestates on the same basis as domesticbank holding companies from theforeign bank's home state. Forpurposes of determining nationaltreatment under paragraph 6(b) ofArticle 1407, foreign banks arelocated in their "home state, " as thatterm is used in the InternationalBanking Act of 1978. The following types of measures, interalia, fall into this category: (a) Foreign banks are expressly excluded from the authority to own banks in certain regional holding company laws. (b) Foreign banks are implicitly excluded through adefinition of eligible ownerin certain state laws thatrequires a majority of theparent bank's deposits to bein the United States, in aparticular region of theUnited States, or in aparticular state. (c) Foreign banks that do not already own a banking subsidiary in the United States are interpreted as not qualifying as an eligible "bank holding company" entitled to own a bank. DURATION:Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: BankingTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Limitations on ownership of corporations organized under section 25A of the Federal Reserve Act ("Edge corporations")LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Federal Reserve Act, 12 U. S. C.  619. DESCRIPTION: Edge corporations (specializedinternational banking companieschartered under Federal law) may beowned by domestically-owned banks andbank holding companies, and bydomestic non-bank companies willing torestrict their business activities tothose closely related to banking. Foreign ownership of Edge corporationsis limited to foreign banks and U. S. Subsidiaries of foreign banks. Otherforeign persons may neither directlynor indirectly own Edge corporations. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: BankingTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Exemption from limitations for federal- and state-owned companies that own banksLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Bank Holding Company Act of 1956, as amended, 12 U. S. C.  1841(b)DESCRIPTION: The Bank Holding Company Act does not apply to companies that are majority-owned by the Federal and state governments, whereas companies owned by foreign governments are not excepted. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: BankingTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Limitations on the ability of foreign banks to accept certaintypes of deposits through any form other than an insured banking subsidiaryLEVEL OF GOVERNMENT: FederalLEGAL CITATION: International Banking Act of 1978, 12 U. S. C. 3104 (as amended by The Federal Deposit Insurance Corporation Improvement Act of 1991, Pub. L. 102-242, Title II,  214(a)). DESCRIPTION: After December 19, 1991, in order to accept or maintain depositaccounts having balances of less than $100, 000, a foreign bank must establishan insured banking subsidiary. As a result, foreign bank branches areprohibited from taking insured deposits unless engaged in thatactivity on December 19, 1991. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: BankingTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Limitations on membership in the Federal Reserve SystemLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Federal Reserve Act, 12 U. S. C.  321, 221, 302; International Banking Act of 1978, 12 U. S. C.  3106(d). DESCRIPTION: Foreign banks with branches and agencies in the United Statesmay not be members of the Federal Reserve System, and may thus not vote fordirectors of a Federal Reserve Bank. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: Banking and SecuritiesTYPE OF RESERVATION: Articles 1407 and 1408 (National Treatment, Most-Favored-Nation Treatment)MEASURE: Limitation on designation of foreign firms as primary dealers in U. S. government securitiesLEVEL OF GOVERNMENT: FederalLEGAL CITATION: The Primary Dealers Act of 1988, 22 U. S. C.  5341-5342. DESCRIPTION: The Primary Dealers Act of 1988 prohibits a foreign firm to bedesignated as a primary dealer in U. S. Government debt obligations unless thehome country of the foreign firm accords to U. S. Firms the samecompetitive opportunities as are accorded to domestic firms in theunderwriting and distribution of government debt instruments in thefirm's home country. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: Banking and SecuritiesTYPE OF RESERVATION: Articles 1407, 1408 and 1409 (National Treatment, MFN Treatment, Staffing)MEASURE: Eligibility of foreign trust indenturesLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Trust Indenture Act of 1939, 15 U. S. C.  77jjj(a)(1) and rules thereunder. DESCRIPTION: Under the Trust Indenture Act of 1939, foreign firms locatedoutside the United States may be prohibited from acting as sole trusteesunder an indenture for debt securities sold in the United States if U. S. Institutional trustees cannot act as sole trustee for securities sold inthe foreign country. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: Banking and SecuritiesTYPE OF RESERVATION: Article 1409 (MFN Treatment)MEASURE: Special reserve bank accountLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Rule 15c3-3 of the Securities Exchange Act of 1934, 17 C. F. R.  240. 15c3-3. DESCRIPTION: Broker-dealers that maintain theirprincipal place of business in Canada may maintain their reserve requirementat a Canadian bank subject to supervision by an authority of Canada;however, other foreign broker-dealers not in the U. S. Or Canada mustmaintain reserves in the U. S. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: Commodity Futures and OptionsTYPE OF RESERVATION: Articles 1405 and 1406 (Cross-Border Trade, New Financial Services)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Commodity Exchange Act, 7 U. S. C.  2. DESCRIPTION: Federal law prohibits the offer orsale of futures contracts on onions, options contracts on onions andoptions on futures contracts on onions in the United States and servicesrelated thereto. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: InsuranceTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE:LEVEL OF GOVERNMENT: FederalLEGAL CITATION: 31 U. S. C.  9304DESCRIPTION: Branches of foreign insurancecompanies are not permitted to provide surety bonds for U. S. Governmentcontracts. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: Banking and SecuritiesTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Differential treatment of foreign and domestic banks under the federal securities lawsLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Investment Advisors Act of 1940, 15 U. S. C.  80b-2 and  80b-3 and the rules thereunder. DESCRIPTION: Foreign banks may be required toregister as investment advisers under the Investment Advisors Act of 1940 toengage in securities advisory services in the United States, while domesticbanks are exempt from registration. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: SecuritiesTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Application of the disclosure provisions of the federal securities laws to the U. S. Government, government-owned enterprises, and state and local governments. LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Securities Exchange Act of 1934, 15 U. S. C.  78c(a)(12)(A)(i), 78c(a)(12)(A)(ii) and the rules thereunder; Securities Act of 1933, 15 U. S. C.  77c(a)(2) and the rules thereunder. DESCRIPTION: U. S. Federal, state and localgovernment securities are exempt from the registration and disclosureprovisions of the federal securities laws. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: Securities TYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Application of the federal securities laws to the U. S. Government, government owned enterprises, and state and local governmentsLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Investment Company Act of 1940, 15 U. S. C.  80a-2(b), and the rules thereunder; Investment Advisers Act of 1940, 15 U. S. C.  80-2(b), and the rules thereunder. DESCRIPTION: The Investment Company Act of 1940 andthe Investment Advisers Act of 1940 do not apply to investment companies andinvestment advisers, respectively, that are owned by the federal, stateand local governments, whereas investment companies and investmentadvisers owned by foreign governments are not excepted. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR: Banking and SecuritiesTYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE: Application of the federal securities laws to the U. S. Government, government-owned enterprises, and state and local governments. LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Securities Exchange Act of 1934, 15 U. S. C.  78c(a)(43)(A), 78c(a)(44)(A) and 78c(d) the rules thereunder. DESCRIPTION: No provision of the Exchange Actapplies to the U. S. Government. Thus, U. S. -owned exchanges, clearingagencies, brokers, dealers, and banks are not regulated under the ExchangeAct. In addition, U. S. Government enterprises are exempt from governmentsecurities broker and dealer registration and regulation. Stateand local government officials are also exempted from the registration asbrokers, dealers, and municipal securities dealers. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United StatesSECTOR: Financial ServicesSUB-SECTOR:TYPE OF RESERVATION: Article 1407 (National Treatment)MEASURE:LEVEL OF GOVERNMENT: FederalLEGAL CITATION:DESCRIPTION: Foreign government owned firms are notentitled to extend credit backed by the guarantees of the Commodity CreditCorporation. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of the United States The United States shall set out any existing non-conformingmeasures maintained by California, Florida, Illinois, New York, Ohio, and Texas by the date of entry into force of thisAgreement. Existing non-conforming state measures of all otherstates shall be set out by January 1, 1995. ============================================================================= ANNEX VII PART B Schedule of the United States The United States reserves the right to derogate fromArticles 1405(1) and 1408 for the securities sector with respectto Canada. With respect to these Articles, the United States mayadopt or maintain measures affecting cross-border trade insecurities services that are more restrictive than measuresexisting on the date of entry into force of this Agreement. ============================================================================= ANNEX VII PART C Schedule of the United States The United States commits to permit an eligible grupofinanciero that, in formation of the grupo in Mexico before theentry into force of this Agreement, lawfully acquires an eligibleMexican bank and a Mexican securities firm which owns or controlsa securities company in the United States, to continue to engagethrough that U. S. Securities company in the activities in whichthat securities company was engaged on the date of acquisition bythe grupo for a time period of five years from the date of suchacquisition. The U. S. Securities firm: (i) shall not bepermitted to expand through acquisition in the United Statesduring such period; and (ii) shall be subject to measuresconsistent with national treatment that restrict transactionsbetween the firms and their affiliates. For purposes of thisparagraph: an "eligible grupo financiero" is a Mexican financialgroup that has not previously benefitted from this commitment;and an "eligible Mexican bank" means any Mexican instituci¢n decr‚dito that owned or controlled a subsidiary bank, or operated abranch or agency, in the United States on January 1, 1992. ============================================================================= ANNEX VII PART D Schedule of the United States For the purposes of Article 1413(2), the United Statesdesignates the Department of the Treasury as its governmentalagency responsible for banking and other financial services, andthe United States Department of Commerce for insurance services. ANNEX VII PART A Schedule of CanadaSECTOR: Financial ServicesSUB-SECTOR: InsuranceTYPE OF RESERVATION: Article 1404 (Cross-Border Trade)MEASURE: Limitation on purchase of reinsurance from non-resident reinsurersLEVEL OF GOVERNMENT: FederalLEGAL CITATION: The Insurance Companies Act; S. C. 1991, c. 47; Reinsurance (Canadian Companies) Regulations; SOR/92-298; Reinsurance (Foreign Companies) Regulations; SOR/92-596. DESCRIPTION: The purchase of reinsurance services by aCanadian insurer, other than a life insurer or a reinsurer, from a non-resident reinsurer is limited to no more than 25 percent of the risksundertaken by the insurer purchasing the reinsurance. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of Canada Canada shall set out any existing non-conforming measuremaintained at the provincial level by the date of entry into forceof this Agreement. ============================================================================= ANNEX VII PART B Schedule of Canada Canada reserves the right to derogate from Article 1405(1) forthe securities sector. With respect to this Article, Canadareserves the right to adopt and maintain new measures affectingcross-border trade in securities services that are more restrictivethan such measures existing on the entry into force of thisAgreement. ============================================================================= ANNEX VII PART C Schedule of Canada For the purposes of restrictions that limit foreign ownershipof Canadian-controlled financial institutions and for the purposesof limitations on total domestic assets of foreign banksubsidiaries in Canada, Canada commits to give to Mexico the sametreatment that Canada gives under the Bank Act, the InsuranceCompanies Act (Canada), the Trust and Loan Companies Act (Canada), and the Investment Companies Act, to United States residents and toinstitutions controlled by United States residents. Canada commits to exempt foreign bank subsidiaries in Canadacontrolled by Mexican residents from the requirement to obtainapproval of the Minister of Finance prior to opening brancheswithin Canada in the same manner as it exempts foreign banksubsidiaries in Canada controlled by United States residents. ============================================================================= ANNEX VII PART D Schedule of Canada For the purposes of Article 1413(2), Canada designates theDepartment of Finance of Canada as its governmental agencyresponsible for financial services. ============================================================================= ANNEX VII PART E Schedule of Canada For the purposes of restrictions that limit foreign ownershipof Canadian-controlled financial institutions and for the purposesof restrictions on total domestic assets of foreign banksubsidiaries in Canada, an enterprise of another Party, to beconsidered an enterprise of such other Party must meet the termsand conditions of being controlled by one or more residents of theother Party. For these purposes: (a) an enterprise controlled by one or more residents of another Party means controlled, directly or indirectly by such residents; (b) an enterprise that is a body corporate is controlled by one or more persons if (i) securities of the enterprise to which are attached more than fifty percent of the votes that may be cast to elect directors of the enterprise are beneficially owned by the person or persons and the votes attached to those shares are sufficient, if exercised, to elect a majority of the directors of the enterprise, and (ii) the person or persons has or have, directly or indirectly, control in fact of the enterprise, (c) an enterprise that is an unincorporated entity is controlled by one or more persons if (i) more than fifty percent of ownership interests, however designated, into which the enterprise is divided is beneficially owned by the person or persons and the person or persons are able to direct the business and affairs of the enterprise, and (ii) the person or persons has or have, directly or indirectly, control in fact of the enterprise, (d) a limited partnership is controlled by the general partner; (e) ordinarily resident in a country generally means sojourning in that country for a period of, or periods the aggregate of which is, 183 days or more during the relevant year; and (f) a person ordinarily resident in another Party means; (i) in the case of an enterprise, an enterprise legally constituted or organized under the laws of that Party and controlled, directly or indirectly, by one or more individuals of that Party described in clause (ii), and (ii) in the case of an individual, an individual who is ordinarily resident in the territory of that Party. ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Financial Holding CompaniesINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Aggregate limits on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley para Regular las Agrupaciones Financieras (Law Regulating Financial Groups), Art. 18DESCRIPTION: Aggregate foreign investments infinancial holding companies are limited to 30% of common stock capital(capital ordinario). These limits do not apply to financial holdingcompanies established pursuant to Parts B and C of the Schedule ofMexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Commercial Banks (Instituciones de Cr‚dito)INDUSTRY CLASSIFICATION: 811030TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Aggregate limits on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de Instituciones de Cr‚dito (Law of the Credit Institutions), Arts. 11 y 15DESCRIPTION: Aggregate foreign investments incommercial banks are limited to 30% of common stock capital (capitalordinario). These limits do not apply to Foreign Financial Affiliatesestablished pursuant to Part B of the Schedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Securities Firms (Casas de Bolsa)INDUSTRY CLASSIFICATION: 812001TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitations on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley del Mercado de Valores (Law of the Stock Market), Art. 17-IIDESCRIPTION: Aggregate foreign investments insecurities firms are limited to 30% of capital (capital social) andindividual foreign investments are limited to 10% of capital, whileindividual investments by Mexicans may, with approval from the Ministryof Finance and Public Credit, rise to 15% of capital. These limits do notapply to Foreign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Securities Specialists (Especialistas Burs tiles)INDUSTRY CLASSIFICATION: 812001TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitations on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley del Mercado de Valores (Law of the Stock Market), Art. 17-IIDESCRIPTION: Aggregate foreign investments insecurities specialists are limited to 30% of capital (capital social) andindividual foreign investments are limited to 10% of capital, whileindividual investments by Mexicans may, with approval from the Ministryof Finance and Public Credit, rise to 15% of capital. These limits do notapply to Foreign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: General Deposit Warehouses (Almacenes Generales de Dep¢sito)INDUSTRY CLASSIFICATION: 811042TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Aggregate limits on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Cr‚dito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1DESCRIPTION: Foreign participation must be lessthan 50% of paid-in capital (capital pagado). These limits do not apply toForeign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Financial Leasing Companies (Arrendadoras Financieras)INDUSTRY CLASSIFICATION: 811043TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Aggregate limits on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Cr‚dito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1DESCRIPTION: Foreign participation must be lessthan 50% of paid-in capital (capital pagado). These limits do not apply toForeign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Financial Factoring Companies (Empresas de Factoraje Financiero)INDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Aggregate limits on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Cr‚dito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1DESCRIPTION: Foreign participation must be lessthan 50% of paid-in capital (capital pagado). These limits do not apply toForeign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Credit Unions (Uniones de Cr‚dito)INDUSTRY CLASSIFICATION: 811041TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Cr‚dito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1DESCRIPTION: Foreign capital investment in theseentities is prohibited. This limitation does not apply to ForeignFinancial Affiliates established pursuant to Part B of the Schedule ofMexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Foreign Exchange Firms (Casas de Cambio)INDUSTRY CLASSIFICATION: 811044TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Cr‚dito (General Law of Auxiliary Credit Organizations and Activities), Art. 82-IIIDESCRIPTION: Foreign investors may not participatein the capital of these entities. This limitation does not apply toForeign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Financial Agents (Comisionistas Financieros)INDUSTRY CLASSIFICATION: 811045TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de Instituciones de Cr‚dito (Law of Credit Institutions), Art. 92 Reglas de SHCP (Regulations of the Ministry of Finance and Public Credit)DESCRIPTION: Foreign investors may not participatein the capital of these entities. This limitation does not apply toForeign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Bonding Companies (Instituciones de Fianzas)INDUSTRY CLASSIFICATION: 813001TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Aggregate limits on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal de Instituciones de Fianzas (Federal Law of Bonding Companies), Art. 15-XIIIDESCRIPTION: Foreign participation must be lessthan 50% of paid-in capital (capital pagado). These limits do not apply toForeign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Insurance Companies (Instituciones de Seguros)INDUSTRY CLASSIFICATION: 813002TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Aggregate limits on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Instituciones y Sociedades Mutualistas de Seguros (General Law on Insurance Institutions and Mutual Societies), Art. 29-IDESCRIPTION: Foreign participation must be lessthan 50% of paid-in capital (capital pagado). These limits do not apply toForeign Financial Affiliates established pursuant to Part B of theSchedule of Mexico. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Financial Holding CompaniesINDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: Limitation on foreign ownershipMEASURE: Articles 1404, 1407 (Establishment, National Treatment)LEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley para Regular las Agrupaciones Financieras (Law Regulating Financial Groups), Art. 18DESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, ina financial holding company. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Commercial Banks (Instituciones de Cr‚dito)INDUSTRY CLASSIFICATION: 811030TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de Instituciones de Cr‚dito (Law of Credit Institutions), Art. 15DESCRIPTION: Foreign entities that exercisegovernmental functions may not invest, directly or indirectly, in acommercial bank. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Securities Firms (Casas de Bolsa)INDUSTRY CLASSIFICATION: 812001TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley del Mercado de Valores (Law of the Stock Market), Art. 17-II-bDESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, ina securities firm. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Securities Specialists (Especialistas Burs tiles)INDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley del Mercado de Valores (Law of the Stock Market), Art. 17-IIDESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, ina securities specialist. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: General Deposit Warehouses (Almacenes Generales de Dep¢sito)INDUSTRY CLASSIFICATION: 811042TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Cr‚dito (General Law of Auxiliary Credit Organizations and Activities), Art. 8-III-1DESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, ina general deposit warehouse. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Financial Leasing Companies (Arrendadoras Financieras)INDUSTRY CLASSIFICATION: 811043TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Cr‚dito (General Law of Auxiliary Credit organizations and Activities), Art. 8-III-1DESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, ina financial leasing company. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Financial Factoring Companies (Empresas de Factoraje Financiero)INDUSTRY CLASSIFICATION: Not applicableTYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones yActividades Auxiliares del Cr‚dito (General Law of Auxiliary CreditOrganizations and Activities), Art. 8-III-1DESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, ina financial factoring company. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Savings and Loan Companies (Sociedades de Ahorro y Pr‚stamo)INDUSTRY CLASSIFICATION: 811046TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Organizaciones y Actividades Auxiliares del Cr‚dito (General Law of Auxiliary Credit Organizations and Activities), Art. 38-GDESCRIPTION: Foreign governments and foreign stateenterprises or their investments maynot invest, directly or indirectly, ina savings and loan company. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Managing Companies of Investment Companies (Sociedades Operadoras de Sociedades de Inversi¢n)INDUSTRY CLASSIFICATION: 812003TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de Sociedades de Inversi¢n (Law of Investment Companies), Art. 29-VIDESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, inan operator of an investment company. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Investment Companies (Sociedades de Inversi¢n)INDUSTRY CLASSIFICATION: 812002TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley de Sociedades de Inversi¢n (Law of Investment Companies), Art. 9-IIIDESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, inan investment company. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Bonding Companies (Instituciones de Fianzas)INDUSTRY CLASSIFICATION: 813001TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Federal de Instituciones de Fianzas (Federal Law of Bonding Companies), Art. 15 bis-IV-aDESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, ina bonding company. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: Insurance Companies (Instituciones de Seguros)INDUSTRY CLASSIFICATION: 813002TYPE OF RESERVATION: Articles 1404, 1407 (Establishment, National Treatment)MEASURE: Limitation on foreign ownershipLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Instituciones y Sociedades de Mutualistas de Seguros (General Law on Insurance Institutions and Mutual Societies), Art. 29-IDESCRIPTION: Foreign governments and foreign stateenterprises or their investments may not invest, directly or indirectly, inan insurance company. DURATION: Indeterminate============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: InsuranceINDUSTRY CLASSIFICATION: 813002TYPE OF RESERVATION: Article 1405 (Cross-Border Trade)MEASURE: Restrictions on cross-border insuranceLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley General de Instituciones y Sociedades Mutualistas de Seguros (General Law on Insurance Institutions and Mutual Societies), Art. 3§DESCRIPTION: Mexico reserves its existingprohibitions and restrictions oncross-border trade in insuranceservices, which do not now includerestrictions on the right ofindividuals to purchase, by physicalmobility, life and health insurance. Mexico is not reserving its presentrestrictions with respect to theability of residents of Mexico topurchase from non-resident insurancecompanies of another Party, thefollowing types of insurance: (a) tourist insurance (including travel accident and motor vehicle insurance for non- resident tourists, but not insurance of risks of liability to third parties) for individuals, purchased without solicitation via physical mobility of such individuals; (b) cargo insurance to and from each Party purchased without solicitation for goods in international transit from point of origin to final destination and for the vehicle during the period of its use in transportation of such goods, provided such vehicle is licensed and registered outside Mexico (including vehicles in maritime shipping, commercial aviation, space launching and freight (including satellites)); and (c) intermediary services incidental to (a) and (b) without solicitation. DURATION: For greater clarity, this reservation does not apply to reinsurance. ============================================================================= ANNEX VII PART A Schedule of MexicoSECTOR: Financial ServicesSUB-SECTOR: BankingINDUSTRY CLASSIFICATION: 811021 811030TYPE OF RESERVATION: Articles 1404, 1405, 1407 (Establishment, Cross-Border Trade, National Treatment)MEASURE: Activities reserved for development banksLEVEL OF GOVERNMENT: FederalLEGAL CITATION: Ley Org nica de Nacional Financiera (Organic Law of Nacional Financiera), Art. 7; Ley Org nica del Banco Nacional del Ej‚rcito, la Fuerza A‚rea y la Armada (Organic Law of the National Bank of the Army, Air Force and Navy)DESCRIPTION: The following activities are reservedsolely to Mexican development banks:(1) acting as custodians of securities and cash funds deposited by or in the administrative or judiciary authorities, and acting as custodian of goods that have been confiscated according to Mexican measures;(2) managing the savings funds, retirement plans and any other funds or property of the personnel of the Secretar¡a de la Defensa Nacional, Secretar¡a de Marina and the Mexican armed forces, and performing other financial activities pertaining to the financial resources of such personnel. DURATION: Indeterminate ANNEX VII============================================================================= PART B Schedule of MexicoTRANSITIONAL EXCEPTIONSReservations to Articles 1404 and 14071. The provisions of paragraphs 2 through 10 of this Part B ofthe Schedule of Mexico shall apply during the Transition Period, except as otherwise specifically provided in paragraphs 9 and 10of this Part B. 2. For the types of financial institutions listed in the chartin this paragraph 2, the maximum capital to be authorized for aForeign Financial Affiliate, measured as a percentage of theaggregate capital of all financial institutions of the same typein Mexico, shall not exceed the percentage set forth in the chartin this paragraph 2: Type of Financial Institution Maximum Individual Capital to be Authorized (Percentage of the Aggregate Capital of all Institutions of the same type) Commercial Banks 1. 5% Securities Firms 4. 0% Insurance Companies Casualty 1. 5% Life and Health 1. 5%In the case of an acquisition by a financial service provider ofanother Party of a financial institution established in Mexico, the sum of the authorized capital of the acquired institution andthe authorized capital of any Foreign Financial Affiliate alreadycontrolled by the acquiror may not, at the time of acquisition orat any time thereafter during the Transition Period, exceed theapplicable limit set forth in the chart in this paragraph 2. This paragraph 2 will not apply to new or existing Mexicaninsurance companies invested in by insurance providers of anotherParty (or their affiliates) pursuant to paragraph 7 of this Part3 or paragraph 4 of Part C of the Schedule of Mexico. 3. For purposes of the proper administration of the capitallimits in the Schedule of Mexico, the following provisions shallapply: i. Each Foreign Financial Affiliate shall have a paid-incapital not less than that authorized by Mexico at the time ofapproval of its establishment. The authorized capital shall bedetermined by Mexico. After the time of establishment, Mexicomay permit authorized capital to exceed paid-in capital. Authorized capital shall not be reduced by any measure of Mexico(other than prudential measures) below paid-in capital. Themaximum size of the operations of each Foreign FinancialAffiliate shall be determined, on a national treatment basis, asa function of the lesser of its capital or its authorizedcapital. Ii. Mexico reserves the right to impose limitations ontransfers of assets or liabilities by Foreign FinancialAffiliates that have the effect of evading the capital limits setforth in the Schedule of Mexico. This subparagraph does notapply to bona fide transfers of funds to make overnight depositsor bona fide transfers of banking liabilities. 4. A Foreign Financial Affiliate shall not issue subordinateddebentures, except to its parent outside of Mexico. 5. The aggregate of the authorized capital of all ForeignFinancial Affiliates of the same type, measured as a percentageof the aggregate capital of all financial institutions of suchtype in Mexico, shall not exceed the percentage set forth in thechart in this paragraph 5 for that type of institution, exceptfor the case of insurance which is addressed in paragraph 6 ofthis Part B. Beginning one year after the entry into force ofthe Agreement, these initial limits shall increase annually inequal increments so as to reach the final limits specified in thechart in this paragraph 5 at the beginning of the last year ofthe Transition Period. Type of Financial Institution Percentage of Total Capital Initial Final Limit Limit Commercial banks 8% 15% Securities firms 10% 20% Factoring companies 10% 20% Leasing companies 10% 20%Any capital in existence as of the date of signature of thisAgreement of a foreign bank branch established in Mexico prior tosuch date shall be excluded from each of the aggregate capitallimits referred to in the Schedule of Mexico. 6. In the case of insurance, the aggregate of the authorizedcapital of all Foreign Insurance Affiliates, measured as apercentage of the aggregate capital of all insurance companies inMexico, shall not exceed the percentage set forth in the chart inthis paragraph 6 for the respective one-year periods beginning oneach of the following dates: Date Percentage of Total Capital January 1, 1994 6% January 1, 1995 8% January 1, 1996 9% January 1, 1997 10% January 1, 1998 11% January 1, 1999 12%If the entry into force of the Agreement occurs on a date priorto January 1, 1994, that date shall become the initial date forpurposes of this chart, and each succeeding anniversary of theentry into force of the Agreement shall become the nextsucceeding date in this chart, with the percentages listed inthis chart applying to each of the respective periods as soadjusted. If the entry into force of the Agreement occurs on adate after January 1, 1994, the dates and corresponding limits inthis chart shall nonetheless not be changed. The individual and aggregate capital limits described inparagraphs 2 and 6 of this Part B shall be measured separately(through separate accounting) for life and non-life insuranceoperations; but both types of insurance operations may beconducted either by a single or separate Foreign FinancialAffiliates. 7. Insurance providers of another Party may elect analternative procedure for entering Mexico through phasing-in anequity interest in a new or existing Mexican insurance company, and thereby exempt such Mexican company from the capital limitsof paragraphs 2 and 6 of this Part B. In order to qualify, thepercentage of the Mexican insurance company's voting common stockthat is owned by Mexican persons must not be less than the levelsset forth in the chart in this paragraph 7 for the respectiveone-year periods beginning on each of the following dates: Date Mexican Interest January 1, 1994 70% January 1, 1995 65% January 1, 1996 60% January 1, 1997 55% January 1, 1998 49% January 1, 1999 25%If the entry into force of the Agreement occurs on a date priorto January 1, 1994, that date shall become the initial date forpurposes of this chart, and each succeeding anniversary of theentry into force of the Agreement shall become the nextsucceeding date in this chart, with the percentages listed inthis chart applying to each of the respective periods as soadjusted. If the entry into force of the Agreement occurs on adate after January 1, 1994, the dates and corresponding limits inthis chart shall nonetheless not be changed. On and after January 1, 2000 (or, if the entry into force of theAgreement occurs on a date prior to January 1, 1994, on and afterthe sixth anniversary of such date), the percentage requirementof Mexican ownership set forth in this paragraph 7 shall nolonger apply. This paragraph 7 is further modified by paragraph 4 of Part C ofthe Schedule of Mexico to the extent set forth therein. 8. The aggregate assets of Foreign Financial Affiliates thatare limited scope financial institutions within the meaning ofparagraph 2 of Part C of the Schedule of Mexico shall not exceed3% of the sum of (1) the aggregate assets of all commercial banksin Mexico plus (2) the aggregate assets of all types of limitedscope financial institutions in Mexico. Lending by affiliates ofautomobile manufacturing companies with respect to their vehiclesshall not be subject to or taken into account in determiningcompliance with this 3% limit. 9. The capital limits in paragraphs 2, 5, 6 and 8 of this PartB shall be removed at the end of the Transition Period. If thesum of the authorized capital of Foreign Financial Affiliates, measured as a percentage of the aggregate capital of allfinancial institutions of such type in Mexico, reaches thepercentage set forth in the chart in this paragraph 9 for suchtype of institutions, then Mexico shall have the right, onceduring the four years following the end of the Transition Period, to freeze such aggregate capital percentage at its then-existinglevel: Commercial banks 25% Securities firms 30%If applied, such a restriction will have a duration not to exceeda period of 3 years. 10. No additional license to establish a Foreign FinancialAffiliate shall be granted during the Transition Period (and, inthe case of paragraph 9 of this Part B, during the additionalperiods described in that paragraph) if after such issuance thesum of the authorized capital of all Foreign Financial Affiliatesof the same type would exceed the applicable percentage limit forthat type of institution in paragraph 5, 6, 8 or 9 of thisPart B. OTHER EXCEPTIONS11. The provisions of the following paragraphs 12 through 15 ofthis Part B shall apply immediately upon the entry into force ofthe Agreement and at all times thereafter, except as otherwisespecifically provided in such paragraphs. Any amendment ormodification to a measure adopted or maintained pursuant toparagraphs 12 through 15 of this Part B shall not decrease theconformity of the measure, as it existed immediately before suchamendment or modification, with Articles 1404 to 1409 of theAgreement. Reservation to Article 140712. Mexico may require that a Foreign Financial Affiliate (otherthan a Foreign Insurance Affiliate) be wholly-owned by afinancial service provider of another Party (except fordirectors' nominal qualifying shares). Mexico may also restrictany Foreign Financial Affiliate from establishing agencies, branches, or other direct or indirect subsidiaries in theterritory of any other country. Reservations to Articles 1404 and 140713. Following the Transition Period, acquisition of a commercialbank established in Mexico, or of the assets or liabilitiesthereof, by a financial service provider of another Party willonly be authorized by Mexico, subject to reasonable prudentialconsiderations on a case by case basis, if the sum of theauthorized capital of the acquired commercial bank and theauthorized capital of any commercial bank in Mexico alreadycontrolled by the acquiror would not exceed 4% of the aggregatecapital of all commercial banks in Mexico. 14. Mexico may adopt measures that (i) limit eligibility toestablish a Foreign Financial Affiliate in Mexico to a financialservice provider of another Party that is, directly or throughany of its affiliates, engaged in the same general type offinancial services in the territory of the other Party; and (ii)limit such provider (together with its affiliates) to no morethan one institution of the same type in Mexico. In determiningwhat types of operations a financial service provider of anotherParty is engaged in for purposes of the preceding sentence, alltypes of insurance shall be considered to be only one type offinancial service; but both life and non-life insuranceoperations may be conducted either by a single or separateForeign Financial Affiliates. Reservation to Articles 1404, 1405 and 140715. The existing activities and operations of Mexicangovernmental insurance programs conducted by AseguradoraMexicana, S. A. Or Aseguradora Hidalgo, S. A. (including insurancefor government employees, agencies, instrumentalities and publicentities) are excluded from Articles 1404, 1405 and 1407 for solong as such firm is controlled by the government of Mexico andfor a commercially reasonable time after such governmentalcontrol ceases. Reservation to Article 140516. In order not to impair the conduct of Mexico's monetary andexchange rate policies, non-resident financial service providersof another Party shall not be permitted to provide financialservices into the territory of Mexico or to residents of Mexico, and residents of Mexico may not purchase financial services fromnon-resident financial service providers of another Party, ifsuch transactions are denominated in Mexican pesos. Reservation to Articles 1404-140917. The benefits of this Agreement shall not be extended to aforeign bank branch existing in Mexico on the date of entry intoforce of this Agreement. The existing legal regime will continueto apply to such a branch for so long as it operates in thatform. Such a branch shall be permitted to convert to asubsidiary pursuant to the terms of this Schedule, and uponconversion shall be covered by this Agreement. The existingcapital of such branch on the date of signature of this Agreementshall not be counted against such Foreign Commercial BankAffiliate's individual capital limit, or the aggregate capitallimits for commercial banks in the event of conversion. DefinitionsFor purposes of Part B of Mexico's schedule:capital means the following, as defined in Mexican measures, applied on a national treatment basis: Type of Financial Institution Concept of "Capital" commercial banks capital neto securities firms capital global insurance companies casualty requerimiento bruto de solvencia (allocation tocasualty insurance) life and health requerimiento bruto de solvencia (allocation tolife and health insurance) factoring companies capital contable leasing companies capital contableForeign Commercial Bank Affiliate means a Foreign FinancialAffiliate that is a commercial bank;Foreign Financial Affiliate means a financial institutionestablished in Mexico and owned and controlled by a financialservice provider of another Party;Foreign Insurance Affiliate means a Foreign Financial Affiliatethat is an insurance company; andTransition Period means the period beginning with the entry intoforce of the Agreement and ending on the earlier of i) January 1, 2000, or ii) six years from the entry into force of theAgreement. ============================================================================= ANNEX VII PART C Schedule of MexicoSPECIFIC COMMITMENTS1. Mexico shall retain discretion to approve, on a case-by-casebasis, any affiliation of a commercial bank or securities firmwith a commercial or industrial corporation that has a commercialpresence in Mexico, if Mexico determines that such affiliation isharmless and, in the case of banking, either (a) not substantial, or (b) the financial-related activities of the commercial orindustrial commercial corporation are at least 90 percent of itsannual income worldwide, and the non-financial activities of suchcommercial or industrial corporation are of a type that Mexicodetermines to be acceptable. Affiliation with a non-residentcommercial or industrial corporation that has no commercialpresence in Mexico will not be a reason for denial of anapplication to establish or acquire a commercial bank orsecurities firm in Mexico. 2. Non-bank financial service providers of another Party shallbe permitted to establish one or more limited scope financialinstitutions in Mexico to provide separately consumer lending, commercial lending, mortgage lending or credit card services onterms no less favorable than those applied to like domestic firmsunder Mexican measures. Mexico may permit lending servicesclosely related to the principal authorized business of a limitedscope financial institution to be carried out by thatinstitution. Such firms shall be provided the opportunity toraise funds in the securities market for business operationssubject to normal terms and conditions. Mexico may restrict suchlimited scope financial institutions from taking deposits. 3. Within two years of the entry into force of the Agreement, Mexico shall conduct a study of the desirability and, ifdesirable, the possible methods of establishing limited scopesecurities firms which would have more limited powers thancurrent securities firms. Such limited scope securities firmswould be subject to differing capital requirements, depending onthe type and extent of business conducted, that would permitlower minimum capital requirements than those currentlyapplicable to Mexican securities firms. The basis of the studywould be prudential considerations and opportunities forinvestment in the securities sector. As part of the secondannual meeting of the Committee required under Article 1414, Mexico shall report to the other Parties on the outcome of thestudy, including any plans for the establishment of newcategories of securities firms. 4. Notwithstanding Part B (paragraph 7) of the Schedule ofMexico, an insurance provider of another Party, together with itsaffiliates, that as of July 1, 1992 collectively have an activeinvestment or ownership interest that has been specificallyapproved by the Mexico of 10% or more in a Mexican insurancecompany may: (1) exercise any contract right or option inexistence as of July 1, 1992 with respect to ownership interestsin such Mexican insurance company; and (2) effective the earlierof January 1, 1996 or two years following the date of entry intoforce of the Agreement, acquire a controlling interest of up to100% in such Mexican insurance company. Before the effectivedate described in clause (2) of the preceding sentence, aninsurance provider of another Party (together with itsaffiliates) described in that sentence may exercise any existingcontract right or option described in clause (1) of thatsentence, and choose to maintain its existing interest or expandits interest in such Mexican insurance company to the extentconsistent with Part B (paragraph 7) of the Schedule of Mexico. Mexico shall maintain discretion to permit acceleration of theschedule for equity participation in a Mexican insurance companyby an insurance provider of another Party described in the firstsentence of this paragraph. 5. A bank or securities provider of another Party that isauthorized to and establishes or acquires a commercial bank orsecurities firm, respectively, in Mexico may also establish afinancial holding company in Mexico, and thereby establish oracquire other types of financial institutions in Mexico, underthe terms of Mexican measures. 6. Mexico shall administer its licensing and approvalprocedures during the Transition Period (as defined in Part B ofthe Schedule of Mexico) in a manner that does not deny thebenefits of the liberalization of existing measures described inthe Schedule of Mexico to enterprises of another Party ultimatelycontrolled by nationals of that Party. ============================================================================= ANNEX VII PART D Schedule of Mexico The agency of the government of Mexico responsible forfinancial services is the Secretar¡a de Hacienda y Cr‚ditoP£blico. Annex 0 SECTION III Animal or Vegetable Fats and Oils and Their Cleavage Products;Prepared Edible Fats; Animal or Vegetable Waxes (Ch. 15)Chapter 15 Animal or Vegetable Fats and Oils and Their Cleavage Products; Prepared Edible Fats; Animal or Vegetable Waxes15. 01-15. 18 A change to headings 15. 01 through 15. 18 from any other chapter. 1519. 11-1519. 13 A change to subheadings 1519. 11 through 1519. 13 from any other heading, except from heading 15. 20. 1519. 19 A change to subheading 1519. 19 from any other subheading. 1519. 20 A change to subheading 1519. 20 from any other heading, except from heading 15. 20. 1520. 10 A change to subheading 1520. 10 from any other heading, except from heading 15. 19. 1520. 90 A change to subheading 1520. 90 from any other subheading. 15. 21-15. 22 A change to headings 15. 21 through 15. 22 from any other chapter. Annex 00 SECTION IX Wood and Articles of Wood; Wood Charcoal; Cork and Articles ofCork; Manufactures of Straw, of Esparto or of Other PlaitingMaterials; Basketware and Wickerwork (Ch. 44-46)Chapter 44 Wood and Articles of Wood; Wood Charcoal44. 01-44. 21 A change to headings 44. 01 through 44. 21 from any other heading, including another heading within that group. Chapter 45 Cork and Articles of Cork45. 01-45. 02 A change to headings 45. 01 through 45. 02 from any other chapter. 45. 03-45. 04 A change to headings 45. 03 through 45. 04 from any other heading outside that group. Chapter 46 Manufactures of Straw, of Esparto or of Other Plaiting Materials; Basketware and Wickerwork46. 01 A change to heading 46. 01 from any other chapter. 46. 02 A change to heading 46. 02 from any other heading. Annex 00 SECTION V Mineral Products (Ch. 25-27)Chapter 25 Salt; Sulphur; Earths and Stone; Plastering Materials, Lime and Cement25. 01-25. 30 A change to headings 25. 01 through 25. 30 from any other chapter. Chapter 26 Ores, Slag and Ash26. 01-26. 21 A change to headings 26. 01 through 26. 21 from any other chapter. Chapter 27 Mineral Fuels, Mineral Oils and Products of Their Distillation; Bituminous Substances; Mineral Waxes27. 01-27. 03 A change to headings 27. 01 through 27. 03 from any other chapter. 27. 04 A change to heading 27. 04 from any other heading. 27. 05-27. 09 A change to headings 27. 05 through 27. 09 from any other chapter. 27. 10-27. 15 A change to headings 27. 10 through 27. 15 from any other heading outside that group. 27. 16 A change to heading 27. 16 from any other heading. Annex 00 SECTION VI Products of the Chemical or Allied Industries (Ch. 28-38)Chapter 28 Inorganic Chemicals; Organic or Inorganic Compounds of Precious Metals, of Rare- Earth Metals, of Radioactive Elements or of Isotopes28. 01-28. 24 A change to subheadings 2801. 10 through 2824. 90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2801. 10 through 2824. 90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2825. 10-2825. 60 A change to subheadings 2825. 10 through 2825. 60 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2825. 10 through 2825. 60 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2825. 70 A change to subheading 2825. 70 from any other subheading, except from subheading 2613. 10. 2825. 80-2825. 90 A change to subheadings 2825. 80 through 2825. 90 from any chapter, except from Chapters 28 through 38; or A change to subheadings 2825. 80 through 2825. 90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content must be not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 28. 26-28. 29 A change to subheadings 2826. 11 through 2829. 90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2826. 11 through 2829. 90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2830. 10-2830. 30 A change to subheadings 2830. 10 through 2830. 30 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2830. 10 through 2830. 30 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2830. 90 A change to subheading 2830. 90 from any other subheading, except from subheading 2613. 90. 28. 31-28. 40 A change to subheadings 2831. 10 through 2840. 30 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2831. 10 through 2840. 30 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2841. 10-2841. 60 A change to subheadings 2841. 10 through 2841. 60 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2841. 10 through 2841. 60 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 2841. 70 A change to subheading 2841. 70 from any other subheading, except from subheading 2613. 10. 2841. 80-2841. 90 A change to subheadings 2841. 80 through 2841. 90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2841. 80 through 2841. 90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 28. 42-28. 51 A change to subheadings 2842. 10 through 2851. 00 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2842. 10 through 2851. 00 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 29 Organic Chemicals29. 01-29. 42 A change to subheadings 2901. 10 through 2942. 00 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 2901. 10 through 2942. 00 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 30 Pharmaceutical Products30. 01 A change to subheadings 3001. 10 through 3001. 90 from any other heading; or A change to subheadings 3001. 10 through 3001. 90 from any other subheading within heading 30. 01, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30. 02 A change to subheadings 3002. 10 through 3002. 90 from any other heading; or A change to subheadings 3002. 10 through 3002. 90 from any other subheading within heading 30. 02, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30. 03 A change to subheadings 3003. 10 through 3003. 90 from any other heading; or A change to subheadings 3003. 10 through 3003. 90 from any other subheading within heading 30. 03, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30. 04 A change to subheadings 3004. 10 through 3004. 90 from any other heading, except from heading 30. 03; or A change to subheadings 3004. 10 through 3004. 90 from any other subheading within heading 30. 04, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30. 05 A change to subheadings 3005. 10 through 3005. 90 from any other heading; or A change to subheadings 3005. 10 through 3005. 90 from any other subheading within heading 30. 05, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 30. 06 A change to subheadings 3006. 10 through 3006. 60 from any other heading; or A change to subheadings 3006. 10 through 3006. 60 from any other subheading within heading 30. 06, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 31 Fertilisers31. 01-31. 05 A change to subheadings 3101. 00 through 3105. 90 from any other chapter; or A change to subheadings 3101. 00 through 3105. 90 from any other subheading within Chapter 31, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 32 Tanning or Dyeing Extracts; Tannins and Their Derivatives; Dyes, Pigments and Other Colouring Matter; Paints and Varnishes; Putty and Other Mastics; Inks32. 01-32. 03 A change to subheadings 3201. 10 through 3203. 00 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3201. 10 through 3203. 00 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3204. 11-3204. 16 A change to subheadings 3204. 11 through 3204. 16 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3204. 11 through 3204. 16 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3204. 17 For any colour, as defined under the Colour Index, identified in the List of Colours below, a change to subheading 3204. 17 from any other subheading. List of Colours pigment yellow: 1, 3, 16, 55, 61, 62, 65, 73, 74, 75, 81, 97, 120, 151, 152, 154, 156, and 175 pigment orange: 4, 5, 13, 34, 36, 60, and 62 pigment red: 2, 3, 5, 12, 13, 14, 17, 18, 19, 22, 23, 24, 31, 32, 48, 49, 52, 53, 57, 63, 112, 119, 133, 146, 170, 171, 175, 176, 183, 185, 187, 188, 208, and 210; or For any colour, as defined under the Colour Index, not identified in the List of Colours above: 1) a change to subheading 3204. 17 from any other subheading, except from Chapter 29; or 2) a change to subheading 3204. 17 from any other subheading within Chapter 29, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3204. 19-3204. 90 A change to subheadings 3204. 19 through 3204. 90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3204. 19 through 3204. 90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 32. 05 A change to heading 32. 05 from any other heading. 32. 06-32. 07 A change to subheadings 3206. 10 through 3207. 40 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3206. 10 through 3207. 40 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 32. 08-32. 10 A change to headings 32. 08 through 32. 10 from any other heading outside that group. 32. 11-32. 12 A change to headings 32. 11 through 32. 12 from any other heading outside that group. 32. 13-32. 15 A change to headings 32. 13 through 32. 15 from any other heading outside that group, except from headings 32. 08 through 32. 10. Chapter 33 Essential Oils and Resinoids; Perfumery, Cosmetics or Toilet Preparations33. 01 A change to subheadings 3301. 11 through 3301. 90 from any other chapter; or A change to subheadings 3301. 11 through 3301. 90 from any other subheading within Chapter 33, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 33. 02 A change to heading 33. 02 from any other heading, except from headings 22. 07 through 22. 08. 33. 03 A change to heading 33. 03 from any other chapter; or A change to heading 33. 03 from any other heading within Chapter 33, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 33. 04-33. 07 A change to subheadings 3304. 10 through 3307. 90 from any other heading outside that group; or A change to subheadings 3304. 10 through 3307. 90 from any other subheading within that group, whether or not there is also a change from any other heading outside that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 34 Soap, Organic Surface-active Agents, Washing Preparations, Lubricating Preparations, Artificial Waxes, Prepared Waxes, Polishing or Scouring Preparations, Candles and Similar Articles, Modelling Pastes, "Dental Waxes" and Dental Preparations with a Basis of Plaster34. 01 A change to subheadings 3401. 11 through 3401. 20 from any other heading; or A change to subheadings 3401. 11 through 3401. 20 from any other subheading within heading 34. 01, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 3402. 11-3402. 19 A change to subheadings 3402. 11 through 3402. 19 from any other heading; or A change to subheadings 3402. 11 through 3402. 19 from any other subheading within heading 34. 02, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 3402. 20-3402. 90 A change to subheadings 3402. 20 through 3402. 90 from any other subheading outside that group; or A change to subheadings 3402. 20 through 3402. 90 from any other subheading within that group, whether or not there is also a change from any other subheading outside that group, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 34. 03 A change to subheadings 3403. 11 through 3403. 99 from any other heading; or A change to subheadings 3403. 11 through 3403. 99 from any other subheading within heading 34. 03, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 34. 04 A change to subheadings 3404. 10 through 3404. 90 from any other heading; or A change to subheadings 3404. 10 through 3404. 90 from any other subheading within heading 34. 04, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 34. 05 A change to subheadings 3405. 10 through 3405. 90 from any other heading; or A change to subheadings 3405. 10 through 3405. 90 from any other subheading within heading 34. 05, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 34. 06-34. 07 A change to headings 34. 06 through 34. 07 from any other heading, including another heading within that group. Chapter 35 Albuminoidal Substances; Modified Starches; Glues; Enzymes35. 01 A change to subheadings 3501. 10 through 3501. 90 from any other heading; or A change to subheadings 3501. 10 through 3501. 90 from any other subheading within heading 35. 01, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 35. 02 A change to subheadings 3502. 10 through 3502. 90 from any other heading; or A change to subheadings 3502. 10 through 3502. 90 from any other subheading within heading 35. 02, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 35. 03-35. 04 A change to headings 35. 03 through 35. 04 from any other heading, including another heading within that group. 35. 05 A change to subheadings 3505. 10 through 3505. 20 from any other heading; or A change to subheadings 3505. 10 through 3505. 20 from any other subheading within heading 35. 05, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 35. 06 A change to subheadings 3506. 10 through 3506. 99 from any other heading; or A change to subheadings 3506. 10 through 3506. 99 from any other subheading within heading 35. 06, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 35. 07 A change to subheadings 3507. 10 through 3507. 90 from any other heading; or A change to subheadings 3507. 10 through 3507. 90 from any other subheading within heading 35. 07, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 36 Explosives; Pyrotechnic Products; Matches; Pyrophoric Alloys; Certain Combustible Preparations36. 01-36. 03 A change to headings 36. 01 through 36. 03 from any other heading, including another heading within that group. 36. 04 A change to subheadings 3604. 10 through 3604. 90 from any other heading; or A change to subheadings 3604. 10 through 3604. 90 from any other subheading within heading 36. 04, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. 36. 05 A change to heading 36. 05 from any other heading. 36. 06 A change to subheadings 3606. 10 through 3606. 90 from any other heading; or A change to subheadings 3606. 10 through 3606. 90 from any other subheading within heading 36. 06, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 37 Photographic or Cinematographic Goods37. 01-37. 03 A change to headings 37. 01 through 37. 03 from any other chapter. 37. 04 A change to heading 37. 04 from any other heading. 37. 05-37. 06 A change to headings 37. 05 through 37. 06 from any other heading outside that group. 37. 07 A change to subheadings 3707. 10 through 3707. 90 from any other chapter; or A change to subheadings 3707. 10 through 3707. 90 from any other subheading within Chapter 37, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 65% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 38 Miscellaneous Chemical Products38. 01-38. 07 A change to subheadings 3801. 10 through 3807. 00 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3801. 10 through 3807. 00 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 38. 08 Note: A material, imported into the territory of a Party for use in the production of a good classified under heading 38. 08, shall be treated as a material originating in the territory of a Party if: a) such material is eligible, in the territories of both that Party and the Party to whose territory the good is exported, for duty-free treatment at the rates provided for most-favoured-nations; or b) the good is exported to the territory of the United States of America and such material would, if imported into the territory of the United States of America, be free of duty under a trade agreement that is not subject to a competitive need limitation. A change to heading 38. 08 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or 80% where the transaction value method is used and the goods contain more than one active ingredient; or b) 50% where the net cost method is used, or 70% where the net cost method is used and the goods contain more than one active ingredient. 38. 09-38. 23 A change to subheadings 3809. 10 through 3823. 90 from any other chapter, except from Chapters 28 through 38; or A change to subheadings 3809. 10 through 3823. 90 from any other subheading within Chapters 28 through 38, including another subheading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Annex 00 SECTION VII Plastics and Articles Thereof; Rubber and Articles Thereof(Ch. 39-40)Chapter 39 Plastics and Articles Thereof39. 01-39. 20 A change to headings 39. 01 through 39. 20 from any other heading, including another heading within that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3921. 11-3921. 13 A change to subheadings 3921. 11 through 3921. 13 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3921. 14 A change to subheading 3921. 14 from any other heading, except from subheading 3920. 20 or 3920. 71. In addition, the regional value content must be not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3921. 19 A change to subheading 3921. 19 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3921. 90 A change to subheading 3921. 90 from any other heading, except from subheading 3920. 20 or 3920. 71. In addition, the regional value content percentage must be not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 39. 22 A change to heading 39. 22 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3923. 10-3923. 21 A change to subheadings 3923. 10 through 3923. 21 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 3923. 29 A change to subheading 3923. 29 from any other heading, except from subheading 3920. 20 or 3920. 71. In addition, the regional value content percentage must be not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 3923. 30-3923. 90 A change to subheadings 3923. 30 through 3923. 90 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 39. 24-39. 26 A change to headings 39. 24 through 39. 26 from any other heading, including another heading within that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 40 Rubber and Articles Thereof40. 01-40. 06 A change to headings 40. 01 through 40. 06 from any other chapter; or A change to headings 40. 01 through 40. 06 from any other heading within Chapter 40, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is us40. 07-40. 08 A change to headings 40. 07 through 40. 08 from any other heading outside that group. 4009. 10-4009. 40 A change to subheadings 4009. 10 through 4009. 40 from any other heading, except from headings 40. 10 through 40. 17. 4009. 50 A change to tubes, pipes or hoses of subheading 4009. 50, of a kind used for motor vehicles of heading 87. 02 for the transport of 15 or fewer persons, motor cars or other motor vehicles of heading 87. 03, motor vehicles of subheading 8704. 21 or 8704. 31 or motorcycles of heading 87. 11, from any other heading, except from headings 40. 10 through 40. 17; or A change to tubes, pipes or hoses of subheading 4009. 50, of a kind used for motor vehicles of heading 87. 02 for the transport of 15 or fewer persons, motor cars or other motor vehicles of heading 87. 03, motor vehicles of subheading 8704. 21 or 8704. 31 or motorcycles of heading 87. 11, from subheadings 4009. 10 through 4017. 00, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction method is used, or b) 50% where the net cost method is used; or A change to tubes, pipes or hoses of subheading 4009. 50, other than those of a kind used for motor vehicles of heading 87. 02 for the transport of 15 or fewer persons, motor cars or other motor vehicles of heading 87. 03, motor vehicles of subheading 8704. 21 or 8704. 31 or motorcycles of heading 87. 11 from any other heading, except from headings 40. 10 through 40. 1740. 10-40. 11 A change to headings 40. 10 through 40. 11 from any other heading, except from headings 40. 09 through 40. 17. 4012. 10 A change to subheading 4012. 10 from any other subheading, except from Canadian tariff item 4012. 20. 20, U. S. Tariff item 4012. 20. 15 or 4012. 20. 18, Mexican tariff item 4012. 20. 01. 4012. 20-4012. 90 A change to subheadings 4012. 20 through 4012. 90 from any other heading, except from headings 40. 09 through 40. 17. 40. 13-40. 15 A change to headings 40. 13 through 40. 15 from any other heading, except from headings 40. 09 through 40. 17. 4016. 10-4016. 92 A change to subheadings 4016. 10 through 4016. 92 from any other heading, except from headings 40. 09 through 40. 17. 4016. 93 4016. 93. 10 A change to Canadian tariff item 4016. 93. 10, U. S. Tariff item 4016. 93. 10, Mexican tariff item 4016. 93. 04 from any other heading, except from Canadian tariff item 4008. 19. 10 or 4008. 29. 10, U. S. Tariff item 4008. 19. 05 or 4008. 29. 10, Mexican tariff item 4008. 19. 01 or 4008. 29. 01. 4016. 93 A change to subheading 4016. 93 from any other heading, except from headings 40. 09 through 40. 17. 4016. 94-4016. 95 A change to subheadings 4016. 94 through 4016. 95 from any other heading, except from headings 40. 09 through 40. 17. 4016. 99 4016. 99. A1 A change to Canadian tariff item 4016. 99. A1, U. S. Tariff item 4016. 99. H1, Mexican tariff item 4016. 99. X1 from any other subheading, provided there is a regional value content of not less than 50% under the net cost method. 4016. 99 A change to subheading 4016. 99 from any other heading, except from headings 40. 09 through 40. 17. 40. 17 A change to heading 40. 17 from any other heading, except from headings 40. 09 through 40. 16. Annex 00 SECTION VIII Raw Hides and Skins, Leather, Furskins and Articles Thereof;Saddlery and Harness; Travel Goods, Handbags, and SimilarContainers; Articles of Animal Gut (Other Than Silkworm Gut)(Ch. 41-43)Chapter 41 Raw Hides and Skins (Other Than Furskins) and Leather41. 01-41. 03 A change to headings 41. 01 through 41. 03 from any other chapter. 41. 04 A change to heading 41. 04 from any other heading, except from headings 41. 05 through 41. 11. 41. 05 A change to heading 41. 05 from Canadian tariff item 4105. 19. 10, U. S. Tariff item 4105. 19. 10, Mexican tariff item 4105. 19. 01, headings 41. 01 through 41. 03 or any other chapter. 41. 06 A change to heading 41. 06 from Canadian tariff item 4106. 19. 10, U. S. Tariff item 4106. 19. 10, Mexican tariff item 4106. 19. 01, headings 41. 01 through 41. 03 or any other chapter. 41. 07 A change to heading 41. 07 from Canadian tariff item 4107. 10. 10, U. S. Tariff item 4107. 10. 10, Mexican tariff item 4107. 10. 02, headings 41. 01 through 41. 03 or any other chapter. 41. 08-41. 11 A change to headings 41. 08 through 41. 11 from any other heading, except from headings 41. 04 through 41. 11. Chapter 42 Articles of Leather; Saddlery and Harness; Travel Goods, Handbags and Similar Containers; Articles of Animal Gut (Other Than Silk-Worm Gut)42. 01 A change to heading 42. 01 from any other chapter. 4202. 11 A change to subheading 4202. 11 from any other chapter. 4202. 12 A change to subheading 4202. 12 from any other chapter, except from headings 54. 07, 54. 08 or 55. 12 through 55. 16. 4202. 19-4202. 21 A change to subheadings 4202. 19 through 4202. 21 from any other chapter. 4202. 22 A change to subheading 4202. 22 from any other chapter, except from headings 54. 07, 54. 08 or 55. 12 through 55. 16. 4202. 29-4202. 31 A change to subheadings 4202. 29 through 4202. 31 from any other chapter. 4202. 32 A change to subheading 4202. 32 from any other chapter, except from headings 54. 07, 54. 08 or 55. 12 through 55. 16. 4202. 39-4202. 91 A change to subheadings 4202. 39 through 4202. 91 from any other chapter. 4202. 92 A change to subheading 4202. 92 from any other chapter, except from headings 54. 07, 54. 08 or 55. 12 through 55. 16. 4202. 99 A change to subheading 4202. 99 from any other chapter. 42. 03-42. 06 A change to headings 42. 03 through 42. 06 from any other chapter. Chapter 43 Furskins and Artificial Fur; Manufactures Thereof43. 01 A change to heading 43. 01 from any other chapter. 43. 02 A change to heading 43. 02 from any other heading. 43. 03-43. 04 A change to headings 43. 03 through 43. 04 from any other heading outside that group. Annex 00 SECTION X Pulp of Wood or of other Fibrous Cellulosic Material; Waste andScrap of Paper or Paperboard; Paper and Paperboard and ArticlesThereof (Ch. 47-49)Chapter 47 Pulp of Wood or of Other Fibrous Cellulosic Material; Waste and Scrap of Paper or Paperboard47. 01-47. 07 A change to headings 47. 01 through 47. 07 from any other chapter. Chapter 48 Paper and Paperboard; Articles of Paper Pulp, of Paper or of Paperboard48. 01-48. 07 A change to headings 48. 01 through 48. 07 from any other chapter. 48. 08-48. 09 A change to headings 48. 08 through 48. 09 from any other heading outside that group. 48. 10-48. 13 A change to headings 48. 10 through 48. 13 from any other chapter. 48. 14-48. 15 A change to headings 48. 14 through 48. 15 from any other heading outside that group. 48. 16 A change to heading 48. 16 from any other heading, except from heading 48. 09. 48. 17-48. 23 A change to headings 48. 17 through 48. 23 from any other heading outside that group. Chapter 49 Printed Books, Newspapers, Pictures and Other Products of the Printing Industry; Manuscripts, Typescripts and Plans49. 01-49. 11 A change to headings 49. 01 through 49. 11 from any other chapter. Annex 00 SECTION XI Textiles and Textile Articles (Ch. 50-63)Note: For purposes of the textiles provisions, the term "wholly" is interpreted to mean that the product is made entirely or solely of the named material. Chapter 50 Silk50. 01-50. 03 A change to headings 50. 01 through 50. 03 from any other chapter. 50. 04-50. 06 A change to headings 50. 04 through 50. 06 from any other heading outside that group. 50. 07 A change to heading 50. 07 from any other heading. Chapter 51 Wool, Fine or Coarse Animal Hair; Horsehair Yarn and Woven Fabric51. 01-51. 05 A change to headings 51. 01 through 51. 05 from any other chapter. 51. 06-51. 10 A change to headings 51. 06 through 51. 10 from any other heading outside that group. 51. 11-51. 13 A change to headings 51. 11 through 51. 13 from any other heading outside that group, except from headings 51. 06 through 51. 10, 52. 05 through 52. 06, 54. 01 through 54. 04, or 55. 09 through 55. 10. Chapter 52 Cotton52. 01-52. 07 A change to headings 52. 01 through 52. 07 from any other chapter, except from headings 54. 01 through 54. 05 or 55. 01 through 55. 07. 52. 08-52. 12 A change to headings 52. 08 through 52. 12 from any other heading outside that group, except from headings 51. 06 through 51. 10, 52. 05 through 52. 06, 54. 01 through 54. 04, or 55. 09 through 55. 10. Chapter 53 Other Vegetable Textile Fibres; Paper Yarn and Woven Fabrics of Paper Yarn53. 01-53. 05 A change to headings 53. 01 through 53. 05 from any other chapter. 53. 06-53. 08 A change to headings 53. 06 through 53. 08 from any other heading outside that group. 53. 09 A change to heading 53. 09 from any other heading, except from headings 53. 07 through 53. 08. 53. 10-53. 11 A change to headings 53. 10 through 53. 11 from any other heading outside that group, except from headings 53. 07 through 53. 08. Chapter 54 Man-Made Filaments54. 01-54. 06 A change to headings 54. 01 through 54. 06 from any other chapter, except from headings 52. 01 through 52. 03 or 55. 01 through 55. 07. 54. 07 5407. 60. 10 A change to Canadian tariff item 5407. 60. 10, U. S. Tariff item 5407. 60. 22, Mexican tariff item 5407. 60. 02 from any other chapter or from Canadian tariff item 5402. 43. 10 or 5402. 52. 10, U. S. tariff item 5402. 43. 10 or 5402. 52. 10, Mexican tariff item 5402. 43. 01 or 5402. 52. 02, except from headings 51. 06 through 51. 10, 52. 05 through 52. 06 or 55. 09 through 55. 10. 54. 07 A change to heading 54. 07 from any other chapter, except from headings 51. 06 through 51. 10, 52. 05 through 52. 06 or 55. 09 through 55. 10. 54. 08 A change to heading 54. 08 from any other chapter, except from headings 51. 06 through 51. 10, 52. 05 through 52. 06 or 55. 09 through 55. 10. Chapter 55 Man-Made Staple Fibres55. 01-55. 11 A change to headings 55. 01 through 55. 11 from any other chapter, except from headings 52. 01 through 52. 03 or 54. 01 through 54. 05. 55. 12-55. 16 A change to headings 55. 12 through 55. 16 from any other heading outside that group, except from headings 51. 06 through 51. 10, 52. 05 through 52. 06, 54. 01 through 54. 04 or 55. 09 through 55. 10. Chapter 56 Wadding, Felt and Nonwovens; Special Yarns; Twine; Cordage, Ropes and Cables and Articles Thereof56. 01-56. 09 A change to headings 56. 01 through 56. 09 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, or Chapters 54 through 55. Chapter 57 Carpets and Other Textile Floor Coverings57. 01-57. 05 A change to headings 57. 01 through 57. 05 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 08, 53. 11, 55. 08 through 55. 16, or Chapter 54. Chapter 58 Special Woven Fabrics; Tufted Textile Fabrics; Lace; Tapestries; Trimmings; Embroidery58. 01-58. 11 A change to headings 58. 01 through 58. 11 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, or Chapters 54 through 55. Chapter 59 Impregnated, Coated, Covered or Laminated Textile Fabrics; Textile Articles of a Kind Suitable For Industrial Use59. 01 A change to heading 59. 01 from any other chapter, except from headings 51. 11 through 51. 13, 52. 08 through 52. 12, 53. 10 through 53. 11, 54. 07 through 54. 08, or 55. 12 through 55. 16. 59. 02 A change to heading 59. 02 from any other heading, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 06 through 53. 11, or Chapters 54 through 55. 59. 03-59. 08 A change to headings 59. 03 through 59. 08 from any other chapter, except from headings 51. 11 through 51. 13, 52. 08 through 52. 12, 53. 10 through 53. 11, 54. 07 through 54. 08, or 55. 12 through 55. 16. 59. 09 A change to heading 59. 09 from any other chapter, except from headings 51. 11 through 51. 13, 52. 08 through 52. 12, 53. 10 through 53. 11, 55. 12 through 55. 16, or Chapter 54. 59. 10 A change to heading 59. 10 from any other heading, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, or Chapters 54 through 55. 59. 11 A change to heading 59. 11 from any other chapter, except from headings 51. 11 through 51. 13, 52. 08 through 52. 12, 53. 10 through 53. 11, 54. 07 through 54. 08, or 55. 12 through 55. 16. Chapter 60 Knitted or Crocheted Fabrics60. 01-60. 02 A change to headings 60. 01 through 60. 02 from any other chapter, except from headings 51. 06 through 51. 13, 53. 07 through 53. 08, 53. 10 through 53. 11, or Chapters 52, 54 through 55. Chapter 61 Articles of Apparel and Clothing Accessories, Knitted or Crocheted Note 1: A change to any of the following headings or subheadings for visible lining fabrics: 51. 11-51. 12, 5208. 31-5208. 59, 5209. 31-5209. 59, 5210. 31-5210. 59, 5211. 31-5211. 59, 5212. 13-5212. 15, 5212. 23-5212. 25, 5407. 42-5407. 44, 5407. 52-5407. 54, 5407. 60, 5407. 72-5407. 74, 5407. 82-5407. 84, 5407. 92-5407. 94, 5408. 22-5408. 24 (excluding Canadian tariff item 5408. 22. 10, 5408. 23. 10 or 5408. 24. 10, U. S. Tariff item 5408. 22. H1, 5408. 23. H1 or 5408. 24. H1, Mexican tariff item 5408. 22. X1, 5408. 23. X1 or 5408. 24. X1), 5408. 32-5408. 34, 5512. 19, 5512. 29, 5512. 99, 5513. 21-5513. 49, 5514. 21-5515. 99, 5516. 12-5516. 14, 5516. 22-5516. 24, 5516. 32-5516. 34, 5516. 42-5516. 44, 5516. 92-5516. 94, 6001. 10, 6001. 92, 6002. 43, or 6002. 91-6002. 93, from any other heading outside that group. Note 2: Apparel products of this Chapter shall be considered to originate in the territory of a Party if they are both cut and sewn or otherwise assembled in the territory of one or more of the Parties and if the outer shell, exclusive of collars or cuffs, is wholly of fabrics of Canadian tariff item 6002. 92. A1, U. S. Tariff item 6002. 92. 10, Mexican tariff item 6002. 92. 01. Note 3: For the purpose of determining the origin of a good of this Chapter, the rule applicable to that good shall only apply to the fabric which imparts to the good its essential character and such fabric must satisfy the tariff change requirements set out in the rule for that good. If the rule requires that the good must also satisfy the tariff change requirements for visible lining fabrics listed in Note 1, such requirement shall only apply to the visible lining fabric in the main body of the garment, excluding sleeves, which covers the largest surface area, and shall not apply to removable linings. 6101. 10-6101. 30 A change to subheadings 6101. 10 through 6101. 30 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6101. 90 A change to subheading 6101. 90 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6102. 10-6102. 30 A change to subheadings 6102. 10 through 6102. 30 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6102. 90 A change to subheading 6102. 90 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6103. 11-6103. 12 A change to subheadings 6103. 11 through 6103. 12 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103. 19 6103. 19. 90 A change to Canadian tariff item 6103. 19. 90, U. S. Tariff item 6103. 19. 40, Mexican tariff item 6103. 19. 02 or 6103. 19. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6103. 19 A change to subheading 6103. 19 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103. 21-6103. 29 A change to subheadings 6103. 21 through 6103. 29 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties and, with the additional requirement that garments described in heading 61. 01 or jackets or blazers described in heading 61. 03, of wool, fine animal hair, cotton or man-made fibres, imported as part of the ensembles of these subheadings, the visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103. 31-6103. 33 A change to subheadings 6103. 31 through 6103. 33 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103. 39 6103. 39. 90 A change to Canadian tariff item 6103. 39. 90, U. S. Tariff item 6103. 39. 20, Mexican tariff item 6103. 39. 02 or 6103. 39. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6103. 39 A change to subheading 6103. 39 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6103. 41-6103. 49 A change to subheadings 6103. 41 through 6103. 49 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104. 11-6104. 13 A change to subheadings 6104. 11 through 6104. 13 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104. 19 6104. 19. 90 A change to Canadian tariff item 6104. 19. 90, U. S. Tariff item 6104. 19. 20, Mexican tariff item 6104. 19. 02 or 6104. 19. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104. 19 A change to subheading 6104. 19 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104. 21-6104. 29 A change to subheadings 6104. 21 through 6104. 29 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties and, with the additional requirement that garments described in heading 61. 02, jackets or blazers described in heading 61. 04, or skirts described in heading 61. 04, of wool, fine animal hair, cotton or man-made fibres, imported as part of the ensembles of these subheadings, the visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104. 31-6104. 33 A change to subheadings 6104. 31 through 6104. 33 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104. 39 6104. 39. 90 A change to Canadian tariff item 6104. 39. 90, U. S. Tariff item 6104. 39. 20, Mexican tariff item 6104. 39. 02 or 6104. 39. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104. 39 A change to subheading 6104. 39 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104. 41-6104. 49 A change to subheadings 6104. 41 through 6104. 49 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104. 51-6104. 53 A change to subheadings 6104. 51 through 6104. 53 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104. 59 6104. 59. 90 A change to Canadian tariff item 6104. 59. 90, U. S. Tariff item 6104. 59. 20, Mexican tariff item 6104. 59. 02 or 6104. 59. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 6104. 59 A change to subheading 6104. 59 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6104. 61-6104. 69 A change to subheadings 6104. 61 through 6104. 69 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. 61. 05-61. 17 A change to headings 61. 05 through 61. 17 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties. Chapter 62 Articles of Apparel and Clothing Accessories, Not Knitted or Crocheted Note 1: A change to any of the following headings or subheadings for visible lining fabrics: 51. 11-51. 12, 5208. 31-5208. 59, 5209. 31-5209. 59, 5210. 31-5210. 59, 5211. 31-5211. 59, 5212. 13-5212. 15, 5212. 23-5212. 25, 5407. 42-5407. 44, 5407. 52-5407. 54, 5407. 60, 5407. 72-5407. 74, 5407. 82-5407. 84, 5407. 92-5407. 94, 5408. 22-5408. 24 (excluding Canadian tariff item 5408. 22. 10, 5408. 23. 10 or 5408. 24. 10, U. S. Tariff item 5408. 22. H1, 5408. 23. H1 or 5408. 24. H1, Mexican tariff item 5408. 22. X1, 5408. 23. X1 or 5408. 24. X1), 5408. 32-5408. 34, 5512. 19, 5512. 29, 5512. 99, 5513. 21-5513. 49, 5514. 21-5515. 99, 5516. 12-5516. 14, 5516. 22-5516. 24, 5516. 32-5516. 34, 5516. 42-5516. 44, 5516. 92-5516. 94, 6001. 10, 6001. 92, 6002. 43, or 6002. 91-6002. 93, from any other heading outside that group. Note 2: Apparel products of this Chapter shall be considered to originate if they are both cut and sewn or otherwise assembled in the territory of one or more of the Parties and if the outer shell, exclusive of collars or cuffs, is wholly of one or more of the following fabrics: (i) Velveteen fabrics of subheading 5801. 23, containing 85 per cent or more by weight of cotton; (ii) Corduroy fabrics of subheading 5801. 22, containing 85 per cent or more by weight of cotton and containing more than 7. 5 wales per centimetre; (iii) Fabrics of subheading 5111. 11 or 5111. 19, if hand-woven, with a loom width of less than 76 cm, woven in the United Kingdom in accordance with the rules and regulations of the Harris Tweed Association, Ltd. , and so certified by the Association; (iv) Fabrics of subheading 5112. 30, weighing not more than 340 grams per square metre, containing wool, not less than 20 per cent by weight of fine animal hair and not less than 15 per cent by weight of man-made staple fibres; (v) Batiste fabrics of subheading 5513. 11 or 5513. 21, of square construction, of single yarns exceeding 76 metric count, containing between 60 and 70 warp ends and filling picks per square centimetre, of a weight not exceeding 110 grams per square metre. Note 3: For the purpose of determining the origin of a good of this Chapter, the rule applicable to that good shall only apply to the fabric which imparts to the good its essential character and such fabric must satisfy the tariff change requirements set out in the rule for that good. If the rule requires that the good must also satisfy the tariff change requirements for visible lining fabrics listed in Note 1, such requirement shall only apply to the visible lining fabric in the main body of the garment, excluding sleeves, which covers the largest surface area, and shall not apply to removable linings. 6201. 11-6201. 13 A change to subheadings 6201. 11 through 6201. 13 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6201. 19 A change to subheading 6201. 19 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6201. 91-6201. 93 A change to subheadings 6201. 91 through 6201. 93 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6201. 99 A change to subheading 6201. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6202. 11-6202. 13 A change to subheadings 6202. 11 through 6202. 13 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6202. 19 A change to subheading 6202. 19 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6202. 91-6202. 93 A change to subheadings 6202. 91 through 6202. 93 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6202. 99 A change to subheading 6202. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6203. 11-6203. 12 A change to subheadings 6203. 11 through 6203. 12 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203. 19 6203. 19. 90 A change to Canadian tariff item 6203. 19. 90, U. S. Tariff item 6203. 19. 40, Mexican tariff item 6203. 19. 02 or 6203. 19. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6203. 19 A change to subheading 6203. 19 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203. 21-6203. 29 A change to subheadings 6203. 21 through 6203. 29 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties and, with the additional requirement that garments described in heading 62. 01 or jackets or blazers described in heading 62. 03, of wool, fine animal hair, cotton or man-made fibres, imported as part of the ensembles of these subheadings, the visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203. 31-6203. 33 A change to subheadings 6203. 31 through 6203. 33 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203. 39 6203. 39. A1 A change to Canadian tariff item 6203. 39. A1, U. S. Tariff item 6203. 39. 40, Mexican tariff item 6203. 39. 02 or 6203. 39. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6203. 39 A change to subheading 6203. 39 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6203. 41-6203. 49 A change to subheadings 6203. 41 through 6203. 49 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204. 11-6204. 13 A change to subheadings 6204. 11 through 6204. 13 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204. 19 6204. 19. A1 A change to Canadian tariff 6204. 19. A1, U. S. Tariff item 6204. 19. 30, Mexican tariff item 6204. 19. 02 or 6204. 19. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204. 19 A change to subheading 6204. 19 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204. 21-6204. 29 A change to subheadings 6204. 21 through 6204. 29 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut (or knit to shape) and sewn or otherwise assembled in the territory of one or more of the Parties and, with the additional requirement that garments described in heading 62. 02, jackets or blazers described in heading 62. 04, or skirts described in heading 62. 04, of wool, fine animal hair, cotton or man-made fibres, imported as part of the ensembles of these subheadings, the visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204. 31-6204. 33 A change to subheadings 6204. 31 through 6204. 33 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204. 39 6204. 39. 90 A change to Canadian tariff item 6204. 39. 90, U. S. Tariff item 6204. 39. 60 or 6204. 39. 80, Mexican tariff item 6204. 39. 02 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204. 39 A change to subheading 6204. 39 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204. 41-6204. 49 A change to subheadings 6204. 41 through 6204. 49 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204. 51-6204. 53 A change to subheadings 6204. 51 through 6204. 53 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204. 59 6204. 59. 90 A change to Canadian tariff item 6204. 59. 90, U. S. Tariff item 6204. 59. 40, Mexican tariff item 6204. 59. 02 or 6204. 59. 99 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6204. 59 A change to subheading 6204. 59 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties, and visible lining fabrics listed in Note 1 satisfy the tariff change requirements provided therein. 6204. 61-6204. 69 A change to subheadings 6204. 61 through 6204. 69 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6205. 10 A change to subheading 6205. 10 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6205. 20-6205. 30 Note: Men's or boys' shirts of cotton or man-made fibres shall be considered to originate if they are both cut and assembled in the territory of one or more of the Parties and if the outer shell, exclusive of collars or cuffs, is wholly of one or more of the following fabrics: (i) Fabrics of subheading 5208. 21, 5208. 22, 5208. 29, 5208. 31, 5208. 32, 5208. 39, 5208. 41, 5208. 42, 5208. 49, 5208. 51, 5208. 52 or 5208. 59, of average yarn number exceeding 135 metric; (ii) Fabrics of subheading 5513. 11 or 5513. 21, not of square construction, containing more than 70 warp ends and filling picks per square centimetre, of average yarn number exceeding 70 metric; (iii) Fabrics of subheading 5210. 21 or 5210. 31, not of square construction, containing more than 70 warp ends and filling picks per square centimetre, of average yarn number exceeding 70 metric; (iv) Fabrics of subheading 5208. 22 or 5208. 32, not of square construction, containing more than 75 warp ends and filling picks per square centimetre, of average yarn number exceeding 65 metric; (v) Fabrics of subheading 5407. 81, 5407. 82 or 5407. 83, weighing less than 170 grams per square metre, having a dobby weave created by a dobby attachment; (vi) Fabrics of subheading 5208. 42 or 5208. 49, not of square construction, containing more than 85 warp ends and filling picks per square centimetre, of average yarn number exceeding 85 metric; (vii) Fabrics of subheading 5208. 51, of square construction, containing more than 75 warp ends and filling picks per square centimetre, made with single yarns, of average yarn number 95 or greater metric; (viii) Fabrics of subheading 5208. 41, of square construction, with a gingham pattern, containing more than 85 warp ends and filling picks per square centimetre, made with single yarns, of average yarn number 95 or greater metric, and characterized by a check effect produced by the variation in color of the yarns in the warp and filling. A change to subheadings 6205. 20 through 6205. 30 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6205. 90 A change to subheading 6205. 90 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 62. 06-62. 11 A change to headings 62. 06 through 62. 11 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6212. 10 A change to subheading 6212. 10 from any other chapter; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 6212. 20-6212. 90 A change to subheadings 6212. 20 through 6212. 90 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 62. 13-62. 17 A change to headings 62. 13 through 62. 17 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, 55. 08 through 55. 16, 58. 01 through 58. 02, 60. 01 through 60. 02, or Chapter 54; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. Chapter 63 Other Made Up Textile Articles; Sets; Worn Clothing and Worn Textile Articles; Rags Note 1: For the purpose of determining the origin of a good of this Chapter, the rule applicable to that good shall only apply to the fabric which imparts to the good its essential character and such fabric must satisfy the tariff change requirements set out in the rule for that good. 63. 01-63. 02 A change to headings 63. 01 through 63. 02 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, Chapters 54 through 55, headings 58. 01 through 58. 02 or 60. 01 through 60. 02; provided the goods are both cut and sewn (or knit to shape) or otherwise assembled in the territory of one or more of the Parties. 63. 03 6303. 92. A1 A change to Canadian tariff item 6303. 92. A1, U. S. Tariff item 6302. 92. H1, Mexican tariff item 6302. 92. X1 from any other chapter or from Canadian tariff item 5402. 43. 10 or 5402. 52. 10, U. S. tariff item 5402. 43. 10 or 5402. 52. 10, Mexican tariff item 5402. 43. 01 or 5402. 52. 02, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, Chapters 54 through 55, headings 58. 01 through 58. 02, 60. 01 or 60. 02; provided the goods are both cut and sewn or otherwise assembled in the territory of one or more of the Parties. 63. 03 A change to heading 63. 03 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, Chapters 54 through 55, headings 58. 01 through 58. 02 or 60. 01 through 60. 02; provided the goods are both cut and sewn (or knit to shape) or otherwise assembled in the territory of one or more of the Parties. 63. 04-63. 10 A change to headings 63. 04 through 63. 10 from any other chapter, except from headings 51. 06 through 51. 13, 52. 04 through 52. 12, 53. 07 through 53. 08, 53. 10 through 53. 11, Chapters 54 through 55, headings 58. 01 through 58. 02 or 60. 01 through 60. 02; provided the goods are both cut and sewn (or knit to shape) or otherwise assembled in the territory of one or more of the Parties. Annex 00 SECTION XII Footwear, Headgear, Umbrellas, Sun Umbrellas, Walking-Sticks, Seat-Sticks, Whips, Riding-Crops and Parts Thereof; Prepared Feathersand Articles Made Therewith; Artificial Flowers; Articles of HumanHair (Ch. 64-67)Chapter 64 Footwear, Gaiters and the Like; Parts of Such Articles6401. 10-6406. 10 A change to subheadings 6401. 10 through 6406. 10 from any other subheading outside that group, provided there is a regional value content of not less than 55% under the net cost method. 6406. 20-6406. 99 A change to subheadings 6406. 20 through 6406. 99 from any other chapter. Chapter 65 Headgear and Parts Thereof65. 01-65. 02 A change to headings 65. 01 through 65. 02 from any other chapter. 65. 03-65. 07 A change to headings 65. 03 through 65. 07 from any heading outside that group. Chapter 66 Umbrellas, Sun Umbrellas, Walking-Sticks, Seat-Sticks, Whips, Riding-Crops and Parts Thereof66. 01 A change to heading 66. 01 from any other heading, except from a combination of both: a) subheading 6603. 20; and b) headings 39. 20 through 39. 21, 50. 07, 51. 11 through 51. 13, 52. 08 through 52. 12, 53. 09 through 53. 11, 54. 07 through 54. 08, 55. 12 through 55. 16, 56. 02 through 56. 03, 58. 01 through 58. 11, 59. 01 through 59. 11, 60. 01 through 60. 02. 66. 02 A change to heading 66. 02 from any other heading. 66. 03 A change to heading 66. 03 from any other chapter. Chapter 67 Prepared Feathers and Down and Articles Made of Feathers or of Down; Artificial Flowers; Articles of Human Hair67. 01 6701. 00. 10 A change to Canadian tariff item 6701. 00. 10, U. S. Tariff item 6701. 00. 10, Mexican tariff item 6701. 00. 01 or 6701. 00. 02 from any other tariff item. 67. 01 A change to heading 67. 01 from any other chapter. 67. 02 A change to heading 67. 02 from any other heading. 67. 03 A change to heading 67. 03 from any other chapter. 67. 04 A change to heading 67. 04 from any other heading. Annex 00 SECTION XIII Articles of Stone, Plaster, Cement, Asbestos, Mica or SimilarMaterials; Ceramic Products; Glass and Glassware (Ch. 68-70)Chapter 68 Articles of Stone, Plaster, Cement, Asbestos, Mica or Similar Materials68. 01-68. 11 A change to headings 68. 01 through 68. 11 from any other chapter. 6812. 10 A change to subheading 6812. 10 from any other chapter. 6812. 20 A change to subheading 6812. 20 from any other subheading. 6812. 30-6812. 40 A change to subheadings 6812. 30 through 6812. 40 from any other subheading outside that group. 6812. 50 A change to subheading 6812. 50 from any other subheading. 6812. 60-6812. 90 A change to subheadings 6812. 60 through 6812. 90 from any other subheading outside that group. 68. 13 A change to heading 68. 13 from any other heading. 68. 14-68. 15 A change to headings 68. 14 through 68. 15 from any other chapter. Chapter 69 Ceramic Products69. 01-69. 14 A change to headings 69. 01 through 69. 14 from any other chapter. Chapter 70 Glass and Glassware70. 01-70. 02 A change to headings 70. 01 through 70. 02 from any other chapter. 70. 03-70. 09 A change to headings 70. 03 through 70. 09 from any other heading outside that group. 70. 10-70. 20 A change to headings 70. 10 through 70. 20 from any other heading, except from headings 70. 07 through 70. 20. Annex 00 SECTION XIV Natural or Cultured Pearls, Precious or Semiprecious Stones, Precious Metals, Metals Clad with Precious Metal, and ArticlesThereof; Imitation Jewellery; Coin (Ch. 71)Chapter 71 Natural or Cultured Pearls, Precious or Semi-Precious Stones, Precious Metals, Metals Clad with Precious Metal, and Articles Thereof; Imitation Jewellery; Coin (Ch. 71)71. 01-71. 12 A change to headings 71. 01 through 71. 12 from any other chapter. 71. 13-71. 18 Note: Pearls, temporarily or permanently strung but without the addition of clasps or other ornamental features of precious metals or stones, shall be treated as a good of the country in which the pearls were obtained. A change to headings 71. 13 through 71. 18 from any other heading outside that group. Annex 00 SECTION XIX Arms and Ammunition; Parts and Accessories Thereof (Ch. 93)Chapter 93 Arms and Ammunition; Parts and Accessories Thereof93. 01-93. 04 A change to headings 93. 01 through 93. 04 from any other chapter; or A change to headings 93. 01 through 93. 04 from heading 93. 05, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 93. 05 A change to heading 93. 05 from any other heading. 93. 06-93. 07 A change to headings 93. 06 through 93. 07 from any other chapter. Annex 00 SECTION XV Base Metals and Articles of Base Metal (Ch. 72-83)Chapter 72 Iron and Steel72. 01 A change to heading 72. 01 from any other chapter. 7202. 11-7202. 60 A change to subheadings 7202. 11 through 7202. 60 from any other chapter. 7202. 70 A change to subheading 7202. 70 from any other chapter, except from subheading 2613. 10. 7202. 80-7202. 99 A change to subheadings 7202. 80 through 7202. 99 from any other chapter. 72. 03-72. 05 A change to headings 72. 03 through 72. 05 from any other chapter. 72. 06-72. 07 A change to headings 72. 06 through 72. 07 from any other heading outside that group. 72. 08-72. 16 A change to headings 72. 08 through 72. 16 from any other heading outside that group. 72. 17 A change to heading 72. 17 from any other heading, except from headings 72. 13 through 72. 15. 72. 18-72. 22 A change to headings 72. 18 through 72. 22 from any other heading outside that group. 72. 23 A change to heading 72. 23 from any other heading, except from headings 72. 21 through 72. 22. 72. 24-72. 28 A change to headings 72. 24 through 72. 28 from any other heading outside that group. 72. 29 A change to heading 72. 29 from any other heading, except from headings 72. 27 through 72. 28. Chapter 73 Articles of Iron or Steel73. 01-73. 03 A change to headings 73. 01 through 73. 03 from any other chapter. 7304. 10-7304. 39 A change to subheadings 7304. 10 through 7304. 39 from any other chapter. 7304. 41 7304. 41. 10 A change to Canadian tariff item 7304. 41. 10, U. S. Tariff item 7304. 41. 10, Mexican tariff item 7304. 41. 02 or 7304. 41. 03 from subheading 7304. 49 or from any other chapter. 7304. 41 A change to subheading 7304. 41 from any other chapter. 7304. 49-7304. 90 A change to subheadings 7304. 49 through 7304. 90 from any other chapter. 73. 05-73. 07 A change to headings 73. 05 through 73. 07 from any other chapter. 73. 08 A change to heading 73. 08 from any other heading, except for changes resulting from the following processes performed on angles, shapes, or sections of heading 72. 16: a) drilling, punching, notching, cutting, cambering, or sweeping, whether performed individually or in combination; b) adding attachments or weldments for composite construction; c) adding attachments for handling purposes; d) adding weldments, connectors or attachments to H-sections or I- sections; provided that the maximum dimension of the weldments, connectors, or attachments is not greater than the dimension between the inner surfaces of the flanges of the H-sections or I-sections e) painting, galvanizing, or otherwise coating; or f) adding a simple base plate without stiffening elements, individually or in combination with drilling, punching, notching, or cutting, to create an article suitable as a column. 73. 09-73. 11 A change to headings 73. 09 through 73. 11 from any other heading outside that group. 73. 12-73. 14 A change to headings 73. 12 through 73. 14 from any other heading, including another heading within that group. 7315. 11-7315. 12 A change to subheadings 7315. 11 through 7315. 12 from any other heading; or A change to subheadings 7315. 11 through 7315. 12 from subheading 7315. 19, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7315. 19 A change to subheading 7315. 19 from any other heading. 7315. 20-7315. 89 A change to subheadings 7315. 20 through 7315. 89 from any other heading; or A change to subheadings 7315. 20 through 7315. 89 from subheading 7315. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7315. 90 A change to subheading 7315. 90 from any other heading. 73. 16 A change to heading 73. 16 from any other heading, except from heading 73. 12 or 73. 15. 73. 17-73. 18 A change to headings 73. 17 through 73. 18 from any other heading outside that group. 73. 19-73. 20 A change to headings 73. 19 through 73. 20 from any other heading outside that group. 7321. 11 7321. 11. 19 A change to Canadian tariff item 7321. 11. 19, U. S. Tariff item 7321. 11. 30, Mexican tariff item 7321. 11. 02 or 7321. 11. 03 from any other subheading, except from Canadian tariff item 7321. 90. 51, 7321. 90. 52 or 7321. 90. 53, U. S. Tariff item 7321. 90. 32, 7321. 90. 34 or U. S. Tariff item 7321. 90. 36, Mexican tariff item 7321. 90. 05, 7321. 90. 06 or 7321. 90. 07. 7321. 11 A change to subheading 7321. 11 from any other heading; or A change to subheading 7321. 11 from subheading 7321. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7321. 12-7321. 83 A change to subheadings 7321. 12 through 7321. 83 from any other heading; or A change to subheadings 7321. 12 through 7321. 83 from subheading 7321. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7321. 90 7321. 90. 51 A change to Canadian tariff item 7321. 90. 51, U. S. Tariff item 7321. 90. 32, Mexican tariff item 7321. 90. 05 from any other tariff item. 7321. 90. 52 A change to Canadian tariff item 7321. 90. 52, U. S. Tariff item 7321. 90. 34, Mexican tariff item 7321. 90. 06 from any other tariff item. 7321. 90. 53 A change to Canadian tariff item 7321. 90. 53, U. S. Tariff item 7321. 90. 36, Mexican tariff item 7321. 90. 07 from any other tariff item. 7321. 90 A change to subheading 7321. 90 from any other heading. 73. 22-73. 23 A change to headings 73. 22 through 73. 23 from any other heading outside that group. 7324. 10-7324. 29 A change to subheadings 7324. 10 through 7324. 29 from any other heading; or A change to subheadings 7324. 10 through 7324. 29 from subheading 7324. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7324. 90 A change to subheading 7324. 90 from any other heading. 73. 25-73. 26 A change to headings 73. 25 through 73. 26 from any other heading outside that group. Chapter 74 Copper and Articles Thereof74. 01-74. 02 A change to headings 74. 01 through 74. 02 from any other chapter. 74. 03 A change to heading 74. 03 from any other chapter; or A change to heading 74. 03 from any of Canadian tariff item 7404. 00. 11, 7404. 00. 21 or 7404. 11. 91, U. S. Tariff item 7404. 00. 10, Mexican tariff item 7404. 00. 01 or 7404. 11. 02, heading 74. 01 or 74. 02, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 74. 04 A change to heading 74. 04 from any other chapter. 74. 05-74. 07 A change to headings 74. 05 through 74. 07 from any other chapter; or A change to headings 74. 05 through 74. 07 from any of Canadian tariff item 7404. 00. 11, 7404. 00. 21 or 7404. 00. 91, U. S. Tariff item 7404. 00. 10, Mexican tariff item 7404. 00. 01 or 7404. 00. 02, heading 74. 01 or 74. 02, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7408. 11 7408. 11. 11 A change to Canadian tariff item 7408. 11. 11 or 7408. 11. 21, U. S. Tariff item 7408. 11. 60, Mexican tariff item 7408. 11. 01 from any other chapter; or A change to Canadian tariff item 7408. 11. 11 or 7408. 11. 21, U. S. Tariff item 7408. 11. 60, Mexican tariff item 7408. 11. 01 from any of Canadian tariff item 7404. 00. 11, 7404. 00. 21 or 7404. 00. 91, U. S. Tariff item 7404. 00. 10, Mexican tariff item 7404. 00. 01 or 7404. 00. 02, or heading 74. 01 or 74. 02, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 7408. 11 A change to subheading 7408. 11 from any other heading, except from heading 74. 07. 7408. 19-7408. 29 A change to subheadings 7408. 19 through 7408. 29 from any other heading, except from heading 74. 07. 74. 09 A change to heading 74. 09 from any other heading. 74. 10 A change to heading 74. 10 from any other heading, except from heading 74. 09. 74. 11 A change to heading 74. 11 from any other heading, except from heading 74. 09 or Canadian tariff item 7407. 10. 13, 7407. 10. 22, 7407. 21. 13, 7407. 21. 22, 7407. 22. 13, 7407. 22. 22, 7407. 29. 13, or 7407. 29. 22, U. S. Tariff item 7407. 10. 20, 7407. 21. 20, 7407. 22. 20 or 7407. 29. 20, Mexican tariff item 7407. 10. 02, 7407. 21. 02, 7407. 22. 02 or 7407. 29. 02. 74. 12 A change to heading 74. 12 from any other heading, except from heading 74. 11. 74. 13 A change to heading 74. 13 from any other heading, except from headings 74. 07 through 74. 08; or A change to heading 74. 13 from any of headings 74. 07 through 74. 08, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 74. 14-74. 18 A change to headings 74. 14 through 74. 18 from any other heading, including another heading within that group. 7419. 10 A change to subheading 7419. 10 from any other heading, except from heading 74. 07. 7419. 91-7419. 99 A change to subheadings 7419. 91 through 7419. 99 from any other heading. Chapter 75 Nickel and Articles Thereof75. 01-75. 04 A change to headings 75. 01 through 75. 04 from any other chapter. 75. 05 A change to heading 75. 05 from any other heading. 75. 06 7506. 10. 22 A change to Canadian tariff item 7506. 10. 22, U. S. Tariff item 7506. 10. 50, Mexican tariff item 7506. 10. 01 from any other tariff item. 7506. 20. 92 A change to Canadian tariff item 7506. 20. 92, U. S. Tariff item 7506. 20. 50, Mexican tariff item 7506. 20. 01 from any other tariff item. 75. 06 A change to heading 75. 06 from any other heading. 75. 07-75. 08 A change to headings 75. 07 through 75. 08 from any other heading outside that group. Chapter 76 Aluminum and Articles Thereof76. 01-76. 03 A change to headings 76. 01 through 76. 03 from any other chapter. 76. 04-76. 06 A change to headings 76. 04 through 76. 06 from any other heading outside that group. 76. 07 A change to heading 76. 07 from any other heading. 76. 08-76. 09 A change to headings 76. 08 through 76. 09 from any other heading outside that group. 76. 10-76. 13 A change to headings 76. 10 through 76. 13 from any other heading, including another heading within that group. 76. 14 A change to heading 76. 14 from any other heading, except from headings 76. 04 through 76. 05. 76. 15-76. 16 A change to headings 76. 15 through 76. 16 from any other heading, including another heading within that group. Chapter 78 Lead and Articles Thereof78. 01-78. 02 A change to headings 78. 01 through 78. 02 from any other chapter. 78. 03-78. 06 A change to headings 78. 03 through 78. 06 from any other chapter; or A change to headings 78. 03 through 78. 06 from any other heading within Chapter 78, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 79 Zinc and Articles Thereof79. 01-79. 03 A change to headings 79. 01 through 79. 03 from any other chapter. 79. 04-79. 07 A change to headings 79. 04 through 79. 07 from any other chapter; or A change to headings 79. 04 through 79. 07 from any other heading within Chapter 79, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. Chapter 80 Tin and Articles Thereof80. 01-80. 02 A change to headings 80. 01 through 80. 02 from any other chapter. 80. 03-80. 04 A change to headings 80. 03 through 80. 04 from any other heading outside that group. 80. 05-80. 07 A change to headings 80. 05 through 80. 07 from any other heading outside that group. Chapter 81 Other Base Metals; Cermets; Articles Thereof8101. 10-8101. 91 A change to subheadings 8101. 10 through 8101. 91 from any other chapter. 8101. 92 A change to subheading 8101. 92 from any other subheading. 8101. 93 A change to subheading 8101. 93 from any other chapter. 8101. 99 A change to subheading 8101. 99 from any other subheading. 8102. 10-8102. 91 A change to subheadings 8102. 10 through 8102. 91 from any other chapter. 8102. 92 A change to subheading 8102. 92 from any other subheading. 8102. 93 A change to subheading 8102. 93 from any other subheading, except from Canadian tariff item 8102. 92. 10, U. S. Tariff item 8102. 92. 10, Mexican tariff item 8102. 92. 01. 8102. 99 A change to subheading 8102. 99 from any other subheading. 8103. 10 A change to subheading 8103. 10 from any other chapter. 8103. 90 A change to subheading 8103. 90 from any other subheading. 8104. 11-8104. 30 A change to subheadings 8104. 11 through 8104. 30 from any other chapter. 8104. 90 A change to subheading 8104. 90 from any other subheading. 8105. 10 A change to subheading 8105. 10 from any other chapter. 8105. 90 A change to subheading 8105. 90 from any other subheading. 81. 06 A change to heading 81. 06 from any other chapter. 8107. 10 A change to subheading 8107. 10 from any other chapter. 8107. 90 A change to subheading 8107. 90 from any other subheading. 8108. 10 A change to subheading 8108. 10 from any other chapter. 8108. 90 A change to subheading 8108. 90 from any other subheading. 8109. 10 A change to subheading 8109. 10 from any other chapter. 8109. 90 A change to subheading 8109. 90 from any other subheading. 81. 10 A change to heading 81. 10 from any other chapter. 81. 11 8111. 00. 21 A change to Canadian tariff item 8111. 00. 21. 8111. 00. 22, 8111. 00. 40, U. S. tariff item 8111. 00. 60, Mexican tariff item 8111. 00. 01 from any other tariff item. 81. 11 A change to heading 81. 11 from any other chapter. 81. 12-81. 13 A change to headings 81. 12 through 81. 13 from any other chapter. Chapter 82 Tools, Implements, Cutlery, Spoons and Forks, of Base Metal; Parts Thereof of Base Metal82. 01-82. 15 A change to headings 82. 01 through 82. 15 from any other chapter. Chapter 83 Miscellaneous Articles of Base Metal8301. 10-8301. 50 A change to subheadings 8301. 10 through 8301. 50 from any chapter; or A change to subheadings 8301. 10 through 8301. 50 from subheading 8301. 60, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8301. 60-8301. 70 A change to subheadings 8301. 60 through 8301. 70 from any other chapter. 83. 02-83. 04 A change to headings 83. 02 through 83. 04 from any other chapter. 8305. 10-8305. 20 A change to subheadings 8305. 10 through 8305. 20 from any other chapter; or A change to subheadings 8305. 10 through 8305. 20 from subheading 8305. 90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8305. 90 A change to subheading 8305. 90 from any other chapter. 83. 06-83. 07 A change to headings 83. 06 through 83. 07 from any other chapter. ; or A change to headings 83. 06 through 83. 07 from within headings 83. 06 through 83. 07, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% the transaction value method is used, or b) 50% where the net cost method is used. 8308. 10-8308. 20 A change to subheadings 8308. 10 through 8308. 20 from any other chapter; or A change to subheadings 8308. 10 through 8308. 20 from subheading 8308. 90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8308. 90 A change to subheading 8308. 90 from any other chapter. 83. 09-83. 10 A change to headings 83. 09 through 83. 10 from any other chapter. 8311. 10-8311. 30 A change to subheadings 8311. 10 through 8311. 30 from any other chapter; or A change to subheadings 8311. 10 through 8311. 30 from subheading 8311. 90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8311. 90 A change to subheading 8311. 90 from any other chapter. Annex 00 SECTION XVI Machinery and Mechanical Appliances; Electrical Equipment; PartsThereof; Sound Recorders and Reproducers, Television Image andSound Recorders and Reproducers, and Parts and Accessories of SuchArticles (Ch. 84-85)Note: For purposes of this Section, the term, "printed circuit assembly", means goods consisting of one or more printed circuits of heading 85. 34 with one or more active elements assembled thereon, with or without passive elements. For purposes of this Note, "active elements" means diodes, transistors and similar semiconductor devices, whether or not photosensitive, of heading 85. 41, and integrated circuits and microassemblies of heading 85. 42. Chapter 84 Nuclear Reactors, Boilers, Machinery and Mechanical Appliances; Parts Thereof Note X: Tariff item 8473. 30. A3 covers the following parts of printers: (1) Control or command assemblies for printers of subheading 8471. 92, incorporating at least two of the following: printed circuit assembly; hard or flexible (floppy) disc drive; keyboard; user interface; (2) Light source assemblies for printers of subheading 8471. 92, incorporating at least two of the following: light emitting diode assembly; gas laser; mirror polygon assembly; base casting; (3) Laser imaging assemblies for the printers of subheading 8471. 92, incorporating at least two of the following: photoreceptor belt or cylinder; toner receptacle unit; toner developing unit; charge/discharge unit; cleaning unit; (4) Image fixing assemblies for the printers of subheading 8471. 92, incorporating at least two of the following: fuser; pressure roller; heating element; release oil dispenser; cleaning unit; electrical control; (5) Ink jet marking assemblies for the printers of subheading 8471. 92, incorporating at least two of the following: thermal print head; ink dispensing unit; nozzle and reservoir unit; ink heater; (6) Maintenance/sealing assemblies for the printers of subheading 8471. 92, incorporating at least two of the following: vacuum unit; ink jet covering unit; sealing unit; purging unit; (7) Paper handling assemblies for the printers of subheading 8471. 92, incorporating at least two of the following: paper transport belt; roller; print bar; carriage; gripper roller; paper storage unit; exit tray; (8) Thermal transfer imaging assemblies for the printers of subheading 8471. 92, incorporating at least two of the following: thermal print head; cleaning unit; supply or take-up roller; (9) Ionographic imaging assemblies for the printers of subheading 8471. 92, incorporating at least two of the following: ion generation and emitting unit; air assist unit; printed circuit assembly; charge receptor belt or cylinder; toner receptacle unit; toner distribution unit; developer receptacle and distribution unit; developing unit; charge/discharge unit; cleaning unit; and (10) Combinations of the above specified assemblies. 8401. 10-8401. 30 A change to subheadings 8401. 10 through 8401. 30 from any other heading; or A change to subheadings 8401. 10 through 8401. 30 from subheading 8401. 40, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8401. 40 A change to subheading 8401. 40 from any other heading. 8402. 11-8402. 20 A change to subheadings 8402. 11 through 8402. 20 from any other heading; or A change to subheadings 8402. 11 through 8402. 20 from subheading 8402. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8402. 90 A change to subheading 8402. 90 from any other heading; or A change to subheading 8402. 90 from within subheading 8402. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8403. 10 A change to subheading 8403. 10 from any other heading; or A change to subheading 8403. 10 from subheading 8403. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8403. 90 A change to subheading 8403. 90 from any other heading. 8404. 10-8404. 20 A change to subheadings 8404. 10 through 8404. 20 from any other heading; or A change to subheadings 8404. 10 through 8404. 20 from subheading 8404. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8404. 90 A change to subheading 8404. 90 from any other heading. 8405. 10 A change to subheading 8405. 10 from any other heading; or A change to subheadings 8405. 10 from subheading 8405. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8405. 90 A change to subheading 8405. 90 from any other heading. 8406. 11-8406. 19 A change to subheadings 8406. 11 through 8406. 19 from any other subheading outside that group, except from Canadian tariff item 8406. 90. 32 or 8406. 90. 34, U. S. tariff item 8406. 90. 20, 8406. 90. 40, 8406. 90. 50 or 8406. 90. 70, Mexican tariff item 8406. 90. X1 or 8406. 90. X2. 8406. 90 8406. 90. A1 A change to Canadian tariff item 8406. 90. 32, U. S. Tariff item 8406. 90. 20, Mexican tariff item 8406. 90. X1 from Canadian tariff item 8406. 90. 31, U. S. tariff item 8406. 90. 30 or 8406. 90. 60, Mexican tariff item 8406. 90. X3 or any other heading. US8406. 90. 50 A change to U. S. Tariff item 8406. 90. 50 from Canadian tariff item 8406. 90. 31, U. S. Tariff item 8406. 90. 30 or 8406. 90. 60, Mexican tariff item 8406. 90. X3 or any other heading. 8406. 90. A2 A change to Canadian tariff item 8406. 90. 34, U. S. Tariff item 8406. 90. 40, Mexican tariff item 8406. 90. X2 from any other tariff item. 8406. 90. A3 A change to Canadian tariff item 8406. 90. 31, U. S. Tariff item 8406. 90. 30, Mexican tariff item 8406. 90. X3 from any other tariff item. US8406. 90. 60 A change to U. S. Tariff item 8406. 90. 60 from any other tariff item. US8406. 90. 70 A change to U. S. Tariff item 8406. 90. 70 from any other tariff item. 8406. 90 A change to subheading 8406. 90 from any other heading. 84. 07-84. 08 A change to headings 84. 07 through 84. 08 from any other heading, including another heading within that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8409. 10 A change to subheading 8409. 10 from any other heading. 8409. 91 A change to subheading 8409. 91 from any other heading; or A change to subheading 8409. 91 from within subheading 8409. 91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8409. 99 A change to subheading 8409. 99 from any other heading; or A change to subheading 8409. 99 from within subheading 8409. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8410. 11-8410. 13 A change to subheadings 8410. 11 through 8410. 13 from any other heading; or A change to subheadings 8410. 11 through 8410. 13 from subheading 8410. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8410. 90 A change to subheading 8410. 90 from any other heading. 8411. 11-8411. 82 A change to subheadings 8411. 11 through 8411. 82 from any other heading; or A change to subheadings 8411. 11 through 8411. 82 from any of subheadings 8411. 91 through 8411. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8411. 91-8411. 99 A change to subheadings 8411. 91 through 8411. 99 from any other heading. 8412. 10-8412. 80 A change to subheadings 8412. 10 through 8412. 80 from any other heading; or A change to subheadings 8412. 10 through 8412. 80 from subheading 8412. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8412. 90 A change to subheading 8412. 90 from any other heading. 8413. 11-8413. 82 A change to subheadings 8413. 11 through 8413. 82 from any other heading; or A change to subheadings 8413. 11 through 8413. 82 from any of subheadings 8413. 91 through 8413. 92, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8413. 91 A change to subheading 8413. 91 from any other heading. 8413. 92 A change to subheading 8413. 92 from any other heading; or A change to subheading 8413. 92 from within subheading 8409. 92, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8414. 10-8414. 20 A change to subheadings 8414. 10 through 8414. 20 from any other heading; or A change to subheadings 8414. 10 through 8414. 20 from subheading 8414. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8414. 30 A change to subheading 8414. 30 from any other subheading, except from Canadian tariff item 8414. 90. 21 or 8414. 90. 51, U. S. Tariff item 8414. 90. 20, Mexican tariff item 8414. 90. X1. 8414. 40-8414. 80 A change to subheadings 8414. 40 through 8414. 80 from any other heading; or A change to subheadings 8414. 40 through 8414. 80 from subheading 8414. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8414. 90 A change to subheading 8414. 90 from any other heading; or A change to subheading 8414. 90 from within subheading 8414. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8415. 10 A change to subheading 8415. 10 from any other subheading, except from Canadian tariff item 8415. 90. A1, U. S. Tariff item 8415. 90. H1, Mexican tariff item 8415. 90. X1 or from assemblies incorporating at least two of the following: compressor, condenser, evaporator, connecting tubing. 8415. 81-8415. 83 A change to subheadings 8415. 81 through 8415. 83 from any other subheading outside that group, except from Canadian tariff item 8415. 90. A1, U. S. Tariff item 8415. 90. H1, Mexican tariff item 8415. 90. X1 or from assemblies for goods of subheadings 8415. 10 through 8415. 83, incorporating at least two of the following: compressor, condenser, evaporator, connecting tubing; or A change to subheadings 8415. 81 through 8415. 83 from any of Canadian tariff item 8415. 90. A1, U. S. Tariff item 8415. 90. H1, Mexican tariff item 8415. 90. X1 or assemblies for goods of subheadings 8415. 10 through 8415. 83, incorporating at least two of the following: compressor, condenser, evaporator, connecting tubing, whether or not there is also a change from any other subheading outside that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8415. 90 8415. 90. A1 A change to Canadian tariff item 8415. 90. A1, U. S. Tariff item 8415. 90. H1, Mexican tariff item 8415. 90. X1 from any other tariff item. 8415. 90 A change to subheading 8415. 90 from any other heading. 8416. 10-8416. 30 A change to subheadings 8416. 10 through 8416. 30 from any other heading; or A change to subheadings 8416. 10 through 8416. 30 from subheading 8416. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8416. 90 A change to subheading 8416. 90 from any other heading. 8417. 10-8417. 80 A change to subheadings 8417. 10 through 8417. 80 from any other heading; or A change to subheadings 8417. 10 through 8417. 80 from subheading 8417. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8417. 90 A change to subheading 8417. 90 from any other heading. 8418. 10-8418. 21 A change to subheadings 8418. 10 through 8418. 21 from any other subheading, except from subheading 8418. 91 or Canadian tariff item 8418. 99. A1, U. S. Tariff item 8418. 99. H1, Mexican tariff item 8418. 99. X1, or from assemblies incorporating at least two of the following: compressor, condenser, evaporator, connecting tubing. 8418. 22 A change to subheading 8418. 22 from any other heading; or A change to subheadings 8418. 22 from any of subheadings 8418. 91 through 8418. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8418. 29-8418. 40 A change to subheadings 8418. 29 through 8418. 40 from any other subheading outside that group, except from subheading 8418. 91 or Canadian tariff item 8418. 99. A1, U. S. Tariff item 8418. 99. H1, Mexican tariff item 8418. 99. X1, or from assemblies incorporating at least two of the following: compressor, condenser, evaporator, connecting tubing. 8418. 50-8418. 69 A change to subheadings 8418. 50 through 8418. 69 from any other heading; or A change to subheadings 8418. 50 through 8418. 69 from any of subheadings 8418. 91 through 8418. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8418. 91 A change to subheading 8418. 91 from any other subheading. 8418. 99 8418. 99. A1 A change to Canadian tariff item 8418. 99. A1, U. S. Tariff item 8418. 99. H1, Mexican tariff item 8418. 99. X1 from any other tariff item. 8418. 99 A change to subheading 8418. 99 from any other heading. 8419. 11-8419. 89 A change to subheadings 8419. 11 through 8419. 89 from any other heading; or A change to subheadings 8419. 11 through 8419. 89 from subheading 8419. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8419. 90 A change to subheading 8419. 90 from any other heading; or A change to subheading 8419. 90 from within subheading 8419. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8420. 10 A change to subheading 8420. 10 from any other heading; or A change to subheadings 8420. 10 from any of subheadings 8420. 91 through 8420. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8420. 91-8420. 99 A change to subheadings 8420. 91 through 8420. 99 from any other heading. 8421. 11 A change to subheading 8421. 11 from any other heading; or A change to subheading 8421. 11 from subheading 8421. 91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8421. 12 A change to subheading 8421. 12 from any other subheading, except from Canadian tariff item 8421. 91. A1, 8421. 91. A2 or 8537, 10. A1, U. S. Tariff item 8421. 91. H1, 8421. 91. H2 or 8537. 10. H1, Mexican tariff item 8421. 91. X1, 8421. 91. X2 or 8537. 10. X1. 8421. 19-8421. 39 A change to subheadings 8421. 19 through 8421. 39 from any other heading; or A change to subheadings 8421. 19 through 8421. 39 from any of subheadings 8421. 91 through 8421. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8421. 91 8421. 91. A1 A change to Canadian tariff item 8421. 91. A1, U. S. Tariff item 8421. 91. H1, Mexican tariff item 8421. 91. X1 from any other tariff item. 8421. 91. A2 A change to Canadian tariff item 8421. 91. A2, U. S. Tariff item 8421. 91. H2, Mexican tariff item 8421. 91. X2 from any other tariff item. 8421. 91 A change to subheading 8421. 91 from any other heading. 8421. 99 A change to subheading 8421. 99 from any other heading; or A change to subheading 8421. 99 from within subheading 8421. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8422. 11 A change to subheading 8422. 11 from any other subheading, except from Canadian tariff item 8422. 90. A1, 8422. 90. A2 or 8537. 10. A1, U. S. Tariff item 8422. 90. H1, 8422. 90. H2 or 8537. 10. H1, Mexican tariff item 8422. 90. X1. 8422. 90. X2 or 8537. 10. X1, or from water circulation systems incorporating a pump, whether or not motorized, and auxiliary apparatus for controlling, filtering, or dispersing a spray. 8422. 19-8422. 40 A change to subheadings 8422. 19 through 8422. 40 from any other heading; or A change to subheadings 8422. 19 through 8422. 40 from subheading 8422. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8422. 90 8422. 90. A1 A change to Canadian tariff item 8422. 90. A1, U. S. Tariff item 8422. 90. H1, Mexican tariff item 8422. 90. X1 from any other tariff item. 8422. 90. A2 A change to Canadian tariff item 8422. 90. A2, U. S. Tariff item 8422. 90. H2, Mexican tariff item 8422. 90. H2 from any other tariff item. 8422. 90 A change to subheading 8422. 90 from any other heading. 8423. 10-8423. 89 A change to subheadings 8423. 10 through 8423. 89 from any other heading; or A change to subheadings 8423. 10 through 8423. 89 from subheading 8423. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8423. 90 A change to subheading 8423. 90 from any other heading. 8424. 10-8424. 89 A change to subheadings 8424. 10 through 8424. 89 from any other heading; or A change to subheadings 8424. 10 through 8424. 89 from subheading 8424. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8424. 90 A change to subheading 8424. 90 from any other heading. 84. 25-84. 26 A change to headings 84. 25 through 84. 26 from any other heading, except from heading 84. 31; or A change to headings 84. 25 through 84. 26 from heading 84. 31, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427. 10 8427. 10. A1 A change to Canadian tariff item 8427. 10. A1, U. S. Tariff item 8427. 10. H1, Mexican tariff item 8427. 10. X1 from any other heading, except from heading 84. 07 or 84. 08 or subheading 8431. 20 or 8483. 40; or A change to Canadian tariff item 8427. 10. A1, U. S. Tariff item 8427. 10. H1, Mexican tariff item 8427. 10. X1 from any of headings 84. 07 or 84. 08 or subheadings 8431. 20 or 8483. 40, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427. 10 A change to subheading 8427. 10 from any other heading, except from subheading 8431. 20; or A change to subheading 8427. 10 from subheading 8431. 20, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427. 20 8427. 20. A1 A change to Canadian tariff item 8427. 20. A1, U. S. Tariff item 8427. 20. H1, Mexican tariff item 8427. 20. X1 from any other heading, except from heading 84. 07 or 84. 08 or subheading 8431. 20 or 8483. 40; or A change to Canadian tariff item 8427. 20. A1, U. S. Tariff item 8427. 20. H1, Mexican tariff item 8427. 20. X1 from any of headings 84. 07 or 84. 08 or subheadings 8431. 20 or 8483. 40, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427. 20 A change to subheading 8427. 20 from any other heading, except from subheading 8431. 20; or A change to subheading 8427. 20 from subheading 8431. 20, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8427. 90 A change to subheading 8427. 90 from any other heading, except from subheading 8431. 20; or A change to subheading 8427. 90 from subheading 8431. 20, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 84. 28-84. 30 A change to headings 84. 28 through 84. 30 from any other heading outside that group, except from heading 84. 31; or A change to headings 84. 28 through 84. 30 from heading 84. 31, whether or not there is also a change from any other heading outside that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431. 10 A change to subheading 8431. 10 from any other heading; or A change to subheading 8431. 10 from within subheading 8431. 10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431. 20 A change to subheading 8431. 20 from any other heading outside that group. 8431. 31 A change to subheading 8431. 31 from any other heading; or A change to subheading 8431. 31 from within subheading 8431. 31, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431. 39 A change to subheading 8431. 39 from any other heading; or A change to subheading 8431. 39 from within subheading 8431. 39, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431. 41-8431. 42 A change to subheadings 8431. 41 through 8431. 42 from any other heading. 8431. 43 A change to subheading 8431. 43 from any other heading; or A change to subheading 8431. 43 from within subheading 8431. 43, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8431. 49 A change to subheading 8431. 49 from any other heading; or A change to subheading 8431. 49 from within subheading 8431. 49, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8432. 10-8432. 80 A change to subheading 8432. 10 through 8432. 80 from any other heading; or A change to subheadings 8432. 10 through 8432. 80 from subheading 8432. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8432. 90 A change to subheading 8432. 90 from any other heading. 8433. 11-8433. 60 A change to subheadings 8433. 11 through 8433. 60 from any other heading; or A change to subheadings 8433. 11 through 8433. 60 from subheading 8433. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8433. 90 A change to subheading 8433. 90 from any other heading. 8434. 10-8434. 20 A change to subheadings 8434. 10 through 8434. 20 from any other heading; or A change to subheadings 8434. 10 through 8434. 20 from subheading 8434. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8434. 90 A change to subheading 8434. 90 from any other heading. 8435. 10 A change to subheading 8435. 10 from any other heading; or A change to subheading 8435. 10 from subheading 8435. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8435. 90 A change to subheading 8435. 90 from any other heading. 8436. 10-8436. 80 A change to subheadings 8436. 10 through 8436. 80 from any other heading; or A change to subheadings 8436. 10 through 8436. 80 from any of subheadings 8436. 91 through 8436. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8436. 91-8436. 99 A change to subheadings 8436. 91 through 8436. 99 from any other heading. 8437. 10-8437. 80 A change to subheadings 8437. 10 through 8437. 80 from any other heading; or A change to subheadings 8437. 10 through 8437. 80 from subheading 8437. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8437. 90 A change to subheading 8437. 90 from any other heading. 8438. 10-8438. 80 A change to subheadings 8438. 10 through 8438. 80 from any other heading; or A change to subheadings 8438. 10 through 8438. 80 from subheading 8438. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8438. 90 A change to subheading 8438. 90 from any other heading. 8439. 10-8439. 30 A change to subheadings 8439. 10 through 8439. 30 from any other heading; or A change to subheadings 8439. 10 through 8439. 30 from any of subheadings 8439. 91 through 8439. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8439. 91-8439. 99 A change to subheadings 8439. 91 through 8439. 99 from any other heading. 8440. 10 A change to subheading 8440. 10 from any other heading; or A change to subheading 8440. 10 from subheading 8440. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8440. 90 A change to subheading 8440. 90 from any other heading. 8441. 10-8441. 80 A change to subheadings 8441. 10 through 8441. 80 from any other heading; or A change to subheadings 8441. 10 through 8441. 80, from subheading 8441. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8441. 90 A change to subheading 8441. 90 from any other heading; or A change to subheading 8441. 90 from within subheading 8441. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8442. 10-8442. 30 A change to subheadings 8442. 10 through 8442. 30 from any other heading; or A change to subheadings 8442. 10 through 8442. 30 from any of subheadings 8442. 40 through 8442. 50, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8442. 40-8442. 50 A change to subheadings 8442. 40 through 8442. 50 from any other heading. 8443. 11-8443. 50 A change to subheadings 8443. 11 through 8443. 50 from any other heading; or A change to subheadings 8443. 11 through 8443. 50 from any of subheadings 8443. 60 or 8443. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8443. 60 A change to subheading 8443. 60 from any other heading; or A change to subheading 8443. 60 from subheading 8443. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8443. 90 A change to subheading 8443. 90 from any other heading. 84. 44-84. 47 A change to headings 84. 44 through 84. 47 from any other heading outside that group, except from heading 84. 48; or A change to headings 84. 44 through 84. 47 from heading 84. 48, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8448. 11-8448. 19 A change to subheadings 8448. 11 through 8448. 19 from any other heading; or A change to subheadings 8448. 11 through 8448. 19 from any of subheadings 8448. 20 through 8448. 59, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8448. 20-8448. 59 A change to subheadings 8448. 20 through 8448. 59 from any other heading. 84. 49 A change to heading 84. 49 from any other heading. 8450. 11-8450. 20 A change to subheadings 8450. 11 through 8450. 20 from any other subheading outside that group, except from Canadian tariff item 8450. 90. A1, 8450. 90. A2 or 8537. 10. A1, U. S. Tariff item 8450. 90. H1, 8450. 90. H2 or 8537. 10. H1, Mexican tariff item 8450. 90. X1, 8450. 90. X2 or 8537. 10. X1, or from washer assemblies incorporating at least two of the following: agitator, motor, transmission, clutch. 8450. 90 8450. 90. A1 A change to Canadian tariff item 8450. 90. A1, U. S. Tariff item 8450. 90. H1, Mexican tariff item 8450. 90. X1 from any other tariff item. 8450. 90. A2 A change to Canadian tariff item 8450. 90. A2, U. S. Tariff item 8450. 90. H2, Mexican tariff item 8450. 90. X2 from any other tariff item. 8450. 90 A change to subheading 8450. 90 from any other heading. 8451. 10 A change to subheading 8451. 10 from any other heading; or A change to subheadings 8451. 10 from subheading 8451. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8451. 21-8451. 29 A change to subheadings 8451. 21 through 8451. 29 from any other subheading outside that group, except from Canadian tariff item 8451. 90. A1 or 8451. 90. A2, U. S. tariff item 8451. 90. H1 or 8451. 90. H2, Mexican tariff item 8451. 90. X1 or 8451. 90. X2, or subheading 8537. 10. 8451. 30-8451. 80 A change to subheadings 8451. 30 through 8451. 80 from any other heading; or A change to subheadings 8451. 30 through 8451. 80 from subheading 8451. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8451. 90 8451. 90. A1 A change to Canadian tariff item 8451. 90. A1, U. S. Tariff item 8451. 90. H1, Mexican tariff item 8451. 90. X1 from any other tariff item. 8451. 90. A2 A change to Canadian tariff item 8451. 90. A2, U. S. Tariff item 8451. 90. H2, Mexican tariff item 8451. 90. X2 from any other tariff item. 8451. 90 A change to subheading 8451. 90 from any other heading. 8452. 10-8452. 30 A change to subheadings 8452. 10 through 8452. 30 from any other heading; or A change to subheadings 8452. 10 through 8452. 30 from any of subheadings 8452. 40 or 8452. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8452. 40-8452. 90 A change to subheadings 8452. 40 through 8452. 90 from any other heading. 8453. 10-8453. 80 A change to subheadings 8453. 10 through 8453. 80 from any other heading; or A change to subheadings 8453. 10 through 8453. 80 from subheading 8453. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8453. 90 A change to subheading 8453. 90 from any other heading. 8454. 10-8454. 30 A change to subheadings 8454. 10 through 8454. 30 from any other heading; or A change to subheadings 8454. 10 through 8454. 30 from subheading 8454. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8454. 90 A change to subheading 8454. 90 from any other heading. 8455. 10-8455. 22 A change to subheadings 8455. 10 through 8455. 22 from any other subheading outside that group, except from Canadian tariff item 8455. 90. A1, U. S. Tariff item 8455. 90. H1, Mexican tariff item 8455. 90. X1. 8455. 30 A change to subheading 8455. 30 from any other heading; or A change to subheadings 8455. 30 from subheading 8455. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8455. 90 A change to subheading 8455. 90 from any other heading. 8456. 10 A change to subheading 8456. 10 from any other heading, except from more than one of the following: o Canadian tariff item 8466. 93. A1, U. S. Tariff 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8537. 10, o subheading 9013. 20. 8456. 20-8456. 90 A change to subheadings 8456. 20 through 8456. 90 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 84. 57 A change to heading 84. 57 from any other heading, except from heading 84. 59 or from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8458. 11 A change to subheading 8458. 11 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8458. 19 A change to subheading 8458. 19 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8458. 91 A change to subheading 8458. 91 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8458. 99 A change to subheading 8458. 99 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8459. 10 A change to subheading 8459. 10 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8459. 21 A change to subheading 8459. 21 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10; or A change to subheading 8459. 21 from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459. 29 A change to subheading 8459. 29 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8459. 31 A change to subheading 8459. 31 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10; or A change to subheading 8459. 31 from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459. 39 A change to subheading 8459. 39 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8459. 40-8459. 51 A change to subheadings 8459. 40 through 8459. 51 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10; or A change to subheadings 8459. 40 through 8459. 51 from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459. 59 A change to subheading 8459. 59 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8459. 61 A change to subheading 8459. 61 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10; or A change to subheading 8459. 61 from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459. 69 A change to subheading 8459. 69 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8459. 70 8459. 70. A1 A change to Canadian tariff item 8459. 70. A1, U. S. Tariff item 8459. 70. H1, Mexican tariff item 8459. 70. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10; or A change to Canadian tariff item 8459. 70. A1, U. S. Tariff item 8459. 70. H1, Mexican tariff item 8459. 70. X1 from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8459. 70 A change to subheading 8459. 70 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8460. 11 A change to subheading 8460. 11 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8460. 19 A change to subheading 8460. 19 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8460. 21 A change to subheading 8460. 21 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8460. 29 A change to subheading 8460. 29 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8460. 31 A change to subheading 8460. 31 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8460. 39 A change to subheading 8460. 39 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8460. 40 8460. 40. A1 A change to Canadian tariff item 8460. 40. A1, U. S. Tariff item 8460. 40. H1, Mexican tariff item 8460. 40. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8460. 40 A change to subheading 8460. 40 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8460. 90 8460. 90. A1 A change to Canadian tariff item 8460. 90. A1, U. S. Tariff item 8460. 90. H1, Mexican tariff item 8460. 90. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8460. 90 A change to subheading 8460. 90 from any other heading, except from Canadian tariff 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1 or subheading 8501. 32 or 8501. 52. 8461. 10 8461. 10. A1 A change to Canadian tariff item 8461. 10. A1, U. S. Tariff item 8461. 10. H1, Mexican tariff item 8461. 10. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8461. 10 A change to subheading 8461. 10 from any other heading, except from Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 83. X1. 8461. 20 8461. 20. A1 A change to Canadian tariff item 8461. 20. A1, US. Tariff item 8461. 20. H1, Mexican tariff item 8461. 20. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8461. 20 A change to subheading 8461. 20 from any other heading, except from Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 83. X1. 8461. 30 8461. 30. A1 A change to Canadian tariff item 8461. 30. A1, U. S. Tariff item 8461. 30. H1, Mexican tariff item 8461. 30. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8461. 30 A change to subheading 8461. 30 from any other heading, except from Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1. 8461. 40 A change to subheading 8461. 40 from any other heading, except from Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1. 8461. 50 8461. 50. A1 A change to Canadian tariff item 8461. 50. A1, U. S. Tariff item 8461. 50. H1, Mexican tariff item 8461. 50. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8461. 50 A change to subheading 8461. 50 from any other heading, except from Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1. 8461. 90 8461. 90. A1 A change to Canadian tariff item 8461. 90. A1, U. S. Tariff item 8461. 90. H1, Mexican tariff item 8461. 90. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8461. 90 A change to subheading 8461. 90 from any other heading, except from Canadian tariff item 8466. 93. A1, U. S. Tariff item 8466. 93. H1, Mexican tariff item 8466. 93. X1. 8462. 10 A change to subheading 8462. 10 from any other heading, except from Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1. 8462. 21 A change to subheading 8462. 21 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8462. 29 A change to subheading 8462. 29 from any other heading, except from Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1. 8462. 31 A change to subheading 8462. 31 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8462. 39 A change to subheading 8462. 29 from any other heading, except from Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1. 8462. 41 A change to subheading 8462. 41 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8462. 49 A change to subheading 8462. 49 from any other heading, except from Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1. 8462. 91 8462. 91. A1 A change to Canadian tariff item 8462. 91. A1, U. S. Tariff item 8462. 91. H1, 8462. 91. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8462. 91 A change to subheading 8462. 91 from any other heading, except from Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1. 8462. 99 8462. 99. A1 A change to Canadian tariff item 8462. 99. A1, U. S. Tariff item 8462. 99. H1, Mexican tariff item 8462. 99. X1 from any other heading, except from more than one of the following: o subheadings 8413. 50 through 8413. 60, o Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1, o subheading 8501. 32 or 8501. 52, o subheading 8537. 10. 8462. 99 A change to subheading 8462. 99 from any other heading, except from Canadian tariff item 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1. 84. 63 A change to heading 84. 63 from any other heading, except from Canadian tariff 8466. 94. A1, U. S. Tariff item 8466. 94. H1, Mexican tariff item 8466. 94. X1 or subheading 8501. 32 or 8501. 52. 84. 64 A change to heading 84. 64 from any other heading, except from subheading 8466. 91; or A change to heading 84. 64 from subheading 8466. 91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 84. 65 A change to heading 84. 65 from any other heading, except from subheading 8466. 92; or A change to heading 84. 65 from subheading 8466. 92, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 84. 66 A change to heading 84. 66 from any other heading. 8467. 11-8467. 89 A change to subheadings 8467. 11 through 8467. 89 from any other heading; or A change to subheadings 8467. 11 through 8467. 89 from any of subheadings 8467. 91, 8467. 92 or 8467. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8467. 91-8467. 99 A change to subheadings 8467. 91 through 8467. 99 from any other heading. 8468. 10-8468. 80 A change to subheadings 8468. 10 through 8468. 80 from any other heading; or A change to subheadings 8468. 10 through 8468. 80 from subheading 8468. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8468. 90 A change to subheading 8468. 90 from any other heading. 84. 69 8469. 10. A1 A change to Canadian tariff item 8469. 10. 20, U. S. Tariff item 8469. 10. H1, Mexican tariff item 8469. 10. X1 from any other heading, except from heading 84. 73; or A change to Canadian tariff item 8469. 10. A1, U. S. Tariff item 8469. 10. H1, Mexican tariff item 8469. 10. X1 from heading 84. 73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 84. 69 A change to headings 84. 69 from any other heading, except from heading 84. 73; or A change to heading 84. 69 from heading 84. 73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 84. 70 A change to headings 84. 70 from any other heading, except from heading 84. 73; or A change to heading 84. 70 from heading 84. 73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8471. 10 A change to subheading 8471. 10 from any other heading, except from heading 84. 73; or A change to subheading 8471. 10 from heading 84. 73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8471. 20-8471. 91 A change to subheadings 8471. 20 through 8471. 91 from any other subheading outside that group. 8471. 92 8471. 92. A1 A change to Canadian tariff item 8471. 92. A1, U. S. Tariff item 8471. 92. H1, Mexican tariff item 8471. 92. X1 from any other subheading, except from subheading 8540. 30. 8471. 92. A2 A change to Canadian tariff item 8471. 92. A2, U. S. Tariff item 8471. 92. H2, Mexican tariff item 8471. 92. X2 from any other tariff item, except from Canadian tariff item 8473. 30. A3, 8473. 30. A1 or 8548. 00. A1, U. S. tariff item 8473. 30. H3, 8473. 30. H1 or 8548. 00. H1, Mexican tariff item 8473. 30. X3, 8473. 30. X1 or 8548. 00. X1. 8471. 92. A3 A change to Canadian tariff item 8471. 92. A3, U. S. Tariff item 8471. 92. H3, Mexican tariff item 8471. 92. X3 from any other tariff item, except from Canadian tariff item 8473. 30. A1 or 8548. 00. A1, U. S. Tariff item 8473. 30. H1 or 8548. 00. H1, Mexican tariff item 8473. 30. X1 or 8548. 00. X1. 8471. 92. A4 A change to Canadian tariff item 8471. 92. A4, U. S. Tariff item 8471. 92. H4, Mexican tariff item 8471. 92. X4 from any other tariff item, except from Canadian tariff item 8473. 30. A3, 8473. 30. A1 or 8548. 00. A1, U. S. Tariff item 8473. 30. H3, 8473. 30. H1 or 8548. 00. H1, Mexican tariff item 8473. 30. X3, 8473. 30. X1 or 8548. 00. X1. 8471. 92. A5 A change to Canadian tariff item 8471. 92. A5, U. S. Tariff item 8471. 92. H5, Mexican tariff item 8471. 92. X5 from any other tariff item, except from Canadian tariff item 8473. 30. A3, U. S. Tariff item 8473. 30. H3, Mexican tariff item 8473. 30. X3. 8471. 92. A6 A change to Canadian tariff item 8471. 92. A6, U. S. Tariff item 8471. 92. H6, Mexican tariff item 8471. 92. X6 from any other tariff item, except from Canadian tariff item 8473. 30. A3, U. S. Tariff item 8473. 30. H3, Mexican tariff item 8473. 30. X3. 8471. 92. A7 A change to Canadian tariff item 8471. 92. A7, U. S. Tariff item 8471. 92. H7, Mexican tariff item 8471. 92. X7 from any other tariff item, except from Canadian tariff item 8473. 30. A3, U. S. Tariff item 8473. 30. H3, Mexican tariff item 8473. 30. X3. 8471. 92 A change to subheading 8471. 92 from any other subheading. 8471. 93 A change to subheading 8471. 93 from any other subheading. 8471. 99 8471. 99. A1 A change to Canadian tariff item 8471. 99. A1, U. S. Tariff item 8471. 99. 15, Mexican tariff item 8471. 99. X1 from any other tariff item. 8471. 99. A2 A change to Canadian tariff item 8471. 99. A2, U. S. Tariff item 8471. 99. 32 or 8471. 99. 34, Mexican tariff item 8471. 99. X2 from any other tariff item. 8471. 99. A3 A change to Canadian tariff item 8471. 99. A3, U. S. Tariff item 8471. 99. 60, Mexican tariff item 8471. 99. X3 from any other tariff item. 8471. 99 A change to any tariff item within subheading 8471. 99 from any other tariff item, including another tariff item within that subheading. 84. 72 A change to heading 84. 72 from any other heading, except from heading 84. 73; or A change to heading 84. 72 from heading 84. 73, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8473. 10 8473. 10. A1 A change to Canadian tariff item 8473. 10. A1, U. S. Tariff item 8473. 10. H1, Mexican tariff item 8473. 10. X1 from any other heading. 8473. 10. A2 A change to Canadian tariff item 8473. 10. A2, U. S. Tariff item 8473. 10. H2, Mexican tariff item 8473. 10. X2 from any other heading; or A change to Canadian tariff item 8473. 10. A2, U. S. Tariff item 8473. 10. H2, Mexican tariff item 8473. 10. X2 from within Canadian tariff item 8473. 10. A2, U. S. Tariff item 8473. 10. H2, Mexican tariff item 8473. 10. X2, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8473. 21 A change to subheading 8473. 21 from any other heading; or A change to subheading 8473. 21 from within subheading 8473. 21, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8473. 29 A change to subheading 8473. 29 from any other heading; or A change to subheading 8473. 29 from within subheading 8473. 29, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8473. 30 8473. 30. A1 A change to Canadian tariff item 8473. 30. A1, U. S. Tariff item 8473. 30. H1, Mexican tariff item 8473. 30. X1 from any other tariff item. 8473. 30. A2 A change to Canadian tariff item 8473. 30. A2, U. S. Tariff item 8473. 30. H2, Mexican tariff item 8473. 30. X2 from any other tariff item. 8473. 30. A3 A change to Canadian tariff item 8473. 30. A3, U. S. Tariff item 8473. 30. H3, Mexican tariff item 8473. 30. X3 from any other tariff item. 8473. 30 A change to subheading 8473. 30 from any other heading. 8473. 40 A change to subheading 8473. 40 from any other heading; or A change to subheading 8473. 40 from within heading 8473. 40, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8474. 10-8474. 80 A change to subheadings 8474. 10 through 8474. 80 from any other heading; or A change to subheadings 8474. 10 through 8474. 80 from subheading 8474. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8474. 90 A change to subheading 8474. 90 from any other heading; or A change to subheading 8474. 90 from within subheading 8474. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8475. 10-8475. 20 A change to subheadings 8475. 10 through 8475. 20 from any other heading; or A change to subheadings 8475. 10 through 8475. 20 from subheading 8475. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8475. 90 A change to subheading 8475. 90 from any other heading. 8476. 11-8476. 19 A change to subheadings 8476. 11 through 8476. 19 from any other heading; or A change to subheadings 8476. 11 through 8476. 19 from subheading 8476. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8476. 90 A change to subheading 8476. 90 from any other heading. 8477. 10 A change to subheading 8477. 10 from any other subheading, except from Canadian tariff item 8477. 90. A1, U. S. Tariff item 8477. 90. H1, Mexican tariff item 8477. 90. X1 or from more than one of the following: o Canadian tariff item 8477. 90. A2, U. S. Tariff item 8477. 90. H2, Mexican tariff item 8477. X2, o Canadian tariff item 8537. 10. A1, U. S. Tariff item 8537. 10. H1, Mexican tariff item 8537. 10. X1. 8477. 20 A change to subheading 8477. 20 from any other subheading, except from Canadian tariff item 8477. 90. A1, U. S. Tariff item 8477. 90. H1, Mexican tariff item 8477. 90. X1 or from more than one of the following: o Canadian tariff item 8477. 90. A2, U. S. Tariff item 8477. 90. H2, Mexican tariff item 8477. X2, o Canadian tariff item 8537. 10. A1, U. S. Tariff item 8537. 10. H1, Mexican tariff item 8537. 10. X1. 8477. 30 A change to subheading 8477. 30 from any other subheading, except from Canadian tariff item 8477. 90. A1, U. S. Tariff item 8477. 90. H1, Mexican tariff item 8477. 90. X1 or from more than one of the following: o Canadian tariff item 8477. 90. A3, U. S. Tariff item 8477. 90. H3, Mexican tariff item 8477. 90. X3, o Canadian tariff item 8537. 10. A1, U. S. Tariff item 8537. 10. H1, Mexican tariff item 8537. 10. X1. 8477. 40-8477. 80 A change to subheadings 8477. 40 through 8477. 80 from any other heading; or A change to subheadings 8477. 40 through 8477. 80 from subheading 8477. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8477. 90 A change to subheading 8477. 90 from any other heading. 8478. 10 A change to subheading 8478. 10 from any other heading; or A change to subheading 8478. 10 from subheading 8478. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8478. 90 A change to subheading 8478. 90 from any other heading. 8479. 10-8479. 81 A change to subheadings 8479. 10 through 8479. 81 from any other heading; or A change to subheadings 8479. 10 through 8479. 81 from subheading 8479. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8479. 82 8479. 82. X1 A change to Mexican tariff item 8479. 82. X1 from any other tariff item, except from Canadian tariff item 8479. 90. A1, 8479. 90. A2, 8479. 90. A3 or 8479. 90. A4, U. S. Tariff item 8479. 90. H1, 8479. 90. H2, 8479. 90. H3 or 8479. 90. H4, Mexican tariff item 8479. 90. X1, 8479. 90. X2, 8479. 90. X3 or 8479. 90. X4, or combinations thereof. 8479. 82 A change to subheading 8479. 82 from any other heading; or A change to subheading 8479. 82 from subheading 8479. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8479. 89 8479. 89. A1 A change to Canadian tariff item 8479. 89. A1, U. S. Tariff item 8479. 89. H1 from any other tariff item, except from Canadian tariff item 8479. 90. A1, 8479. 90. A2, 8479. 90. A3 or 8479. 90. A4, U. S. Tariff item 8479. 90. H1, 8479. 90. H2, 8479. 90. H3 or 8479. 90. H4, Mexican tariff item 8479. 90. X1, 8479. 90. X2, 8479. 90. X3 or 8479. 90. X4, or combinations thereof. 8479. 89 A change to subheading 8479. 89 from any other heading; or A change to subheading 8479. 89 from subheading 8479. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8479. 90 8479. 90. A1 A change to Canadian tariff item 8479. 90. A1, U. S. Tariff item 8479. 90. H1, Mexican tariff item 8479. 90. X1 from any other tariff item. 8479. 90. A2 A change to Canadian tariff item 8479. 90. A2, U. S. Tariff item 8479. 90. H2, Mexican tariff item 8479. 90. X2 from any other tariff item. 8479. 90. A3 A change to Canadian tariff item 8479. 90. A3, U. S. Tariff item 8479. 90. H3, Mexican tariff item 8479. 90. X3 from any other tariff item. 8479. 90. A4 A change to Canadian tariff item 8479. 90. A4, U. S. Tariff item 8479. 90. H4, Mexican tariff item 8479. 90. X4 from any other tariff item. 8479. 90 A change to subheading 8479. 90 from any other heading. 84. 80 A change to heading 84. 80 from any other heading. 8481. 10-8481. 80 A change to subheadings 8481. 10 through 8481. 80 from any other heading; or A change to subheadings 8481. 10 through 8481. 80 from subheading 8481. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8481. 90 A change to subheading 8481. 90 from any other heading. 8482. 10-8482. 80 A change to subheadings 8482. 10 through 8482. 80 from any other subheading outside that group, except from Canadian tariff item 8482. 99. A1, U. S. Tariff item 8482. 99. H1, Mexican tariff item 8482. 99. X1; or A change to subheadings 8482. 10 through 8482. 80 from Canadian tariff item 8482. 99. A1, U. S. Tariff item 8482. 99. H1, Mexican tariff item 8482. 99. X1, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8482. 91-8482. 99 A change to subheadings 8482. 91 through 8482. 99 from any other heading. 8483. 10 A change to subheading 8483. 10 from any other heading; or A change to subheadings 8483. 10 from subheading 8483. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8483. 20 A change to subheading 8483. 20 from any other subheading, except from subheadings 8482. 10 through 8482. 80, Canadian tariff item 8482. 99. A1, U. S. Tariff item 8482. 90. H1, Mexican tariff item 8482. 90. X1 or subheading 8483. 90; or A change to subheadings 8483. 20 from any of subheadings 8482. 10 through 8482. 80, Canadian tariff item 8482. 99. A1, U. S. Tariff item 8482. 90. H1, Mexican tariff item 8482. 90. X1 or subheading 8483. 90, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8483. 30 A change to subheading 8483. 30 from any other heading; or A change to subheadings 8483. 30 from subheading 8483. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8483. 40-8483. 60 A change to subheadings 8483. 40 through 8483. 60 from any other subheading, except from subheadings 8482. 10 through 8482. 80, Canadian tariff item 8482. 99. A1, U. S. Tariff item 8482. 99. H1, Mexican tariff item 8482. 99. X1 or subheading 8483. 90; or A change to subheadings 8483. 40 through 8483. 60 from any of subheadings 8482. 10 through 8482. 80, Canadian tariff item 8482. 99. A1, U. S. Tariff item 8482. 99. H1, Mexican tariff item 8482. 99. X1 or subheading 8483. 90, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8483. 90 A change to subheading 8483. 90 from any other heading. 84. 84-84. 85 A change to headings 84. 84 through 84. 85 from any other heading, including another heading within that group. Chapter 85 Electrical Machinery and Equipment and Parts Thereof; Sound Recorders and Reproducers, Television Image and Sound Recorders and Reproducers, and Parts and Accessories of Such Articles Note X: Canadian tariff item 8517. 90. A3, U. S. Tariff item 8517. 90. H3, Mexican tariff item 8517. 90. X3 covers the following parts of facsimile machines: (1) Control or command assemblies, incorporating at least two of the following: printed circuit assembly; modem; hard or flexible (floppy) disc drive; keyboard; user interface; (2) Optics module assemblies, incorporating at least two of the following: optics lamp; charge couples device and appropriate optics; lenses; mirror; (3) Laser imaging assemblies, incorporating at least two of the following: photoreceptor belt or cylinder; toner receptacle unit; toner developing unit; charge/discharge unit; cleaning unit; (4) Ink jet marking assemblies, incorporating at least two of the following: thermal print head; ink dispensing unit; nozzle and reservoir unit; ink heater; (5) Thermal transfer imaging assemblies, incorporating at least two of the following: thermal print head; cleaning unit; supply or take-up roller; (6) Ionographic imaging assemblies, incorporating at least two of the following: ion generation and emitting unit; air assist unit; printed circuit assembly; charge receptor belt or cylinder; toner receptacle unit; toner distribution unit; developer receptacle and distribution unit; developing unit; charge/discharge unit; cleaning unit; (7) Image fixing assemblies, incorporating at least two of the following: fuser; pressure roller; heating element; release oil dispenser; cleaning unit; electrical control; (8) Paper handling assemblies, incorporating at least two of the following: paper transport belt; roller; print bar; carriage; gripper roller; paper storage unit; exit tray; (9) Combinations of the above specified assemblies. Note Y: For the purposes of this Chapter, references to "high definition" as it applies to television receivers and cathode-ray tubes refers to goods having: (1) an aspect ratio of the screen equal to or greater than 16:9; and (2) a viewing screen capable of displaying more than 700 scanning lines. For the purposes of this Chapter, the video display diagonal is determined by measuring the maximum straight line dimension across the visible portion of the face plate used for displaying video. Note Z: Canadian tariff item 8529. 90. A3, U. S. Tariff item 8529. 90. H3, Mexican tariff item 8529. 90. X3 covers the following parts of television receivers: (1) Video intermediate (IF) amplifying and detecting systems; (2) Video processing and amplification systems; (3) Synchronizing and deflection circuitry; (4) Tuners and tuner control systems; (5) Audio detection and amplification systems. Note XX: For the purposes of Canadian tariff item 8540. 91. A1, U. S. Tariff item 8540. 91. H1, Mexican tariff item 8540. 91. X1, the term "front panel assembly" refers to an assembly which consists of a glass panel and a shadow mask or aperture grille, attached for ultimate use, which is suitable for incorporation into a colour cathode ray television picture tube (including video monitor cathode-ray tube), and which has undergone the necessary chemical and physical processes for imprinting phosphors on the glass panel with sufficient precision to render a video image when excited by a stream of electrons. 85. 01 A change to heading 85. 01 from any other heading, except from Canadian tariff item 8503. 00. A1, U. S. Tariff item 8503. 00. H1, Mexican tariff item 8503. 00. X1; or A change to heading 85. 01 from Canadian tariff item 8503. 00. A1, U. S. Tariff item 8503. 00. H1, Mexican tariff item 8503. 00. X1, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85. 02 A change to heading 85. 02 from any other heading, except from heading 84. 06, 84. 11, 85. 01 or 85. 03; or A change to heading 85. 02 from any of headings 84. 06, 84. 11, 85. 01 or 85. 03, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85. 03 A change to heading 85. 03 from any other heading. 8504. 10-8504. 34 A change to subheadings 8504. 10 through 8504. 34 from any other heading; or A change to subheadings 8504. 10 through 8504. 34 from subheading 8504. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8504. 40. A1 A change to Canadian tariff item 8504. 40. A1, U. S. Tariff item 8504. 40. H1, Mexican tariff item 8504. 40. X1 from any other subheading. 8504. 40. A2 A change to Canadian tariff item 8504. 40. A2, U. S. Tariff item 8504. 40. H2, Mexican tariff item 8504. 40. X2 from any other subheading, except from Canadian tariff item 8504. 90. A1, U. S. Tariff item 8504. 40. H1, Mexican tariff item 8504. 40. X1. 8504. 40 A change to subheading 8504. 40 from any other heading; or A change to subheadings 8504. 40 from subheading 8504. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8504. 50 A change to subheading 8504. 50 from any other heading; or A change to subheading 8504. 50 from subheading 8504. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8504. 90 8504. 90. A2 A change to Canadian tariff item 8504. 90. A2, U. S. Tariff item 8504. 90. H2, Mexican tariff item 8504. 90. X2 from any other tariff item. 8504. 90 A change to subheading 8504. 90 from any other heading. 8505. 11-8505. 30 A change to subheadings 8505. 11 through 8505. 30 from any other heading;or A change to subheadings 8505. 11 through 8505. 30 from subheading 8505. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8505. 90 A change to subheading 8505. 90 from any other heading. 8506. 11-8506. 20 A change to subheadings 8506. 11 through 8506. 20 from any other heading; or A change to subheadings 8506. 11 through 8506. 20 from subheading 8506. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8506. 90 A change to subheading 8506. 90 from any other heading. 8507. 10-8507. 80 A change to subheadings 8507. 10 through 8507. 80 from any other heading; or A change to subheadings 8507. 10 through 8507. 80 from subheading 8507. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8507. 90 A change to subheading 8507. 90 from any other heading. 8508. 10-8508. 80 A change to subheadings 8508. 10 through 8508. 80 from any other subheading outside that group, except from heading 85. 01 or Canadian tariff item 8508. 90. A1, U. S. Tariff item 8508. 90. H1, Mexican tariff item 8508. 90. X1; or A change to subheadings 8508. 10 through 8508. 80 from any of heading 85. 01 or Canadian tariff item 8508. 90. A1, U. S. Tariff item 8508. 90. H1, Mexican tariff item 8508. 90. X1, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8508. 90 A change to subheading 8508. 90 from any other heading. 8509. 10-8509. 40 A change to subheadings 8509. 10 through 8509. 40 from any other subheading outside that group, except from heading 85. 01 or Canadian tariff item 8509. 90. A1, U. S. Tariff item 8509. 90. H1, Mexican tariff item 8509. 90. X1; or A change to subheadings 8509. 10 through 8509. 40 from any of heading 85. 01 or Canadian tariff item 8509. 90. A1, U. S. Tariff item 8509. 90. H1, Mexican tariff item 8509. 90. X1, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8509. 80 A change to subheading 8509. 80 from any other heading; or A change to subheading 8509. 80 from subheading 8509. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8509. 90 A change to subheading 8509. 90 from any other heading. 8510. 10-8510. 20 A change to subheadings 8510. 10 through 8510. 20 from any other heading; or A change to subheadings 8510. 10 through 8510. 20 from subheading 8510. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8510. 90 A change to subheading 8510. 90 from any other heading. 8511. 10-8511. 80 A change to subheadings 8511. 10 through 8511. 80 from any other heading; or A change to subheadings 8511. 10 through 8511. 80 from subheading 8511. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8511. 90 A change to subheading 8511. 90 from any other heading. 8512. 10-8512. 40 A change to subheadings 8512. 10 through 8512. 40 from any other heading; or A change to subheadings 8512. 10 through 8512. 40 from subheading 8512. 90, whether or not there is also a change from any other heading, provided there is also a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8512. 90 A change to subheading 8512. 90 from any other heading. 8513. 10 A change to subheading 8513. 10 from any other heading; or A change to subheading 8513. 10 from subheading 8513. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8513. 90 A change to subheading 8513. 90 from any other heading. 8514. 10-8514. 40 A change to subheadings 8514. 10 through 8514. 40 from any other heading; or A change to subheadings 8514. 10 through 8514. 40 from subheading 8514. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8514. 90 A change to subheading 8514. 90 from any other heading. 8515. 11-8515. 80 A change to subheadings 8515. 11 through 8515. 80 from any other heading; or A change to subheadings 8515. 11 through 8515. 80 from subheading 8515. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8515. 90 A change to subheading 8515. 90 from any other heading. 8516. 10-8516. 29 A change to subheadings 8516. 10 through 8516. 29 from subheading 8516. 80 or any other heading; or A change to subheadings 8516. 10 through 8516. 29 from subheading 8516. 90, whether or not there is also a change from any of subheading 8516. 80 or any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516. 31 A change to subheading 8516. 31 from any other subheading, except from subheading 8516. 80 or heading 85. 01. 8516. 32 A change to subheading 8516. 32 from subheading 8516. 80 or from any other heading; or A change to subheading 8516. 32 from subheading 8516. 90, whether or not there is also a change from any of subheading 8516. 80 or any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516. 33 A change to subheading 8516. 33 from any other subheading, except from subheading 8516. 80, heading 85. 01 or Canadian tariff item 8516. 90. A1, U. S. Tariff item 8516. 90. H1, Mexican tariff item 8516. 90. X1. 8516. 40 A change to subheading 8516. 40 from any other subheading, except from heading 84. 02, subheading 8481. 40 or Canadian tariff item 8516. 90. A2, U. S. Tariff item 8516. 90. H2, Mexican tariff item 8516. 90. X2. 8516. 50 A change to subheading 8516. 50 from any other subheading, except from Canadian tariff item 8516. 90. A3 or 8516. 90. A4, U. S. Tariff item 8516. 90. H3 or 8516. 90. H4, Mexican tariff item 8516. 90. X3 or 8516. 90. X4. 8516. 60 8516. 60. A1 A change to Canadian tariff item 8516. 60. A1, U. S. Tariff item 8516. 60. H1, Mexican tariff item 8516. 60. X1 from any other tariff item, except from Canadian tariff item 8516. 90. A5, 8516. 90. A6, 8516. 90. A7 or 8537. 10. A1, U. S. tariff item 8516. 90. H5, 8516. 90. H6, 8516. 90. H7 or 8537. 10. H1, Mexican tariff item 8516. 90. X5, 8516. 90. X6, 8516. 90. X7 or 8537. 10. X1. 8516. 60 A change to subheading 8516. 60 from any other subheading. 8516. 71 A change to subheading 8516. 71 from subheading 8516. 80 or from any other heading; or A change to subheading 8516. 71 from subheading 8516. 90, whether or not there is also a change from any of subheading 8516. 80 or any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516. 72 A change to subheading 8516. 72 from any other subheading, except from Canadian tariff item 8516. 90. A8, U. S. Tariff item 8516. 90. H8, Mexican tariff item 8516. 90. X8 or subheading 9032. 10; or A change to subheading 8516. 72 from any of Canadian tariff item 8516. 90. A8, U. S. Tariff item 8516. 90. H8, Mexican tariff item 8516. 90. X8 or subheading 9032. 10, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516. 79 A change to subheading 8516. 79 from subheading 8516. 80 or from any other heading; or A change to subheading 8516. 79 from subheading 8516. 90, whether or not there is also a change from any of subheading 8516. 80 or any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516. 80 A change to subheading 8516. 80 from any other heading; or A change to subheading 8516. 80 from subheading 8516. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8516. 90 8516. 90. A3 A change to Canadian tariff item 8516. 90. A3, U. S. Tariff item 8516. 90. H3, Mexican tariff item 8516. 90. X3 from any other tariff item. 8516. 90. A4 A change to Canadian tariff item 8516. 90. A4, U. S. Tariff item 8516. 90. H4, Mexican tariff item 8516. 90. X4 from any other tariff item. 8516. 90. A5 A change to Canadian tariff item 8516. 90. A5, U. S. Tariff item 8516. 90. H5, Mexican tariff item 8516. 90. X5 from any other tariff item. 8516. 90. A6 A change to Canadian tariff item 8516. 90. A6, U. S. Tariff item 8516. 90. H6, Mexican tariff item 8516. 90. X6 from any other tariff item. 8516. 90. A7 A change to Canadian tariff item 8516. 90. A7, U. S. Tariff item 8516. 90. H7, Mexican tariff item 8516. 90. X7 from any other tariff item. 8516. 90 A change to subheading 8516. 90 from any other heading. 8517. 10 A change to subheading 8517. 10 from any other subheading, except from Canadian tariff item 8517. 90. A1, U. S. Tariff item 8517. 90. 04, Mexican tariff item 8517. 90. X1. 8517. 20 A change to subheading 8517. 20 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517. 90. A1 or 8473. 30. A1, U. S. tariff item 8517. 90. 04 or 8473. 30. H1, Mexican tariff item 8517. 90. X1 or 8473. 30. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517. 30 A change to subheading 8517. 30 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517. 90. A1 or 8473. 30. A1, U. S. tariff item 8517. 90. 04 or 8473. 30. H1, Mexican tariff item 8517. 90. X1 or 8473. 30. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517. 40 8517. 40. A2 A change to Canadian tariff item 8517. 40. A2, U. S. Tariff item 8517. 40. H2, Mexican tariff item 8517. 40. X2 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517. 90. A1 or 8473. 30. A1, U. S. Tariff item 8517. 90. 04 or 8473. 30. H1, Mexican tariff item 8517. 90. X1 or 8473. 30. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517. 40 A change to subheading 8517. 40 from any other subheading. 8517. 81 8517. 81. X1 A change to Mexican tariff item 8517. 81. X1 from any other tariff item, except from Canadian tariff item 8517. 90. A3, U. S. Tariff item 8517. 90. H3, Mexican tariff item 8517. 90. X3. 8517. 81 A change to subheading 8517. 81 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517. 90. A1 or 8473. 30. A1, U. S. tariff item 8517. 90. 04 or 8473. 30. H1, Mexican tariff item 8517. 90. X1 or 8473. 30. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517. 82 8517. 82. A2 A change to Canadian tariff item 8517. 82. A2, U. S. Tariff item 8517. 82. H2 from any other tariff item, except from Canadian tariff item 8517. 90. A3, U. S. tariff item 8517. 90. H3, Mexican tariff item 8517. 90. X3. 8517. 82 A change to subheading 8517. 82 from any other subheading. 8517. 90 8517. 90. A1 A change to Canadian tariff item 8517. 90. A1, U. S. Tariff item 8517. 90. H1, Mexican tariff item 8517. 90. X1 from any other tariff item, except from Canadian tariff item 8517. 90. A5, U. S. Tariff item 8517. 90. H5, Mexican tariff item 8517. 90. X5. 8517. 90. A2 A change to Canadian tariff item 8517. 90. A2, U. S. Tariff item 8517. 90. H2, Mexican tariff item 8517. 90. X2 from any other tariff item, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8517. 90. A1 or 8473. 30. A1, U. S. Tariff item 8517. 90. 04 or 8473. 30. H1, Mexican tariff item 8517. 90. X1 or 8473. 30. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8517. 90. A3 A change to Canadian tariff item 8517. 90. A3, U. S. Tariff item 8517. 90. H3, Mexican tariff item 8517. 90. X3 from any other tariff item. 8517. 90. A4 A change to Canadian tariff item 8517. 90. A4, U. S. Tariff item 8517. 90. H4, Mexican tariff item 8517. 90. X4 from any other tariff item. 8517. 90. A5 A change to Canadian tariff item 8517. 90. A5, U. S. Tariff item 8517. 90. H5, Mexican tariff item 8517. 90. X5 from any other tariff item. 8517. 90. A6 A change to Canadian tariff item 8517. 90. A6, U. S. Tariff item 8517. 90. H6, Mexican tariff item 8517. 90. X6 from any other heading. 8517. 90. A7 A change to Canadian tariff item 8517. 90. A7, U. S. Tariff item 8517. 90. H7, Mexican tariff item 8517. 90. X7 from Canadian tariff item 8517. 90. A6, U. S. tariff item 8517. 90. H6, Mexican tariff item 8517. 90. X6 or from any other heading. 8517. 90 A change to subheading 8517. 90 from any other heading. 8518. 10-8518. 21 A change to subheadings 8518. 10 through 8518. 21 from any other heading; or A change to subheadings 8518. 10 through 8518. 21 from subheading 8518. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518. 22 A change to subheading 8518. 22 from any other heading; or A change to subheading 8518. 22 from any of subheading 8518. 29 or 8518. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518. 29 A change to subheading 8518. 29 from any other heading; or A change to subheading 8518. 29 from subheading 8518. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518. 30 8518. 30. A1 A change to Canadian tariff item 8518. 30. A1, U. S. Tariff item 8518. 30. 10, Mexican tariff item 8518. 30. X1 from any other tariff item. 8518. 30 A change to subheading 8518. 30 from any other heading; or A change to subheading 8518. 30 from subheading 8518. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518. 40-8518. 50 A change to subheadings 8518. 40 through 8518. 50 from any other heading; or A change to subheadings 8518. 40 through 8518. 50 from subheading 8518. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8518. 90 A change to subheading 8518. 90 from any other heading. 8519. 10-8519. 99 A change to subheadings 8519. 10 through 8519. 99 from any other subheading, including another subheading within that group, except from Canadian tariff item 8522. 90. A1, U. S. Tariff item 8522. 90. H1, 8522. 90. X1. 8520. 10-8520. 90 A change to subheadings 8520. 10 through 8520. 90 from any other subheading, including another subheading within that group, except from Canadian tariff item 8522. 90. A1, U. S. Tariff item 8522. 90. H1, 8522. 90. X1. 8521. 10-8521. 90 A change to subheadings 8521. 10 through 8521. 90 from any other subheading, including another subheading within that group, except from Canadian tariff item 8522. 90. A1, U. S. Tariff item 8522. 90. H1, 8522. 90. X1. 85. 22 A change to heading 85. 22 from any other heading. 85. 23-85. 24 A change to headings 85. 23 through 85. 24 from any other heading, including another heading within that group. 8525. 10-8525. 20 A change to subheadings 8525. 10 through 8525. 20 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8529. 90. A1, U. S. Tariff item 8529. 90. H1, Mexican tariff item 8529. 90. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8525. 30 8525. 30. A1 A change to Canadian tariff item 8525. 30. A1, U. S. Tariff item 8525. 30. H1, Mexican tariff item 8525. 30. X1 from any other tariff item, except from Canadian tariff item 8525. 30. A2, U. S. Tariff item 8525. 30. H2, Mexican tariff item 8525. 30. X2. 8525. 30 A change to subheading 8525. 30 from any other subheading, except from Canadian tariff item 8529. 90. A1, U. S. Tariff item 8529. 90. H1, Mexican tariff item 8529. 90. X1. 8526. 10 A change to subheading 8526. 10 from any other subheading, except from subheading 8525. 20, Canadian tariff item 8529. 90. A2, U. S. tariff item 8529. 90. H2, Mexican tariff item 8529. 90. X2 or from more than two of the following: o subheading 8529. 10, o radar display unit, o Canadian tariff item 8529. 90. A1, U. S. Tariff item 8529. 90. H1, Mexican tariff item 8529. 90. X1. 8526. 91-8526. 92 A change to subheadings 8526. 91 through 8526. 92 from any other heading, except from heading 85. 29; or A change to subheadings 8526. 91 through 8526. 92 from heading 85. 29, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8527. 11-8527. 39 A change to subheadings 8527. 11 through 8527. 39 from any other subheading, including another subheading within that group, except from Canadian tariff item 8529. 90. A1, U. S. Tariff item 8529. 90. H1, Mexican tariff item 8529. 90. X1. 8527. 90 A change to subheading 8527. 90 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8529. 90. A1, U. S. Tariff item 8529. 90. H1, Mexican tariff item 8529. 90. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8528. 10 8528. 10. A1 A change to Canadian tariff item 8528. 10. A1, U. S. Tariff item 8528. 10. H1, Mexican tariff item 8528. 10. X1 from any other heading, except from Canadian tariff item 8529. 90. A1, U. S. Tariff item 8529. 90. H1, Mexican tariff item 8529. 90. X1. 8528. 10. A2 A change to Canadian tariff item 8528. 10. A2, U. S. Tariff item 8528. 10. H2, Mexican tariff item 8528. 10. X2 from any other heading, except from Canadian tariff 8540. 11. A1, U. S. Tariff item 8540. 11. H1, Mexican tariff item 8540. 11. X1. Note: Commencing on January 1, 1999, the above rule of origin for tariff item 8528. 10. A2 shall be replaced by the following: 8528. 10. A2 A change to Canadian tariff item 8528. 10. A2, U. S. Tariff item 8528. 10. H2, Mexican tariff item 8528. 10. X2 from any other heading, except from Canadian tariff 8540. 11. A1, U. S. Tariff item 8540. 11. H1, Mexican tariff item 8540. 11. X1 or a combination of all the specified parts of television receivers, as listed in Note Z to Chapter 85, plus a power supply. 8528. 10. A3 A change to Canadian tariff item 8528. 10. A3, U. S. Tariff item 8528. 10. H3, Mexican tariff item 8528. 10. X3 from any other heading, except from Canadian tariff item 8540. 12. A1, U. S. Tariff item 8540. 12. H1, 8540. 12. X1. 8528. 10. A4 A change to Canadian tariff item 8528. 10. A4, U. S. Tariff item 8528. 10. H4, Mexican tariff item 8528. 10. X4 from any other heading, except from Canadian tariff 8540. 11. A2, Mexican tariff 8540. 11. H2, U. S. 8540. 11. X2. In addition, no more than half by unit of the semiconductors of Canadian tariff item 8542. 11. A1, U. S. Tariff item 8542. 11. H1, Mexican tariff item 8542. 11. X1 may be non-originating; or A change to Canadian tariff item 8528. 10. A4, U. S. Tariff item 8528. 10. H4, Mexican tariff item 8528. 10. X4 from any other heading, except from Canadian tariff 8540. 11. A2, Mexican tariff 8540. 11. H2, U. S. 8540. 11. X2. In addition, the regional value content must be not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8528. 10. A5 A change to Canadian tariff item 8528. 10. A5, U. S. Tariff item 8528. 10. H5, Mexican tariff item 8528. 10. X5 from any other heading, except from Canadian tariff item 8540. 12. A2, Mexican tariff item 8540. 12. H2, U. S. Tariff item 8540. 12. X2. In addition, no more than half by unit of the semiconductors of Canadian tariff item 8542. 11. A1, U. S. tariff item 8542. 11. H1, Mexican tariff item 8542. 11. X1 may be non-originating; or A change to Canadian tariff item 8528. 10. A5, U. S. Tariff item 8528. 10. H5, Mexican tariff item 8528. 10. X5 from any other heading, except from Canadian tariff item 8540. 12. A2, Mexican tariff item 8540. 12. H2, U. S. Tariff item 8540. 12. X2. In addition, the regional value content must be not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8528. 10. A6 A change to Canadian tariff item 8528. 10. A6, U. S. Tariff item 8528. 10. H6, Mexican tariff item 8528. 10. X6 from any other heading, except from Canadian tariff item 8529. 90. A5, U. S. Tariff item 8529. 90. H5, Mexican tariff item 8529. 90. X5. 8528. 10 A change to subheading 8528. 10 from any other heading, provided there is a regional value- content percentage is not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8528. 20 A change to subheading 8528. 20 from any other heading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8529. 90. A1, U. S. Tariff item 8529. 90. 10, Mexican tariff item 8529. 90. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8529. 10 A change to subheading 8529. 10 from any other heading. 8529. 90 8529. 90. A1 A change to Canadian tariff item 8529. 90. A1, U. S. Tariff item 8529. 90. H1, Mexican tariff item 8529. 90. X1 from any other tariff item. 8529. 90. A2 A change to Canadian tariff item 8529. 90. A2, U. S. Tariff item 8529. 90. H2, Mexican tariff item 8529. 90. X2 from any other tariff item. 8529. 90. A3 A change to Canadian tariff item 8529. 90. A3, U. S. Tariff item 8529. 90. H3, Mexican tariff item 8529. 90. X3 from any other tariff item. 8529. 90. A4 A change to Canadian tariff item 8529. 90. A4, U. S. Tariff item 8529. 90. H4, Mexican tariff item 8529. 90. X4 from any other tariff item. 8529. 90. A5 A change to Canadian tariff item 8529. 90. A5, U. S. Tariff item 8529. 90. H5, Mexican tariff item 8529. 90. X5 from any other tariff item. 8529. 90. A6 A change to Canadian tariff item 8529. 90. A6, U. S. Tariff item 8529. 90. H6, Mexican tariff item 8529. 90. X6 from any other tariff item. 8529. 90. A7 A change to Canadian tariff item 8529. 90. A7, U. S. Tariff item 8529. 90. H7, Mexican tariff item 8529. 90. X7 from any other heading; or A change to Canadian tariff item 8529. 90. A7, U. S. Tariff item 8529. 90. H7, Mexican tariff item 8529. 90. X7 from within Canadian tariff item 8529. 90. A7, U. S. Tariff item 8529. 90. H7, Mexican tariff item 8529. 90. X7, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8529. 90 A change to subheading 8529. 90 from any other heading. 8530. 10-8530. 80 A change to subheadings 8530. 10 through 8530. 80 from any other heading; or A change to subheadings 8530. 10 through 8530. 80 from subheading 8530. 90, whether or not there is also a change from any other heading, provided there is a regional value content not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8530. 90 A change to subheading 8530. 90 from any other heading. 8531. 10 A change to subheading 8531. 10 from any other subheading, except from Canadian tariff item 8531. 90. A1, U. S. Tariff item 8531. 90. H1, Mexican tariff item 8531. 90. X3. 8531. 20 A change to subheading 8531. 20 from any other heading; or A change to subheading 8531. 20 from subheading 8531. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8531. 80 8531. 80. H1 A change to U. S. Tariff item 8531. 80. H1 from any other subheading, provided that, with respect to printed circuit assemblies (PCAs) of Canadian tariff item 8531. 90. A1, U. S. Tariff item 8531. 90. H1, Mexican tariff item 8531. 90. X1: a) except as provided in subparagraph (b), for each multiple of nine PCAs, or any portion thereof, that is contained in the good, only one PCA may be a non-originating PCA; and b) if the good contains less than three PCAs, all of the PCAs must be originating PCAs. 8531. 80 A change to subheading 8531. 80 from any other heading; or A change to subheading 8531. 80 from subheading 8531. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8531. 90 A change to subheading 8531. 90 from any other heading. 8532. 10 A change to subheading 8532. 10 from any other heading; or A change to subheading 8532. 10 from subheading 8532. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8532. 21-8532. 30 A change to subheadings 8532. 21 through 8532. 30 from any other subheading, including another subheading within that group. 8532. 90 A change to subheading 8532. 90 from any other heading. 8533. 10-8533. 39 A change to subheadings 8533. 10 through 8533. 39 from any other subheading, including another subheading within that group. 8533. 40 A change to subheading 8533. 40 from any other subheading, except from Canadian tariff item 8533. 90. A1, U. S. Tariff item 8533. 90. H1, Mexican tariff item 8533. 90. X1. 8533. 90 A change to subheading 8533. 90 from any other heading. 85. 34 A change to heading 85. 34 from any other heading. 85. 35 8535. 90. A1 A change to Canadian tariff item 8535. 90. A1, U. S. Tariff item 8535. 90. H1, Mexican tariff item 8535. 90. X1 from any other tariff item, except from Canadian tariff item 8538. 90. A1, U. S. Tariff item 8538. 90. H1, Mexican tariff item 8538. 90. X1; or A change to Canadian tariff item 8535. 90. A1, U. S. Tariff item 8535. 90. H1, Mexican tariff item 8535. 90. X1 from Canadian tariff item 8535. 90. A1, U. S. Tariff item 8535. 90. H1, Mexican tariff item 8538. 90. X1, whether or not there is also a change from any other tariff item, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85. 35 A change to heading 85. 35 from any other heading, except from Canadian tariff item 8538. 90. A2 or 8538. 90. A3, U. S. Tariff item 8538. 90. H2 or 8538. 90. H3, Mexican tariff item 8538. 90. X2 or 8538. 90. X3; or A change to heading 85. 35 from any of Canadian tariff items 8538. 90. A2 or 8538. 90. A3, U. S. Tariff items 8538. 90. H2 or 8538. 90. H3, Mexican tariff items 8538. 90. X2 or 8538. 90. X3, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85. 36 8536. 30. A1 A change to Canadian tariff item 8536. 30. A1, U. S. Tariff item 8536. 30. H1, Mexican tariff item 8536. 30. X1 from any other tariff item, except from Canadian tariff item 8538. 90. A1, U. S. Tariff item 8538. 90. H1, Mexican tariff item 8538. 90. X1; or A change to Canadian tariff item 8536. 30. A1, U. S. Tariff item 8536. 30. H1, Mexican tariff item 8536. 30. X1 from Canadian tariff item 8538. 90. A1, U. S. Tariff item 8538. 90. H1, Mexican tariff item 8538. 90. X1, whether or not there is also a change from any other tariff item, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8536. 50. A1 A change to Canadian tariff item 8536. 50. A1, U. S. Tariff item 8536. 50. H1, Mexican tariff item 8536. 50. X1 from any other tariff item, except from Canadian tariff item 8538. 90. A1, U. S. Tariff item 8538. 90. H1, Mexican tariff item 8538. 90. X1; or A change to Canadian tariff item 8536. 50. A1, U. S. Tariff item 8536. 50. H1, Mexican tariff item 8536. 50. X1 from Canadian tariff item 8538. 90. A1, U. S. Tariff item 8538. 90. H1, Mexican tariff item 8538. 90. X1, whether or not there is also a change from any other tariff item, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8536. 90. X1 A change to Mexican tariff item 8536. 90. X1 from any other tariff item, except from Canadian tariff item 8538. 90. A1, U. S. Tariff item 8538. 90. H1, Mexican tariff item 8538. 90. X1; or A change to Mexican tariff item 8536. 90. X1 from Canadian tariff item 8538. 90. A1, U. S. tariff item 8538. 90. H1, Mexican tariff item 8538. 90. X1, whether or not there is also a change from any other tariff item, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85. 36 A change to heading 85. 36 from any other heading, except from Canadian tariff item 8538. 90. A2 or 8538. 90. A3, U. S. tariff item 8538. 90. H2 or 8538. 90. H3, Mexican tariff item 8538. 90. X2 or 8538. 90. X3; or A change to heading 85. 36 from any of Canadian tariff items 8538. 90. A2 or 8538. 90. A3, U. S. Tariff items 8538. 90. H2 or 8538. 90. H3, Mexican tariff items 8538. 90. X2 or 8538. 90. X3, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85. 37 A change to heading 85. 37 from any other heading, except from Canadian tariff item 8538. 90. A2 or 8538. 90. A3, U. S. tariff item 8538. 90. H2 or 8538. 90. H3, Mexican tariff item 8538. 90. X2 or 8538. 90. X3; or A change to heading 85. 37 from any of Canadian tariff items 8538. 90. A2 or 8538. 90. A3, U. S. Tariff items 8538. 90. H2 or 8538. 90. H3, Mexican tariff items 8538. 90. X2 or 8538. 90. X3, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85. 38 A change to heading 85. 38 from any other heading. 8539. 10-8539. 40 A change to subheadings 8539. 10 through 8539. 40 from any other heading; or A change to subheadings 8539. 10 through 8539. 40 from subheading 8539. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8539. 90 A change to subheading 8539. 90 from any other heading. 8540. 11 8540. 11. A1 A change to Canadian tariff item 8540. 11. A1, U. S. Tariff item 8540. 11. H1, Mexican tariff item 8540. 11. X1 from any other subheading, except from more than one of the following: o Canadian tariff item 8540. 91. A1, U. S. Tariff item 8540. 91. 11, Mexican tariff item 8540. 91. X1 o Canadian tariff item 7011. 20. A1, U. S. Tariff item 7011. 20. 11, Mexican tariff item 7011. 20. X1. 8540. 11. A2 A change to Canadian tariff item 8540. 11. A2, U. S. Tariff item 8540. 11. H2, Mexican tariff item 8540. 11. X2 from any other subheading, except from Canadian tariff item 8540. 91. A1, U. S. Tariff item 8540. 91. H1, Mexican tariff item 8540. 91. X1. 8540. 11 A change to subheading 8540. 11 from any other heading; or A change to subheading 8540. 11 from subheading 8540. 91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8540. 12 8540. 12. A1 A change to Canadian tariff item 8540. 12. A1, U. S. Tariff item 8540. 12. H1, Mexican tariff item 8540. 12. X1 from any other subheading, except from more than one of the following: o Canadian tariff item 8540. 91. A1, U. S. Tariff item 8540. 91. 11, Mexican tariff item 8540. 91. X1, o Canadian tariff item 7011. 21. A1, U. S. Tariff item 7011. 21. 11, Mexican tariff item 7011. 21. X1. 8540. 12. A2 A change to Canadian tariff item 8540. 12. A2, U. S. Tariff item 8540. 12. H2, Mexican tariff item 8540. 12. X2 from any other subheading, except from Canadian tariff item 8540. 91. A1, U. S. Tariff item 8540. 91. H1, Mexican tariff item 8540. 91. X1. 8540. 12 A change to subheading 8540. 12 from any other heading; or A change to subheading 8540. 12 from subheading 8540. 91, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8540. 20 A change to subheading 8540. 20 from any other heading; or A change to subheading 8540. 20 from any of subheadings 8540. 91 through 8540. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8540. 30 A change to subheading 8540. 30 from any other subheading, except from Canadian tariff item 8540. 91. A1, U. S. Tariff item 8540. 91. H1, Mexican tariff item 8540. 91. X1. 8540. 41-8540. 49 A change to subheadings 8540. 41 through 8540. 49 from any other subheading outside of that group, except from Canadian tariff item 8540. 99. A1, U. S. Tariff item 8540. 99. H1, Mexican tariff item 8540. 99. X1. 8540. 81-8540. 89 A change to subheadings 8540. 81 through 8540. 89 from any other subheading, including another subheading within that group. 8540. 91 8540. 91. A1 A change to Canadian tariff item 8540. 91. A1, U. S. Tariff item 8540. 91. 11, Mexican tariff item 8540. 91. X1 from any other tariff item. 8540. 91 A change to subheading 8540. 91 from any other heading. 8540. 99 8540. 99. A1 A change to Canadian tariff item 8540. 99. A1, U. S. Tariff item 8540. 99. H1, Mexican tariff item 8540. 99. X1 from any other tariff item. 8540. 99 A change to subheading 8540. 99 from any other heading. 85. 41-85. 42 Note: Notwithstanding Article 410 (Transshipment), goods qualifying under the rule below as originating goods may undergo further production outside the territory of the Parties and, when imported into the territory of a Party, will originate in the territory of a Party, provided that such further production did not result in a change to a subheading outside of headings 85. 41 and 85. 42. A change to subheadings 8541. 10 through 8542. 90 from any other subheading, including another subheading within that group. 8543. 10-8543. 30 A change to subheadings 8543. 10 through 8543. 30 from any other heading; or A change to subheadings 8543. 10 through 8543. 30 from subheading 8543. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8543. 80 8543. 80. A1 A change to Canadian tariff item 8543. 80. A1, U. S. Tariff item 8543. 80. H1, Mexican tariff item 8543. 80. X1 from any other subheading, except from subheading 8504. 40 or Canadian tariff item 8543. 90. A1, U. S. Tariff item 8543. 90. H1, Mexican tariff item 8543. 90. X1; or A change to Canadian tariff item 8543. 80. A1, U. S. Tariff item 8543. 80. H1, Mexican tariff item 8543. 80. X1 from any of subheading 8504. 40 or Canadian tariff item 8543. 90. A1, U. S. Tariff item 8543. 90. H1, Mexican tariff item 8543. 90. X1, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8543. 80 A change to subheading 8543. 80 from any other heading; or A change to subheading 8543. 80 from subheading 8543. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8543. 90 A change to subheading 8543. 90 from any other heading. 8544. 11-8544. 60 A change to subheadings 8544. 11 through 8544. 60 from any other subheading, except from heading 74. 08, 74. 13, 76. 05 or 76. 14; or A change to subheadings 8544. 11 through 8544. 60 from any of headings 74. 08, 74. 13, 76. 05 or 76. 14, whether or not there is also a change from any other subheading, provided there is also a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 8544. 70 A change to subheading 8544. 70 from any other subheading, except from heading 90. 01 or 70. 02; or A change to subheading 8544. 70 from any of headings 90. 01 or 70. 02, whether or not there is also a change from any other subheading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used; or b) 50% where the net cost method is used. 85. 45-85. 48 A change to headings 85. 45 through 85. 48 from any other heading, including another heading within that group. Annex 00 SECTION XVII Vehicles, Aircraft, Vessels and Associated Transport Equipment(Ch. 86-89)Chapter 86 Railway or Tramway Locomotives, Rolling- Stock and Parts Thereof; Railway or Tramway Track Fixtures and Fittings and Parts Thereof; Mechanical (Including Electro-Mechanical) Traffic Signalling Equipment of all Kinds86. 01-86. 06 A change to headings 86. 01 through 86. 06 from any other heading, including another heading within that group, except from heading 86. 07; or A change to headings 86. 01 through 86. 06 from heading 86. 07, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8607. 11-8607. 12 A change to subheadings 8607. 11 through 8607. 12 from any other heading. 8607. 19 8607. 19. 11 A change to Canadian tariff item 8607. 19. 11, U. S. Tariff item 8607. 19. 12, Mexican tariff item 8607. 19. 02 or 8607. 19. 06 from any other heading; or A change to Canadian tariff item 8607. 19. 11, U. S. Tariff item 8607. 19. 12, Mexican tariff item 8607. 19. 02 or 8607. 19. 06 from Canadian tariff item 8607. 19. 14, U. S. Tariff item 8607. 19. 16, Mexican tariff item 8607. 19. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8607. 19. 12 A change to Canadian tariff item 8607. 19. 12, U. S. Tariff item 8607. 19. 22, Mexican tariff item 8607. 19. 03 from any other heading; or A change to Canadian tariff item 8607. 19. 12, U. S. Tariff item 8607. 19. 22, Mexican tariff item 8607. 19. 03 from Canadian tariff item 8607. 19. 14, U. S. Tariff item 8607. 19. 26, Mexican tariff item 8607. 19. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8607. 19 A change to subheading 8607. 19 from any other heading. 8607. 21-8607. 30 A change to subheadings 8607. 21 through 8607. 30 from any other heading. 8607. 91-8607. 99 A change to subheadings 8607. 91 through 8607. 99 from any other heading. 86. 08-86. 09 A change to headings 86. 08 through 86. 09 from any other heading, including another heading within that group. Chapter 87 Vehicles Other Than Railway or Tramway Rolling-Stock, and Parts and Accessories Thereof87. 01 A change to heading 87. 01 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 87. 02 8702. 10. A1 A change to tariff item 8702. 10. A1 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8702. 10. A2 A change to tariff item 8702. 10. A2 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8702. 90. A1 A change to tariff item 8702. 90. A1 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8702. 90. A2 A change to tariff item 8702. 90. A2 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8703. 10 A change to subheading 8703. 10 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8703. 21-8703. 90 A change to subheadings 8703. 21 through 8703. 90 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704. 10 A change to subheading 8704. 10 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704. 21 A change to subheading 8704. 21 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704. 22-8407. 23 A change to subheadings 8704. 22 through 8704. 23 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704. 31 A change to subheading 8704. 31 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8704. 32-8407. 90 A change to subheadings 8704. 32 through 8704. 90 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 87. 05 A change to heading 87. 05 from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 87. 06 8706. 00. A1 A change to subheading 8706. 00. A1 from any other chapter, provided there is a regional value content of not less than 50% under the net cost method. 8706. 00. A2 A change to subheading 8706. 00. A2 from any other chapter, provided there is a regional value content of not less than 50% under the net cost method. 87. 07 A change to heading 87. 07 from any other chapter; or A change to heading 87. 07 from heading 87. 08, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than 50% under the net cost method. 8708. 10 A change to subheading 8708. 10 from any other heading; or A change to subheading 8707. 10 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 21 A change to subheading 8708. 21 from any other heading; or A change to subheading 8708. 21 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 29 A change to subheading 8708. 29 from any other heading; or A change to subheading 8708. 29 from within subheading 8708. 29 or from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 31 A change to subheading 8708. 31 from any other heading; or A change to subheading 8708. 31 from any of subheadings 8708. 39 or 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 39 A change to subheading 8708. 39 from any other heading; or A change to subheading 8708. 39 from any of subheadings 8708. 31 or 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 40 A change to subheading 8708. 40 from any other heading; or A change to subheading 8708. 40 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 50 8708. 50. A1 A change to Canadian tariff item 8708. 50. A1, U. S. Tariff item 8708. 50. 50, Mexican tariff item 8708. 50. X1 from any other heading, except from subheadings 8482. 10 through 8482. 80; or A change to Canadian tariff item 8708. 50. A1, U. S. Tariff item 8708. 50. 50, Mexican tariff item 8708. 50. X1 from any of subheadings 8482. 10 through 8482. 80 or 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 50 A change to subheading 8708. 50 from any other heading; or A change to subheading 8708. 50 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 60 8708. 60. A1 A change to Canadian tariff item 8708. 60. A1, U. S. Tariff item 8708. 60. H1, Mexican tariff item 8708. 60. X1 from any other heading, except from subheadings 8482. 10 through 8482. 80; or A change to Canadian tariff item 8708. 60. A1, U. S. Tariff item 8708. 60. H1, Mexican tariff item 8708. 60. X1 from any of subheadings 8482. 10 through 8482. 80 or 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 60 A change to subheading 8708. 60 from any other heading; or A change to subheading 8708. 60 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 70 A change to subheading 8708. 70 from any other heading; or A change to subheading 8708. 70 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 80 8708. 80. A1 A change to Canadian tariff item 8708. 80. A1, U. S. Tariff item 8708. 80. H1, Mexican tariff item 8708. 80. X1 from any other subheading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 80 A change to subheading 8708. 80 from any other heading; or A change to subheading 8708. 80 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% of the net cost method. 8708. 91 A change to subheading 8708. 91 from any other heading; or A change to subheading 8708. 91 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% of the net cost method. 8708. 92 A change to subheading 8708. 92 from any other heading; or A change to subheading 8708. 92 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 93 A change to subheading 8708. 93 from any other heading; or A change to subheading 8708. 93 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 94 A change to subheading 8708. 94 from any other heading; or A change to subheading 8708. 94 from subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 99 8708. 99. A1 A change to Canadian tariff item 8708. 99. A1, U. S. Tariff item 8708. 99. 40, Mexican tariff item 8708. 99. X1 from any other subheading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 99. A2 A change to Canadian tariff item 8708. 99. A2, U. S. Tariff item 8708. 99. H2, Mexican tariff item 8708. 99. X2 from any other heading, except from subheadings 8482. 10 through 8482. 80 or Canadian tariff item 8482. 99. A1, U. S. Tariff item 8482. 99. H1, Mexican tariff item 8482. 99. X1; or A change to Canadian tariff item 8708. 99. A2, U. S. Tariff item 8708. 99. H2, Mexican tariff item 8708. 99. X2 from any other tariff item, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8708. 99 A change to subheading 8708. 99 from any other heading; or A change to subheading 8708. 99 from within subheading 8708. 99, whether or not there is also a change from any other heading, provided there is a regional value content of not less than 50% under the net cost method. 8709. 11-8709. 19 A change to subheadings 8709. 11 through 8709. 29 from any other heading; or A change to subheadings 8709. 11 through 8709. 19 from subheading 8709. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8709. 90 A change to subheading 8709. 90 from any other heading. 87. 10 A change to heading 87. 10 from any other heading. 87. 11 A change to heading 87. 11 from any other heading, except from heading 87. 14; or A change to heading 87. 11 from heading 87. 14, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 87. 12 A change to heading 87. 12 from any other heading, except from heading 87. 14; or A change to heading 87. 12 from heading 87. 14, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 87. 13 A change to heading 87. 13 from any other heading, except from heading 87. 14; or A change to heading 87. 13 from heading 87. 14, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 87. 14 A change to heading 87. 14 from any other heading. 87. 15 A change to heading 87. 15 from any other heading. 8716. 10-8716. 80 A change to subheadings 8716. 10 through 8716. 80 from any other heading; or A change to subheadings 8716. 10 through 8716. 80 from subheading 8716. 90, whether or not there is also a change from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 8716. 90 A change to subheading 8716. 90 from any other heading. Chapter 88 Aircraft, Spacecraft, and Parts Thereof8801. 10-8803. 90 A change to subheadings 8801. 10 through 8803. 90 from any other subheading, including another subheading within that group. 88. 04-88. 05 A change to headings 88. 04 through 88. 05 from any other heading, including another heading within that group. Chapter 89 Ships, Boats and Floating Structures89. 01-89. 02 A change to headings 89. 01 through 89. 02 from any other chapter; or A change to headings 89. 01 through 89. 02 from any other heading within Chapter 89, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 89. 03 A change to heading 89. 03 from any other heading, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 89. 04-89. 05 A change to headings 89. 04 through 89. 05 from any other chapter; or A change to headings 89. 04 through 89. 05 from any other heading within Chapter 89, including another heading within that group, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 89. 06-89. 08 A change to headings 89. 06 through 89. 08 from any other heading, including another heading within that group. Annex 00 SECTION XVIII Optical, Photographic, Cinematographic, Measuring, Checking, Precision, Medical or Surgical Instruments and Apparatus; Clocksand Watches; Musical Instruments; Parts and Accessories Thereof(Ch. 90-92)Chapter 90 Optical, Photographic, Cinematographic, Measuring, Checking, Precision, Medical or Surgical Instruments and Apparatus; Parts and Accessories Thereof Note 1: For purposes of this Chapter, the term, "printed circuit assembly", means a printed circuit of heading 85. 34 with one or more active elements assembled thereon, with or without passive elements. For purposes of this Note, "active elements" means diodes, transistors and other semiconductor devices, whether or not photosensitive, of heading 85. 41, and integrated circuits and microassemblies of heading 85. 42. Note 2: The origin of the goods of Chapter 90 shall be determined without regard to the origin of any automatic data processing machines or units thereof of heading 84. 71, or parts and accessories thereof of heading 84. 73, which may be included therewith. Note X: Canadian tariff item 9009. 90. A1, U. S. tariff item 9009. 90. H1, Mexican tariff item 9009. 90. X1 covers the following parts of photo-copying apparatus: (1) Imaging assemblies for the machines of subheading 9009. 12, incorporating at least two of the following: photoreceptor belt or cylinder; toner receptacle unit; toner distribution unit; developer receptacle unit; developer distribution unit; charge/discharge unit; cleaning unit; (2) Optics assemblies for machines of subheading 9009. 12, incorporating at least two of the following: lens; mirror; illumination source; document exposure glass; (3) User control assemblies for machines of subheading 9009. 12, incorporating at least two of the following: printed circuit assembly; power supply; user input keyboard; wiring harness; display unit (cathode ray type or flat panel); (4) Image fixing assemblies for machines of subheading 9009. 12, incorporating at least two of the following: fuser; pressure roller; heating element; release oil dispenser; cleaning unit; electrical control; and (5) Combinations of the above specified assemblies. 9001. 10 A change to subheading 9001. 10 from any other chapter, except from heading 70. 02; or A change to subheading 9001. 10 from heading 70. 02, whether or not there is also a change from any other chapter, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9001. 20-9002. 90 A change to subheadings 9001. 20 through 9002. 90 from any other heading, including another heading within that group. 9003. 11-9003. 19 A change to subheadings 9003. 11 through 9003. 19 from any other heading; or A change to subheadings 9003. 11 through 9003. 19 from subheading 9003. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9003. 90 A change to subheading 9003. 90 from any other heading. 90. 04 A change to heading 90. 04 from any other chapter; or A change to heading 90. 04 from within Chapter 90, whether or not there is also a change from any other chapter, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9005. 10-9005. 80 A change to subheadings 9005. 10 through 9005. 80 from any other subheading, except from headings 90. 01 through 90. 02. 9005. 90 A change to subheading 9005. 90 from any other heading. 9006. 10-9006. 69 A change to subheadings 9006. 10 through 9006. 69 from any other heading; or A change to subheadings 9006. 10 through 9006. 69 from any of subheadings 9006. 91 or 9006. 99, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9006. 91-9006. 99 A change to subheadings 9006. 91 through 9006. 99 from any other heading. 9007. 11 A change to subheading 9007. 11 from any other heading; or A change to subheading 9007. 11 from subheading 9007. 91, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9007. 19 9007. 19. A1 A change to Canadian tariff item 9007. 19. A1, U. S. Tariff item 9007. 19. H1, Mexican tariff item 9007. 19. X1 from any other tariff item. 9007. 19 A change to subheading 9007. 19 from any other heading; or A change to subheading 9007. 19 from subheading 9007. 91, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9007. 21-9007. 29 A change to subheadings 9007. 21 through 9007. 29 from any other heading; or A change to subheadings 9007. 21 through 9007. 29 from subheading 9007. 92, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9007. 91 A change to subheading 9007. 91 from any other heading. 9007. 92 A change to subheading 9007. 92 from any other heading; or A change to subheading 9007. 92 from within subheading 9007. 92, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9008. 10-9008. 40 A change to subheadings 9008. 10 through 9008. 40 from any other heading; or A change to subheadings 9008. 10 through 9008. 40 from subheading 9008. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9008. 90 A change to subheading 9008. 90 from any other heading. 9009. 11 A change to subheading 9009. 11 from any other subheading. 9009. 12 A change to subheading 9009. 12 from any other tariff item, except from Canadian tariff item 9009. 90. A1. 9009. 21-9009. 30 A change to subheadings 9009. 21 through 9009. 30 from any other subheading, including another subheading within that group. 9009. 90 9009. 90. A1 A change to Canadian tariff item 9009. 90. A1, U. S. Tariff item 9009. 90. H1, Mexican tariff item 9009. 90. X1 from Canadian tariff item 9009. 90. A2, U. S. tariff item 9009. 90. H2, Mexican tariff item 9009. 90. X2 or from any other heading, provided that at least one of the components of such assembly named in the Legal Note is originating. 9009. 90 A change to subheading 9009. 90 from any other heading. 9010. 10-9010. 30 A change to subheadings 9010. 10 through 9010. 30 from any other heading; or A change to subheadings 9010. 10 through 9010. 30 from subheading 9010. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9010. 90 A change to subheading 9010. 90 from any other heading. 9011. 10-9011. 80 A change to subheadings 9011. 10 through 9011. 80 from any other heading; or A change to subheadings 9011. 10 through 9011. 80 from subheading 9011. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9011. 90 A change to subheading 9011. 90 from any other heading. 9012. 10 A change to subheading 9012. 10 from any other heading; or A change to subheading 9012. 10 from subheading 9012. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9012. 90 A change to subheading 9012. 90 from any other heading. 9013. 10-9013. 80 A change to subheadings 9013. 10 through 9013. 80 from any other heading; or A change to subheadings 9013. 10 through 9013. 80 from subheading 9013. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9013. 90 A change to subheading 9013. 90 from any other heading. 9014. 10-9014. 80 A change to subheadings 9014. 10 through 9014. 80 from any other heading; or A change to subheadings 9014. 10 through 9014. 80 from subheading 9014. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9014. 90 A change to subheading 9014. 90 from any other heading. 9015. 10-9015. 80 A change to subheadings 9015. 10 through 9015. 80 from any other heading; or A change to subheadings 9015. 10 through 9015. 80 from subheading 9015. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9015. 90 A change to subheading 9015. 90 from any other heading; or A change to subheading 9015. 90 from within subheading 9015. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 90. 16 A change to heading 90. 16 from any other heading. 9017. 10-9017. 80 A change to subheadings 9017. 10 through 9017. 80 from any other heading; or A change to subheadings 9017. 10 through 9017. 80 from subheading 9017. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9017. 90 A change to subheading 9017. 90 from any other heading. 9018. 11 9018. 11. A1 A change to Canadian tariff item 9018. 11. A1, U. S. Tariff item 9018. 11. H1, Mexican tariff item 9018. 11. X1 from any other tariff item, except from Canadian tariff item 9018. 11. A2, U. S tariff item 9018. 11 h2, Mexican tariff item 9018. 11. X2. 9018. 11 A change to subheading 9018. 11 from any other heading. 9018. 19 9018. 19. A1 A change to Canadian tariff item 9018. 19. A1, U. S. Tariff item 9018. 19. H1, Mexican tariff item 9018. 19. X1 from any other tariff item, except from Canadian tariff item 9018. 19. A2, U. S tariff item 9018. 19. H2, Mexican tariff item 9018. 19. X2. . 9018. 19 A change to subheading 9018. 19 from any other heading. 9018. 20-9018. 50 A change to subheadings 9018. 20 through 9018. 50 from any other heading. 9018. 90 9018. 90. A1 A change to Canadian tariff item 9018. 90. A1, U. S. Tariff item 9018. 90. H1, Mexican tariff item 9018. 90. X1 from any other tariff item, except from Canadian tariff item 9018. 90. A2, U. S tariff item 9018. 90. H2, Mexican tariff item 9018. 90. X2. 9018. 90 A change to subheading 9018. 90 from any other heading. 90. 19-90. 21 A change to headings 90. 19 through 90. 21 from any other heading. 9022. 11 A change to subheading 9022. 11 from any other subheading, except from Canadian tariff item 9022. 90. A1, U. S. Tariff item 9022. 90. H1, Mexican tariff item 9022. 90. X1. 9022. 19 A change to subheading 9022. 19 from any other subheading, except from subheading 9022. 30 or 9022. 90. A1, U. S. Tariff item 9022. 90. H1, Mexican tariff item 9022. 90. X1. 9022. 21 A change to subheading 9022. 21 from any other subheading, except from Canadian tariff item 9022. 90. A2, U. S. Tariff item 9022. 90. H2, Mexican tariff item 9022. 90. X2. 9022. 29-9022. 30 A change to subheadings 9022. 29 through 9022. 30 from any other heading; or A change to subheadings 9022. 29 through 9022. 30 from subheading 9022. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9022. 90 9022. 90. A1 A change to Canadian tariff item 9022. 90. A1, U. S. Tariff item 9022. 90. H1, Mexican tariff item 9022. 90. X1 from any other tariff item. 9022. 90 A change to subheading 9022. 90 from any other heading; or A change to subheading 9022. 90 from within subheading 9022. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 90. 23 A change to heading 90. 23 from any other heading. 9024. 10-9024. 80 A change to subheadings 9024. 10 through 9024. 80 from any other heading; or A change to subheadings 9024. 10 through 9024. 80 from subheading 9024. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9024. 90 A change to subheading 9024. 90 from any other heading. 9025. 11-9025. 80 A change to subheadings 9025. 11 through 9025. 80 from any other heading; or A change to subheadings 9025. 11 through 9025. 80 from subheading 9025. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9025. 90 A change to subheading 9025. 90 from any other heading. 9026. 10-9026. 80 A change to subheadings 9026. 10 through 9026. 80 from any other heading; or A change to subheadings 9026. 10 through 9026. 80 from subheading 9026. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9026. 90 A change to subheading 9026. 90 from any other heading. 9027. 10-9027. 50 A change to subheadings 9027. 10 through 9027. 50 from any other heading; or A change to subheadings 9027. 10 through 9027. 50 from subheading 9027. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9027. 80 9027. 80. A1 A change to Canadian tariff item 9027. 80. A1, U. S. Tariff item 9027. 80. H1, Mexican tariff item 9027. 80. X1 from any other subheading, except from subheading 8505. 19 or Canadian tariff item 9027. 90. A1, U. S. Tariff item 9027. 90. H1, Mexican tariff item 9027. 90. X1. 9027. 80 A change to subheading 9027. 80 from any other heading; or A change to subheading 9027. 80 from subheading 9027. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9027. 90 A change to subheading 9027. 90 from any other heading. 9028. 10-9028. 30 A change to subheadings 9028. 10 through 9028. 30 from any other heading; or A change to subheadings 9028. 10 through 9028. 30 from subheading 9028. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9028. 90 A change to subheading 9028. 90 from any other heading. 9029. 10-9029. 20 A change to subheadings 9029. 10 through 9029. 20 from any other heading; or A change to subheadings 9029. 10 through 9029. 20 from subheading 9029. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9029. 90 A change to subheading 9029. 90 from any other heading. 9030. 10 A change to subheading 9030. 10 from any other heading; or A change to subheading 9030. 10 from subheading 9030. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9030. 20-9030. 39 A change to subheadings 9030. 20 through 9030. 39 from any other subheading, including another subheading within that group, except from Canadian tariff item 9030. 90. A1, U. S. Tariff item 9030. 90. H1, Mexican tariff item 9030. 90. X1. 9030. 40-9030. 89 A change to subheadings 9030. 40 through 9030. 89 from any other heading; or A change to subheadings 9030. 40 through 9030. 89 from subheading 9030. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9030. 90 A change to subheading 9030. 90 from any other heading. 9031. 10-9031. 40 A change to subheadings 9031. 10 through 9031. 40 from any other heading; or A change to subheadings 9031. 10 through 9031. 40 from subheading 9031. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9031. 80 9031. 80. A1 A change to Canadian tariff item 9031. 80. A1, U. S. Tariff item 9031. 80. H1, Mexican tariff item 9031. 80. X1 from any other tariff item, except from subheading 8537. 10 or Canadian tariff item 9031. 90. A1, U. S. Tariff item 9031. 90. H1, Mexican tariff item 9031. 90. X1. 9031. 80 A change to subheading 9031. 80 from any other heading; or A change to subheading 9031. 80 from subheading 9031. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9031. 90 A change to subheading 9031. 90 from any other heading. 9032. 10-9032. 89 A change to subheadings 9032. 10 through 9032. 89 from any other heading; or A change to subheadings 9032. 10 through 9032. 89 from subheading 9032. 90, whether or not there is also a change from any other heading, provided there is a regional value content percentage of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9032. 90 A change to subheading 9032. 90 from any other heading. 90. 33 A change to heading 90. 33 from any other heading. Chapter 91 Clocks and Watches and Parts Thereof91. 01-91. 07 A change to headings 91. 01 through 91. 07 from any other chapter; or A change to headings 91. 01 through 91. 07 from heading 91. 14, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 91. 08-91. 13 A change to headings 91. 08 through 91. 13 from any other heading, including another heading within that group, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 91. 14 A change to heading 91. 14 from any other heading. Chapter 92 Musical Instruments; Parts and Accessories of Such Articles92. 01-92. 08 A change to headings 92. 01 through 92. 08 from any other chapter; or A change to headings 92. 01 through 92. 08 from heading 92. 09, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 92. 09 A change to heading 92. 09 from any other heading. Annex 00 SECTION XX Miscellaneous Manufactured Articles (Ch. 94-96)Chapter 94 Furniture; Bedding, Mattresses, Mattress Supports, Cushions and Similar Stuffed Furnishings; Lamps and Lighting Fittings, Not Elsewhere Specified or Included; Illuminated Signs, Illuminated Name-Plates and the Like; Prefabricated Buildings94. 01 A change to heading 94. 01 from any other chapter; or A change to heading 94. 01 from subheading 9401. 90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 94. 02 A change to heading 94. 02 from any other chapter. 9403. 10-9403. 80 A change to subheadings 9403. 10 through 9403. 80 from any other chapter; or A change to subheadings 9403. 10 through 9403. 80 from subheading 9403. 90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9403. 90 A change to subheading 9403. 90 from any other heading. 9404. 10-9404. 30 A change to subheadings 9404. 10 through 9404. 30 from any other chapter. 9404. 90 A change to subheading 9404. 90 from any other chapter, except from headings 50. 07, 51. 11 through 51. 13, 52. 08 through 52. 12, 53. 09 through 53. 11, 54. 07 through 54. 08 or 55. 12 through 55. 16. 9405. 10-9405. 60 A change to subheadings 9405. 10 through 9405. 60 from any other chapter; or A change to subheadings 9405. 10 through 9405. 60 from any of subheadings 9405. 91 through 9405. 99, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9405. 91-9405. 99 A change to subheadings 9405. 91 through 9405. 99 from any other heading. 94. 06 A change to heading 94. 06 from any other chapter. Chapter 95 Toys, Games and Sports Requisites; Parts and Accessories Thereof95. 01 A change to heading 95. 01 from any other chapter. 9502. 10 A change to subheading 9502. 10 from any other chapter; or A change to subheading 9502. 10 from any of subheadings 9502. 91 through 9502. 99, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9502. 91-9502. 99 A change to subheadings 9502. 91 through 9502. 99 from any other heading. 95. 03-95. 05 A change to headings 95. 03 through 95. 05 from any other chapter. 9506. 11-9506. 29 A change to subheadings 9506. 11 through 9506. 29 from any other chapter. 9506. 31 A change to subheading 9506. 31 from any other chapter; or A change to subheading 9506. 31 from subheading 9506. 39, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9506. 32 A change to subheading 9506. 32 from any other chapter. 9506. 39 9506. 39. X1 A change to Mexican tariff item 9506. 39. X1 from any other chapter; or A change to Mexican tariff item 9506. 39. X1 from any other tariff item, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9506. 39 A change to subheading 9506. 39 from any other chapter. 9506. 40-9506. 99 A change to subheadings 9506. 40 through 9506. 99 from any other chapter. 95. 07-95. 08 A change to headings 95. 07 through 95. 08 from any other chapter. Chapter 96 Miscellaneous Manufactured Articles96. 01-96. 05 A change to headings 96. 01 through 96. 05 from any other chapter. 9606. 10 A change to subheading 9606. 10 from any other chapter. 9606. 21-9606. 29 A change to subheadings 9606. 21 through 9606. 29 from any other chapter; or A change to subheadings 9606. 21 through 9606. 29 from subheading 9606. 30, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9606. 30 A change to subheading 9606. 30 from any other heading. 9607. 11-9607. 19 A change to subheadings 9607. 11 through 9607. 19 from any other chapter; or A change to subheadings 9607. 11 through 9607. 19 from subheading 9607. 20, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9607. 20 A change to subheading 9607. 20 from any other heading. 9608. 10-9608. 50 A change to subheadings 9608. 10 through 9608. 50 from any other chapter; or A change to subheadings 9608. 10 through 9608. 50 from any of subheadings 9608. 91 through 9608. 99, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9608. 60-9608. 99 A change to subheadings 9608. 50 through 9608. 99 from any other heading. 96. 09-96. 12 A change to headings 96. 09 through 96. 12 from any other chapter. 9613. 10-9613. 80 A change to subheadings 9613. 10 through 9613. 80 from any other chapter; or A change to subheadings 9613. 10 through 9613. 80 from subheading 9613. 90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9613. 90 A change to subheading 9613. 90 from any other heading. 9614. 10 A change to subheading 9614. 10 from any other chapter. 9614. 20 A change to subheading 9614. 20 from any other subheading, except from subheading 9614. 90. 9614. 90 A change to subheading 9614. 90 from any other heading. 9615. 11-9615. 19 A change to subheadings 9615. 11 through 9615. 19 from any other chapter; or A change to subheadings 9615. 11 through 9615. 19 from subheading 9615. 90, whether or not there is also a change from any other chapter, provided there is a regional value content of not less than: a) 60% where the transaction value method is used, or b) 50% where the net cost method is used. 9615. 90 A change to subheading 9615. 90 from any other heading. 96. 16-96. 18 A change to headings 96. 16 through 96. 18 from any other chapter. Annex 00 SECTION XXI Works of Art, Collectors' Pieces and Antiques (Ch. 97)Chapter 97 Works of Art, Collectors' Pieces and Antiques97. 01-97. 06 A change to headings 97. 01 through 97. 06 from any other chapter. Annex 00B SECTION II Vegetable Products (Ch. 6-14)Note: Agricultural and horticultural goods grown in the territoryof a Party shall be treated as originating in the territory of thatParty even if grown from seed or bulbs imported from a country nota Party to this Agreement. Chapter 6 Live Trees and Other Plants; Bulbs, Roots and the Like; Cut Flowers and Ornamental Foliage06. 01-06. 04 A change to headings 06. 01 through 06. 04 from any other chapter. Chapter 7 Edible Vegetables and Certain Roots and Tubers07. 01-07. 14 A change to headings 07. 01 through 07. 14 from any other chapter. Chapter 8 Edible Fruit and Nuts; Peel of Citrus Fruit or Melons08. 01-08. 14 A change to headings 08. 01 through 08. 14 from any other chapter. Chapter 9 Coffee, Tea, Mat‚ and Spices09. 01-09. 10 A change to headings 09. 01 through 09. 10 from any other chapter. Chapter 10 Cereals10. 01-10. 08 A change to headings 10. 01 through 10. 08 from any other chapter. Chapter 11 Products of the Milling Industry; Malt; Starches; Insulin; Wheat Gluten11. 01-11. 09 A change to headings 11. 01 through 11. 09 from any other chapter. Chapter 12 Oil Seeds and Oleaginous Fruits; Miscellaneous Grains, Seeds and Fruit; Industrial or Medicinal Plants; Straw and Fodder12. 01-12. 14 A change to headings 12. 01 through 12. 14 from any other chapter. Chapter 13 Lac; Gums, Resins and Other Vegetable Saps and Extracts13. 01-13. 02 A change to headings 13. 01 through 13. 02 from any other chapter. Chapter 14 Vegetable Plaiting Materials; Vegetable Products Not Elsewhere Specified or Included14. 01-14. 04 A change to headings 14. 01 through 14. 04 from any other chapter. Annex 00a SECTION I Live Animals; Animal Products (Ch. 1-5)Chapter 1 Live Animals01. 01-01. 06 A change to headings 01. 01 through 01. 06 from any other chapter. Chapter 2 Meat and Edible Meat Offal02. 01-02. 10 A change to headings 02. 01 through 02. 10 from any other chapter. Chapter 3 Fish and Crustaceans, Molluscs and Other Aquatic Invertebrates03. 01-03. 07 A change to headings 03. 01 through 03. 07 from any other chapter. Chapter 4 Dairy Produce; Birds' Eggs; Natural Honey; Edible Products of Animal Origin, Not Elsewhere Specified or Included04. 01-04. 10 A change to headings 04. 01 through 04. 10 from any other chapter, except from Canadian tariff item 1901. 90. 31, U. S. tariff item 1901. 90. 31, 1901. 90. 41 or 1901. 90. 81, Mexican tariff item 1901. 90. 03. Chapter 5 Products of Animal Origin, Not Elsewhere Specified or Included05. 01-05. 11 A change to headings 05. 01 through 05. 11 from any other chapter. Annex 01 SECTION IV Prepared Foodstuffs; Beverages, Spirits, and Vinegar; Tobacco andManufactured Tobacco Substitutes (Ch. 16-24)Chapter 16 Preparations of Meat, of Fish or of Crustaceans, Molluscs or Other Aquatic Invertebrates16. 01-16. 05 A change to headings 16. 01 through 16. 05 from any other chapter. Chapter 17 Sugars and Sugar Confectionery17. 01-17. 03 A change to headings 17. 01 through 17. 03 from any other chapter. 17. 04 A change to heading 17. 04 from any other heading. Chapter 18 Cocoa and Cocoa Preparations18. 01-18. 05 A change to headings 18. 01 through 18. 05 from any other chapter. 1806. 10 1806. 10. 10 A change to Canadian tariff item 1806. 10. 10, U. S. Tariff item 1806. 10. 41 or 1806. 10. 42, Mexican tariff item 1806. 10. 01 from any other heading. 1806. 10 A change to subheading 1806. 10 from any other heading, provided that the non-originating sugar of Chapter 17 constitutes no more than 35% by weight of the sugar and provided that the non-originating cocoa powder of heading 18. 05 constitutes no more than 35% by weight of the cocoa powder. 1806. 20 A change to subheading 1806. 20 from any other heading. 1806. 31 A change to subheading 1806. 31 from any other subheading. 1806. 32 A change to subheading 1806. 32 from any other heading. 1806. 90 A change to subheading 1806. 90 from any other subheading. Chapter 19 Preparations of Cereals, Flour, Starch or Milk; Pastrycooks' Products1901. 10 1901. 10. 31 A change to Canadian tariff item 1901. 10. 31, U. S. Tariff item 1901. 10. 10, Mexican tariff item 1901. 10. 01 from any other chapter, except from Chapter 4. 1901. 10 A change to subheading 1901. 10 from any other chapter. 1901. 20 1901. 20. 11 A change to Canadian tariff item 1901. 20. 11 or 1901. 20. 21, U. S. Tariff item 1901. 20. 10, Mexican tariff item 1901. 20. 01 from any other chapter, except from Chapter 4. 1901. 20 A change to subheading 1901. 20 from any other chapter. 1901. 90 1901. 90. 31 A change to Canadian tariff item 1901. 90. 31, U. S. Tariff item 1901. 90. 31, 1901. 90. 41 or 1901. 90. 81, Mexican tariff item 1901. 90. 03 from any other chapter, except from Chapter 4. 1901. 90 A change to subheading 1901. 90 from any other chapter. 19. 02-19. 05 A change to headings 19. 02 through 19. 05 from any other chapter. Chapter 20 Preparations of Vegetables, Fruit, Nuts or Other Parts of PlantsNote: Fruit, nut and vegetable preparations of Chapter 20 thathave been prepared or preserved merely by freezing, by packing(including canning) in water, brine, or in natural juices, or byroasting, either dry or in oil (including processing incidental tofreezing, packing or roasting), shall be treated as a good of thecountry in which the fresh good was produced. 20. 01-20. 07 A change to headings 20. 01 through 20. 07 from any other chapter. 2008. 11 2008. 11. A1 A change to Canadian tariff item 2008. 11. A1, U. S. Tariff item 2008. 11. H1, Mexican tariff item 2008. 11. X1 from any other heading, except from heading 12. 02. 2008. 11 A change to subheading 2008. 11 from any other chapter. 2008. 19-2008. 99 A change to subheadings 2008. 19 through 2008. 99 from any other chapter. 2009. 11-2009. 30 A change to subheadings 2009. 11 through 2009. 30 from any other chapter, except from heading 08. 05. 2009. 40-2009. 80 A change to subheadings 2009. 40 through 2009. 80 from any other chapter. 2009. 90 A change to subheading 2009. 90 from any other chapter; or A change to subheading 2009. 90 from any other subheading within Chapter 20, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. Chapter 21 Miscellaneous Edible Preparations21. 01 2101. 10. 11 A change to Canadian tariff item 2101. 10. 11, U. S. Tariff item 2101. 10. 25, Mexican tariff item 2101. 10. 01 from any other chapter, provided that the non- originating coffee of Chapter 9 constitutes no more than 60 percent by weight. 21. 01 A change to heading 21. 01 from any other chapter. 21. 02 A change to heading 21. 02 from any other chapter. 2103. 10 A change to subheading 2103. 10 from any other chapter. 2103. 20 2103. 20. 10 A change to Canadian tariff item 2103. 20. 10, U. S. Tariff item 2103. 20. 20, Mexican tariff item 2103. 20. 01 from any other chapter, except from subheading 2002. 90. 2103. 20 A change to subheading 2103. 20 from any other chapter. 2103. 30-2103. 90 A change to subheadings 2103. 30 through 2103. 90 from any other chapter. 21. 04 A change to heading 21. 04 from any other chapter. 21. 05 A change to heading 21. 05 from any other heading, except from Chapter 4 or Canadian tariff item 1901. 90. 31, U. S. tariff item 1901. 90. 31, 1901. 90. 41 or 1901. 90. 81, Mexican tariff item 1901. 90. 03. 21. 06 2106. 90. A2 A change to Canadian tariff item 2106. 90. A2, U. S. Tariff items 2106. 90. 16 through 2106. 90. 19A, Mexican tariff item 2106. 90. X2 from any other chapter, except from heading 08. 05 or 20. 09 or Canadian tariff item 2202. 90. A1, U. S. Tariff item 2202. 90. 30, 2202. 90. 35 or 2202. 90. 39A, Mexican tariff item 2202. 90. X1. 2106. 90. A3 A change to Canadian tariff item 2106. 90. A3, U. S. Tariff item 2106. 90. 19B, Mexican tariff item 2106. 90. X3 from any other chapter, except from subheading 2009. 90 or Canadian tariff item 2202. 90. A2, U. S. Tariff item 2202. 90. 39B, Mexican tariff item 2202. 90. X2; or A change to Canadian tariff item 2106. 90. A3, U. S. Tariff item 2106. 90. 19B, Mexican tariff item 2106. 90. X3 from any other subheading within Chapter 21, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. 2106. 90. A4 A change to Canadian tariff item 2106. 90. A4, U. S. Tariff item 2106. 90. H4, Mexican tariff item 2106. 90. X4 from any other chapter, except from Chapter 4 or tariff item 1901. 90. A1. 21. 06 A change to heading 21. 06 from any other chapter. Chapter 22 Beverages, Spirits and Vinegar22. 01 A change to heading 22. 01 from any other chapter. 2202. 10 A change to subheading 2202. 10 from any other chapter. 2202. 90 2202. 90. A1 A change to Canadian tariff item 2202. 90. A1, U. S. Tariff items 2202. 90. 30 through 2202. 90. 39A, Mexican tariff item 2202. 90. X4 from any other chapter, except from heading 08. 05 or 20. 09 or Canadian tariff item 2106. 90. A2, U. S. Tariff item 2106. 90. 16 or 2106. 90. 19A, Mexican tariff item 2106. 90. X2. 2202. 90. A2 A change to Canadian tariff item 2202. 90. A2, U. S. Tariff item 2202. 90. 39B, Mexican tariff item 2202. 90. X2 from any other chapter, except from subheading 2009. 90 or Canadian tariff item 2106. 90. A3, U. S. Tariff item 2106. 90. 19B, Mexican tariff item 2106. 90. X3; or A change to Canadian tariff item 2202. 90. A2, U. S. Tariff item 2202. 90. 39B, Mexican tariff item 2202. 90. X2 from any other subheading within Chapter 22, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. 2202. 90. 9x A change to Canadian tariff item 2202. 90. 9x, U. S. Tariff item 2202. 90. 10 or 2202. 90. 20, Mexican tariff item 2202. 90. 02 from any other chapter, except from Chapter 4 or Canadian tariff item 1901. 90. 31, U. S. Tariff item 1901. 90. 31, 1901. 90. 41 or 1901. 90. 81, Mexican tariff item 1901. 90. 03. 2202. 90 A change to subheading 2202. 90 from any other chapter. 22. 03-22. 09 A change to headings 22. 03 through 22. 09 from any other heading outside that group. Chapter 23 Residues and Waste From the Food Industries; Prepared Animal Fodder23. 01-23. 08 A change to headings 23. 01 through 23. 08 from any other chapter. 2309. 10 A change to subheading 2309. 10 from any other heading. 2309. 90 2309. 90. A1 A change to Canadian tariff item 2309. 90. A1, U. S. Tariff item 2309. 90. H1, Mexican tariff item 2309. 90. X1 from any other heading, except from Chapter 4 or tariff item 1901. 90. A1. 2309. 90 A change to subheading 2309. 90 from any other heading. Chapter 24 Tobacco and Manufactured Tobacco Substitutes24. 01-24. 03 A change to headings 24. 01 through 24. 03 from any other chapter or from Canadian tariff item 2401. 10. 10 or 2403. 91. A1, U. S. Tariff item 2401. 10. H1 or 2403. 91. 20, Mexican tariff item 2401. 10. X1 or 2403. 91. X1. Annex 01 SECTION IV Prepared Foodstuffs; Beverages, Spirits, and Vinegar; Tobacco andManufactured Tobacco Substitutes (Ch. 16-24)Chapter 16 Preparations of Meat, of Fish or of Crustaceans, Molluscs or Other Aquatic Invertebrates16. 01-16. 05 A change to headings 16. 01 through 16. 05 from any other chapter. Chapter 17 Sugars and Sugar Confectionery17. 01-17. 03 A change to headings 17. 01 through 17. 03 from any other chapter. 17. 04 A change to heading 17. 04 from any other heading. Chapter 18 Cocoa and Cocoa Preparations18. 01-18. 05 A change to headings 18. 01 through 18. 05 from any other chapter. 1806. 10 1806. 10. 10 A change to Canadian tariff item 1806. 10. 10, U. S. Tariff item 1806. 10. 41 or 1806. 10. 42, Mexican tariff item 1806. 10. 01 from any other heading. 1806. 10 A change to subheading 1806. 10 from any other heading, provided that the non-originating sugar of Chapter 17 constitutes no more than 35% by weight of the sugar and provided that the non-originating cocoa powder of heading 18. 05 constitutes no more than 35% by weight of the cocoa powder. 1806. 20 A change to subheading 1806. 20 from any other heading. 1806. 31 A change to subheading 1806. 31 from any other subheading. 1806. 32 A change to subheading 1806. 32 from any other heading. 1806. 90 A change to subheading 1806. 90 from any other subheading. Chapter 19 Preparations of Cereals, Flour, Starch or Milk; Pastrycooks' Products1901. 10 1901. 10. 31 A change to Canadian tariff item 1901. 10. 31, U. S. Tariff item 1901. 10. 10, Mexican tariff item 1901. 10. 01 from any other chapter, except from Chapter 4. 1901. 10 A change to subheading 1901. 10 from any other chapter. 1901. 20 1901. 20. 11 A change to Canadian tariff item 1901. 20. 11 or 1901. 20. 21, U. S. Tariff item 1901. 20. 10, Mexican tariff item 1901. 20. 01 from any other chapter, except from Chapter 4. 1901. 20 A change to subheading 1901. 20 from any other chapter. 1901. 90 1901. 90. 31 A change to Canadian tariff item 1901. 90. 31, U. S. Tariff item 1901. 90. 31, 1901. 90. 41 or 1901. 90. 81, Mexican tariff item 1901. 90. 03 from any other chapter, except from Chapter 4. 1901. 90 A change to subheading 1901. 90 from any other chapter. 19. 02-19. 05 A change to headings 19. 02 through 19. 05 from any other chapter. Chapter 20 Preparations of Vegetables, Fruit, Nuts or Other Parts of PlantsNote: Fruit, nut and vegetable preparations of Chapter 20 thathave been prepared or preserved merely by freezing, by packing(including canning) in water, brine, or in natural juices, or byroasting, either dry or in oil (including processing incidental tofreezing, packing or roasting), shall be treated as a good of thecountry in which the fresh good was produced. 20. 01-20. 07 A change to headings 20. 01 through 20. 07 from any other chapter. 2008. 11 2008. 11. A1 A change to Canadian tariff item 2008. 11. A1, U. S. Tariff item 2008. 11. H1, Mexican tariff item 2008. 11. X1 from any other heading, except from heading 12. 02. 2008. 11 A change to subheading 2008. 11 from any other chapter. 2008. 19-2008. 99 A change to subheadings 2008. 19 through 2008. 99 from any other chapter. 2009. 11-2009. 30 A change to subheadings 2009. 11 through 2009. 30 from any other chapter, except from heading 08. 05. 2009. 40-2009. 80 A change to subheadings 2009. 40 through 2009. 80 from any other chapter. 2009. 90 A change to subheading 2009. 90 from any other chapter; or A change to subheading 2009. 90 from any other subheading within Chapter 20, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. Chapter 21 Miscellaneous Edible Preparations21. 01 2101. 10. 11 A change to Canadian tariff item 2101. 10. 11, U. S. Tariff item 2101. 10. 25, Mexican tariff item 2101. 10. 01 from any other chapter, provided that the non- originating coffee of Chapter 9 constitutes no more than 60 percent by weight. 21. 01 A change to heading 21. 01 from any other chapter. 21. 02 A change to heading 21. 02 from any other chapter. 2103. 10 A change to subheading 2103. 10 from any other chapter. 2103. 20 2103. 20. 10 A change to Canadian tariff item 2103. 20. 10, U. S. Tariff item 2103. 20. 20, Mexican tariff item 2103. 20. 01 from any other chapter, except from subheading 2002. 90. 2103. 20 A change to subheading 2103. 20 from any other chapter. 2103. 30-2103. 90 A change to subheadings 2103. 30 through 2103. 90 from any other chapter. 21. 04 A change to heading 21. 04 from any other chapter. 21. 05 A change to heading 21. 05 from any other heading, except from Chapter 4 or Canadian tariff item 1901. 90. 31, U. S. tariff item 1901. 90. 31, 1901. 90. 41 or 1901. 90. 81, Mexican tariff item 1901. 90. 03. 21. 06 2106. 90. A2 A change to Canadian tariff item 2106. 90. A2, U. S. Tariff items 2106. 90. 16 through 2106. 90. 19A, Mexican tariff item 2106. 90. X2 from any other chapter, except from heading 08. 05 or 20. 09 or Canadian tariff item 2202. 90. A1, U. S. Tariff item 2202. 90. 30, 2202. 90. 35 or 2202. 90. 39A, Mexican tariff item 2202. 90. X1. 2106. 90. A3 A change to Canadian tariff item 2106. 90. A3, U. S. Tariff item 2106. 90. 19B, Mexican tariff item 2106. 90. X3 from any other chapter, except from subheading 2009. 90 or Canadian tariff item 2202. 90. A2, U. S. Tariff item 2202. 90. 39B, Mexican tariff item 2202. 90. X2; or A change to Canadian tariff item 2106. 90. A3, U. S. Tariff item 2106. 90. 19B, Mexican tariff item 2106. 90. X3 from any other subheading within Chapter 21, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. 2106. 90. A4 A change to Canadian tariff item 2106. 90. A4, U. S. Tariff item 2106. 90. H4, Mexican tariff item 2106. 90. X4 from any other chapter, except from Chapter 4 or tariff item 1901. 90. A1. 21. 06 A change to heading 21. 06 from any other chapter. Chapter 22 Beverages, Spirits and Vinegar22. 01 A change to heading 22. 01 from any other chapter. 2202. 10 A change to subheading 2202. 10 from any other chapter. 2202. 90 2202. 90. A1 A change to Canadian tariff item 2202. 90. A1, U. S. Tariff items 2202. 90. 30 through 2202. 90. 39A, Mexican tariff item 2202. 90. X4 from any other chapter, except from heading 08. 05 or 20. 09 or Canadian tariff item 2106. 90. A2, U. S. Tariff item 2106. 90. 16 or 2106. 90. 19A, Mexican tariff item 2106. 90. X2. 2202. 90. A2 A change to Canadian tariff item 2202. 90. A2, U. S. Tariff item 2202. 90. 39B, Mexican tariff item 2202. 90. X2 from any other chapter, except from subheading 2009. 90 or Canadian tariff item 2106. 90. A3, U. S. Tariff item 2106. 90. 19B, Mexican tariff item 2106. 90. X3; or A change to Canadian tariff item 2202. 90. A2, U. S. Tariff item 2202. 90. 39B, Mexican tariff item 2202. 90. X2 from any other subheading within Chapter 22, whether or not there is also a change from any other chapter, provided that a single juice ingredient, or juice ingredients from a single non-Party, constitute in single strength form no more than 60% by volume of the product. 2202. 90. 9x A change to Canadian tariff item 2202. 90. 9x, U. S. Tariff item 2202. 90. 10 or 2202. 90. 20, Mexican tariff item 2202. 90. 02 from any other chapter, except from Chapter 4 or Canadian tariff item 1901. 90. 31, U. S. Tariff item 1901. 90. 31, 1901. 90. 41 or 1901. 90. 81, Mexican tariff item 1901. 90. 03. 2202. 90 A change to subheading 2202. 90 from any other chapter. 22. 03-22. 09 A change to headings 22. 03 through 22. 09 from any other heading outside that group. Chapter 23 Residues and Waste From the Food Industries; Prepared Animal Fodder23. 01-23. 08 A change to headings 23. 01 through 23. 08 from any other chapter. 2309. 10 A change to subheading 2309. 10 from any other heading. 2309. 90 2309. 90. A1 A change to Canadian tariff item 2309. 90. A1, U. S. Tariff item 2309. 90. H1, Mexican tariff item 2309. 90. X1 from any other heading, except from Chapter 4 or tariff item 1901. 90. A1. 2309. 90 A change to subheading 2309. 90 from any other heading. Chapter 24 Tobacco and Manufactured Tobacco Substitutes24. 01-24. 03 A change to headings 24. 01 through 24. 03 from any other chapter or from Canadian tariff item 2401. 10. 10 or 2403. 91. A1, U. S. Tariff item 2401. 10. H1 or 2403. 91. 20, Mexican tariff item 2401. 10. X1 or 2403. 91. X1. ANNEX 300-A Trade and Investment in the Automotive Industry Sector1. Except as provided in this Annex, each Party shall applythis Agreement to automotive goods of another Party and toenterprises of the automotive industry sector in its territory. 2. Except as provided in this Annex, each Party shall promptlyaccord to existing producers of vehicles in its territorytreatment no less favorable than that it accords, in likecircumstances, to a new producer of vehicles in its territoryregarding measures covered by this Annex. 3. The Parties shall review, no later than December 31, 2003, the status of the North American automotive industry sector andthe effectiveness of the measures contained in this Annex todetermine actions that could be taken to strengthen theintegration and global competitiveness of the industry. ============================================================================= Appendix A: Canada Existing Measures1. Canada and the United States may maintain the AgreementConcerning Automotive Products between the Government of Canadaand the Government of the United States of America which enteredinto force on September 16, 1966, in accordance with Article1001, Article 1002(1) and (4) (as they refer to Annex 1002. 1, Part One), Article 1005(1) and (3), and Annex 1002. 1, Part One(Waivers of Customs Duties) of Canada - United States Free TradeAgreement. 2. Canada may maintain the measures referred to in Article1002(1) and (4) (as they refer to Annex 1002. 1, Parts Two andThree), Article 1002(2) and (3), Article 1003, and Annex 1002. 1, Parts Two (Export-Based Waivers of Customs Duties) and Three(Production-Based Waivers of Customs Duties) of the Canada -United States Free Trade Agreement. Canada shall eliminate thosemeasures in accordance with the terms set out in that agreement. Used Vehicles3. Canada may adopt or maintain prohibitions and restrictionson imports of used vehicles from the territory of Mexico, exceptas follows: (a) after January 1, 2009, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least 10 years old; (b) after January 1, 2011, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least eight years old; (c) after January 1, 2013, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least six years old; (d) after January 1, 2015, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least four years old; (e) after January 1, 2017, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles that are at least two years old; and (f) after January 1, 2019, Canada may not adopt or maintain prohibitions or restrictions on imports from the territory of Mexico of originating used vehicles regardless of age. ============================================================================= Appendix B: Mexico Auto Decree and Auto Decree Implementing Regulations1. Subject to this Appendix, Mexico may maintain, until January1, 2004, the Decree for Development and Modernization of theAutomotive Industry ("Decreto para el Fomento y Modernizaci¢n dela Industria Automotriz") (December 11, 1989) (the "Auto Decree")and the Resolution that Establishes Rules for the Implementationof the Auto Decree ("Acuerdo que Determina Reglas para laAplicaci¢n para el Fomento y Modernizaci¢n de la IndustriaAutomotriz") (November 30, 1990) (the "Auto Decree ImplementingRegulations"). Mexico may adopt or maintain any measurerespecting automotive goods or manufacturers of automotive goodsin its territory provided that such measure is not inconsistentwith this Agreement. Autoparts Industry, National Suppliers and IndependentMaquiladoras2. Mexico may not require that an enterprise attain a level ofnational value added in excess of 20 percent of its total salesas one of the conditions to qualify as a national supplier orenterprise of the autoparts industry. 2a. For purposes of paragraph 2, "national value added" meansthe total value of sales of such enterprises (excluding those forthe aftermarket) minus the value of its total imports, direct andindirect, excluding those imports incorporated in aftermarketparts and components, as modified by paragraph 3. 3. Mexico may require that a national supplier or an enterpriseof the autoparts industry, in calculating its national valueadded solely for the purposes of paragraph 2, include customsduties in the value of imports incorporated into the parts andcomponents produced by such enterprises. 4. Mexico shall grant national supplier status to anindependent maquiladora that requests such status and meets therequirements for that status set out in the existing Auto Decree. Mexico shall continue to grant to all independent maquiladorasthat request national supplier status all existing rights andprivileges accorded to independent maquiladoras under theexisting Decree for the Promotion and Operation of theMaquiladora Export Industry ("Decreto para el Fomento y Operaci¢nde la Industria Maquiladora de Exportaci¢n") (December 22, 1989)(the "Maquiladora Decree"). 4a. For purposes of paragraph 4, "independent maquiladora" meansan enterprise registered as an export maquiladora enterpriseunder the Maquiladora Decree which has no common majorityshareholder with any manufacturer, and for which no manufactureris directly or indirectly a majority shareholder. National Value Added5. Mexico may provide that a manufacturer ("empresa de laindustria terminal") calculate its required national value addedfrom suppliers (VANp) as a percentage of: (a) a manufacturer's reference value as defined in paragraph 8; or (b) a manufacturer's total national value added (VANt), whichever is greater. 6. Mexico shall not require that the percentage referred to inparagraph 5 be greater than: (a) 34 percent for each of the first five years beginning January 1, 1994; (b) 33 percent for 1999; (c) 32 percent for 2000; (d) 31 percent for 2001; (e) 30 percent for 2002; and (f) 29 percent for 2003. 7. Notwithstanding paragraph 6, Mexico shall allow amanufacturer that produced vehicles in Mexico before model year1992 to use as its percentage referred to in paragraph 5 theratio of actual national value added from suppliers (VANp) tototal national value added (VANt) that such manufacturer attainedin model year 1992, for so long as that ratio is lower than theapplicable percentage specified under paragraph 6. Indetermining such ratio for 1992, purchases that such manufacturermade from independent maquiladoras that would have been eligibleto receive national supplier status had paragraphs 2, 3 and 4 ofthis Appendix been in effect at that time, shall be included inthe calculation of the manufacturer's national value added fromsuppliers (VANp), in the same manner as parts and components fromany other national supplier or enterprise of the autopartsindustry. 8. "The annual reference value for a manufacturer" ("referencevalue") shall be: (a) for each of the years 1994 through 1997, the base value for the manufacturer, plus no more than 65 percent of the difference between the manufacturer's total sales in Mexico in that year and its base value; (b) for each of the years 1998 through 2000, the base value for the manufacturer, plus no more than 60 percent of the difference between the manufacturer's total sales in Mexico in that year and its base value; and (c) for each of the years 2001 through 2003, the base value for the manufacturer, plus no more than 50 percent of the difference between the manufacturer's total sales in Mexico in that year and its base value. 9. Mexico shall provide that where a manufacturer's total salesin Mexico in a year are lower than its base value, the referencevalue for such manufacturer for that year shall be equal to themanufacturer's total value of sales in Mexico for the year. 9a. For purposes of paragraphs 8 and 9: (a) "base value" means the average annual value of the manufacturer's production in Mexico for sale in Mexico (VTVd) in model years 1991 and 1992, adjusted for inflation, using the Mexican producer price index for automotive goods published by the Bank of Mexico ("Banco de Mexico"); and (b) "manufacturer's total sales in Mexico in that year" means the invoice value of sales by a manufacturer of vehicles it produced in Mexico for sale in Mexico plus the invoice value of its sales of imported vehicles. 10. In the event an abnormal production disruption affects amanufacturer's production capability, Mexico shall allow suchmanufacturer to seek a reduction in its reference value beforethe Intersecretariat Automotive Industry Commission, establishedunder Chapter V of the Auto Decree. If the Commission finds thatthe production capability of the manufacturer has been impairedby such an abnormal production disruption, the Commission shallreduce the manufacturer's reference value in an amountcommensurate to such event. 10a. For purposes of paragraph 10, "abnormal productiondisruption" means a disruption in a manufacturer's productioncapability resulting from a natural disaster, fire, explosion orother unforeseen event beyond the manufacturer's control. 11. If, upon the request of a manufacturer, the IntersecretariatAutomotive Industry Commission finds that the productioncapability of such manufacturer has been significantly disruptedas a result of a major retooling or plant conversion in thefacilities of the manufacturer, the Commission shall reduce thereference value for the manufacturer for that year in an amountcommensurate with the disruption, provided that such reduction inthat manufacturer's required national value added from suppliers(VANp) that may result from the Commission's determination tolower the manufacturer's reference value shall be fully made upby the manufacturer over the following two model years. 11a. For purposes of paragraph 11, "significant disruption"means a sizable impairment in the manufacturer's productioncapability that lasts at least six months but no longer than 12months. Trade Balance12. Mexico shall not require a manufacturer to include in thecalculation of its trade balance (S) a percentage of the value ofdirect and indirect imports of parts and components that suchmanufacturer incorporated into vehicles it has produced in Mexicofor sale in Mexico (VTVd) in the corresponding year, greater thanthe following: (a) 80 percent for 1994; (b) 77. 2 percent for 1995; (c) 74. 4 percent for 1996; (d) 71. 6 percent for 1997; (e) 68. 9 percent for 1998; (f) 66. 1 percent for 1999; (g) 63. 3 percent for 2000; (h) 60. 5 percent for 2001; (i) 57. 7 percent for 2002; and (j) 55. 0 percent for 2003. 13. For purposes of determining a manufacturer's total nationalvalue added (VANt), paragraph 12 shall not apply to thecalculation of its trade balance (S). 14. Mexico shall permit a manufacturer with a surplus in itsextended trade balance to divide its extended trade balance bythe applicable percentages in paragraph 12 to determine the valueof new vehicles that it may import. 15. Mexico shall provide that in the calculation of amanufacturer's adjustment factor (Y) in its extended tradebalance: (a) a manufacturer's total national value added (VANt) be replaced by that manufacturer's reference value in any year in which the manufacturer's total national value added (VANt) is lower than its reference value; and (b) the applicable percentage under paragraphs 6 or 7, as appropriate, be used. 16. In determining the annual amount that a manufacturer mayapply to its extended trade balance from surpluses earned priorto model year 1991, Mexico shall in any given year allow suchmanufacturer to elect: (a) to use the procedures of the existing Auto Decree Implementing Regulation; or (b) to apply up to $US 150 million, adjusted for inflation in accordance with the U. S. GDP Price Deflator or its equivalent in Mexican pesos, until such surpluses have been exhausted. Other Restrictions in the Auto Decree17. Mexico shall eliminate the restriction set out in theexisting Auto Decree that limits the number of vehicles that amanufacturer may import into Mexico in relation to the totalnumber of vehicles that such manufacturer sells in Mexico. Autotransportation Decree and AutotransportationImplementing Regulations18. Mexico shall eliminate the Mexican Decree for Developmentand Modernization of the Autotransportation Vehicle ManufacturingIndustry (December 1989) ("Decreto para el Fomento yModernizaci¢n de la Industria Manufacturera de Vehiculos deAutotransporte") (the "Autotransportation Decree") and theResolution that Establishes Rules for the Implementation of theAutotransportation Decree (November 1990) ("Acuerdo que EstableceReglas de Aplicacion del Decreto para el Fomento y Modernizaci¢nde la Industria Manufacturera de Veh¡culos de Autotransporte")(the "Autotransportation Decree Implementing Regulations"). Mexico may adopt or maintain any measure respectingautotransportation vehicles or manufacturers ofautotransportation vehicles in its territory provided that suchmeasure is not inconsistent with this Agreement. Importation of Autotransportation Vehicles19. Except as provided in paragraphs 20 and 21, Mexico may adoptor maintain a prohibition or restriction on the importation ofautotransportation vehicles of another Party until January 1, 1999. 20. For each of the years 1994 through 1998, Mexico shall allowany manufacturer of autotransportation vehicles to import, foreach type of autotransportation vehicle, a quantity oforiginating autotransportation vehicles equal to at least 50percent of the number of vehicles of such type that suchmanufacturer produced in Mexico in that year. 20a. For purposes of paragraph 20, "manufacturer ofautotransportation vehicles" means an enterprise, established inMexico, that produces autotransportation vehicles, is registeredwith the Ministry of Trade and Industrial Development("Secretar¡a de Comercia y Fomento Industrial"), and whose salesin Mexico incorporate at least 40 percent national value added, where national value added is the result of subtracting from thetotal sales (excluding imports of autotransportation vehicles) ofan autotransportation manufacturer the invoice value of itsdirect and indirect imports of parts and components. 21. For each of the years 1994 through 1998, Mexico shall allowpersons other than manufacturers of autotransportation vehiclesto import, in a quantity to be allocated among them, originatingautotransportation vehicles of each type as follows: (a) for each of the years 1994 and 1995, no less than 15 percent of the total number of vehicles of each type of autotransportation vehicle produced in Mexico; (b) for 1996, no less than 20 percent of the total number of vehicles of each type of autotransportation vehicle produced in Mexico; and (c) for each of the years 1997 and 1998, no less than 30 percent of the total number of vehicles of each type of autotransportation vehicle produced in Mexico. Mexico shall allocate such quantity through a non-discriminatoryauction. Used Vehicles22. Mexico may adopt or maintain prohibitions and restrictionson imports of used vehicles from the territory of another Party, except as follows: (a) after January 1, 2009, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least ten years old; (b) after January 1, 2011, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least eight years old; (c) after January 1, 2013, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least six years old; (d) after January 1, 2015, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least four years old; (e) after January 1, 2017, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles that are at least two years old; and (f) after January 1, 2019, Mexico may not adopt or maintain prohibitions or restrictions on imports from the territories of Canada or United States of originating used vehicles, regardless of age. ============================================================================= Appendix B: DefinitionsNote: (The following terms shall be defined as provided inthe Auto Decree and Auto Decree Implementing Regulations, incorporating those specific modifications required by thisAppendix. For purposes of transparency, set out below for each termare the corresponding Spanish term, citations to the relevantprovisions of the Auto Decree and Auto Decree ImplementingRegulations and, where appropriate, the paragraph of thisAppendix that modifies the definition in the Auto Decree or AutoDecree Implementing Regulations. English translations of thesedefinitions, amplified for clarity where appropriate, andincorporating modifications required by this Appendix, will beset out here at a later date. )adjustment factor (Y) means "factor de ajuste Y" as defined inrule 18 of the Auto Decree Implementing Regulations and asmodified by paragraph 15 of this Appendix;enterprise of the autoparts industry means "empresa de laindustria de autopartes" as set out in Article 2, paragraph V ofthe Auto Decree, as modified by paragraph 2 of this Appendix;extended trade balance means "balanza comercial ampliada"referred to in rule 28 of the Auto Decree implementingRegulations, and is equal to the numerator (S+W+. 3I+Sft+T-Y) offormula (1) in rule 8, of the Auto Decree ImplementingRegulations; manufacturer means an "empresa de la industria terminal" asdefined in Article 2, paragraph IV of the Auto Decree thatproduces any of the following classes of vehicles: (a) passenger car: a vehicle for the transportation of up to 10 people or a compact car of popular use, provided for in subheadings (to be specified) of the Harmonized System; (b) commercial truck: a vehicle with or without a chassis, for the transportation of cargo or over 10 people, with a GVW of up to 2, 727 kgs. , provided for in heading (to be specified) of the Harmonized System; (c) light duty truck: a vehicle with a chassis, for the transportation of cargo or over 10 people, with a GVW of over 2, 727 but less than 7, 272 kgs. , provided for in headings (to be specified); or (d) medium duty truck: a vehicle with a chassis for the transportation of cargo or over ten people, with a GVW of over 7, 272 kgs. But less than 8, 864 kgs. , provided for in headings (to be specified) of the Harmonized System;manufacturer's production in Mexico for sale in Mexico (VTVd)means "valor total de las ventas que realicen las empresas de laindustria terminal al mercado domestico, excluyendo vehiculosimportados" as set out in rule 18 of the Auto Decree ImplementingRegulations;manufacturer's total national value added (VANt) means "valoragregado nacional de la empresa de la industria terminal" asdefined in rule 18 of the Auto Decree Implementing Regulations;national supplier means a "proveedor nacional" as defined byarticle 2 paragraph VII of the Auto Decree, as modified byparagraph 2 of this Appendix;national value added from suppliers (VANp) means "valor agregadonacional de proveedores", as provided in rule 18 of the AutoDecree Implementing Regulations;parts and components means "partes y componentes automotrices" asdefined in article 2, paragraph X of the Auto Decree;trade balance (S) means "saldo en balanza comercial de la empresade la industria terminal", as defined in rule 9 of the AutoDecree Implementing Regulation, as modified by paragraphs 12 and13 of this Appendix;autotransportation vehicles means a vehicle included in any ofthe following types: (a) heavy duty truck: a vehicle with a chassis for the transport of goods or more than ten people with a GVW over 8, 864 kgs. , provided for in headings (to be specified) of the Harmonized System; (b) truck tractor: a vehicle with 2 or 3 axles for transporting goods by hauling trailers, semi-trailers or containing integrated equipment, provided for in subheading (to be specified) of the Harmonized System; (c) integral bus: a vehicle without a chassis but with an integral body used to transport more than 10 people, provided for in heading (to be specified) of the Harmonized System; and (d) specialty vehicles: special purpose motor vehicles or vehicles modified for the handicapped provided for in heading (to be specified) of the Harmonized System, (as provided for in Article 2 of the Autotransportation Decree). ============================================================================= Appendix C: United States Corporate Average Fuel Economy1. As provided in paragraph 2, for purposes of the EnergyPolicy and Conservation Act (October 1975), as amended ("the CAFEAct"), the United States shall consider an automobile to bedomestically manufactured in any model year if at least 75percent of the cost to the manufacturer of such automobile isattributable to value added in Canada, Mexico or the UnitedStates, unless the assembly of such automobile is completed inCanada or Mexico and such automobile is not imported into theUnited States prior to the expiration of the 30 days followingthe end of such model year. 2. The United States shall implement the obligation set out inparagraph 1 for all automobiles of a manufacturer sold in theUnited States, wherever produced and irrespective of car line ortruck line, beginning with the next model year after January 1, 2004, except as provided in the following schedule: (a) with respect to a manufacturer that initiated the manufacture of automobiles in Mexico before model year 1992, the enterprise that provides certification under the CAFE Act may make a one-time election at any time between January 1, 1997 and January 1, 2004, to have paragraph 1 applied beginning with the next model year after such election; (b) with respect to a manufacturer initiating the manufacture of automobiles in Mexico after model year 1991, paragraph 1 shall apply beginning with the next model year after either January 1, 1994 or the date that such manufacturer initiates manufacturing automobiles in Mexico, whichever is later; (c) with respect to any other manufacturer of automobiles in the territory of a Party, the enterprise that provides certification under the CAFE Act may make a one-time election at any time between January 1, 1997 and January 1, 2004, to have paragraph 1 applied beginning with the next model year after such election. If such a manufacturer initiates manufacturing automobiles in Mexico, it shall be subject to subparagraph (b) on the date it initiates such manufacturing; and (d) with respect to all manufacturers of automobiles not manufacturing automobiles in the territory of a Party, paragraph 1 shall apply beginning with the next model year after January 1, 1994. 3. The United States shall make any future changes pertainingto the definition of domestic production in the CAFE Act or itsimplementing regulations equally applicable to value added in anyof the Parties. 4. Nothing in this Appendix shall require the United States tomake any changes in its fuel economy requirements forautomobiles. 5. For purposes of this Appendix, "automobile" means a motorvehicle that complies with the definition in the CAFE Act and itsimplementing regulations. ============================================================================= Appendix D: General Definitions existing producer of vehicles means a producer that was producing in the territory of the relevant Party prior to model year 1992; and automotive goods means all types of motor vehicles, and parts and components intended for use in motor vehicles. Note: (Additional terms may be added where appropriate)ANNEX 300-B Textile and Apparel GoodsSection 1: Scope and Coverage1. This Annex applies to the textile and apparel goods set outin Appendix 1. 1. 2. In the event of any inconsistency between this Agreement andthe Arrangement Regarding International Trade in Textiles(Multifiber Arrangement), as amended and extended, including anyamendment or extension after the date of entry into force of thisAgreement, or any other existing or future agreement applicableto trade in textile or apparel goods, this Agreement shallprevail to the extent of the inconsistency, unless the Partiesagree otherwise. Section 2: Tariff Elimination1. Except as otherwise provided in this Agreement, each Partyshall progressively eliminate its customs duties on originatinggoods as provided in its Schedule set out in Annex 302. 2, inaccordance with Appendix 2. 1. 2. (a) For purposes of this Annex, a good shall be considered to be an originating good if the applicable change in tariff classification has been satisfied in the territory of one or more of the Parties, as provided by Article 404. (b) For purposes of determining which rate of duty and staging category is applicable to an originating textile or apparel good, a good shall be a good of the Party in which the last substantial transformation occurred, according to each importing Party's regulations, practices or procedures or, in the event of an agreement between the Parties pursuant to Annex 312(1), setting out rules applicable to textile and apparel goods for determining whether a good is a good of a Party ("Marking Rules"), according to such agreement. 3. Each Party shall provide duty-free treatment for thefollowing textile and apparel goods of another Party, providedsuch goods have been certified by the competent authority of theexporting Party as one of the following: (a) hand-loomed fabrics of a cottage industry; (b) hand-made cottage industry goods made of such hand- loomed fabrics; or (c) traditional folklore handicraft goodsthat have been identified and agreed by the Parties concerned forduty-free treatment. Section 3: Import and Export Restrictions and ConsultationLevels1. Appendix 3. 1 sets out certain circumstances and conditionsunder which prohibitions, restrictions, or consultation levels ineffect upon the date of entry into force of this Agreement may bemaintained, notwithstanding Article 309. 2. Each Party shall eliminate a restriction or consultationlevel on a textile or apparel good that otherwise would bepermitted under this Annex if the elimination of that restrictionis required as a result of integration of that good into the GATTpursuant to commitments undertaken by that Party under anysuccessor agreement to the Multifiber Arrangement. Section 4: Bilateral Emergency Actions (Tariff Actions)1. During the transition period only, if, as a result of thereduction or elimination of a duty provided for in thisAgreement, an originating textile or apparel good, or a good thathas been integrated into the GATT pursuant to a commitmentundertaken by a Party under any successor agreement to theMultifiber Arrangement and entered under a tariff preferencelevel set out in Appendix 6. 0, is being imported into theterritory of another Party in such increased quantities, inabsolute terms or relative to the domestic market for that good, and under such conditions as to cause serious damage, or actualthreat thereof, to a domestic industry producing a like ordirectly competitive good, the importing Party may, to the extentnecessary to remedy the damage or actual threat thereof: (a) suspend the further reduction of any rate of duty provided for under this Agreement on such good; or (b) increase the rate of duty on such good to a level not to exceed the lesser of: (i) the most-favored-nation (MFN) applied rate of duty in effect at the time the action is taken, or (ii) the MFN applied rate of duty in effect on the day immediately preceding the date of entry into force of this Agreement. 2. In determining serious damage, or actual threat thereof, theParty shall: (a) examine the effect of increased imports on the particular industry, as reflected in the following factors, none of which is necessarily decisive: changes in such relevant economic variables as output, productivity, utilization of capacity, inventories, market share, exports, wages, employment, domestic prices, profits and investment; and (b) not consider changes in technology or consumer preference as factors supporting a determination of serious damage or actual threat thereof. 3. The following conditions and limitations shall apply to anyemergency action taken pursuant to this Section: (a) a Party shall deliver without delay to any Party that may be affected written notice of intent to take such action, and shall enter into consultations with that Party upon request; (b) no action may be maintained for a period exceeding three years or, except with the consent of the Party against whose good the action is taken, have effect beyond the expiration of the transition period; (c) no action may be taken by a Party against any particular originating good more than once during the transition period; and (d) upon the termination of the action, the rate of duty shall be the rate that, according to the Schedule for that staged elimination of the tariff, would have been in effect a year after the commencement of the action, and commencing January 1 of the year following the termination of the action, at the option of the Party that has taken the action: (i) the rate of duty shall conform to the schedule in that Party's Schedule in Annex 302. 2, or (ii) the tariff shall be eliminated in equal annual stages ending on the date set forth in that Party's Schedule in Annex 302. 2 for the elimination of the tariff. 4. A Party taking an action under this Section shall provide, to the Party against whose good the action is taken, mutuallyagreed trade liberalizing compensation in the form of concessionshaving substantially equivalent trade effects on the other Party, or equivalent to the value of the additional duties expected toresult from the action. Such concessions shall be limited to thetextile and apparel goods listed in Appendix 1. 1, unless theParties otherwise agree. If the concerned Parties are unable toagree on compensation, the exporting Party may take tariff actionhaving trade effects substantially equivalent to the action takenunder this Section against any goods imported from the Party thatinitiated the action pursuant to this Section. The Party takingsuch tariff action shall only apply it for the minimum periodnecessary to achieve such substantially equivalent effects. Section 5: Bilateral Emergency Actions (QuantitativeRestrictions)1. Notwithstanding any other provision of this Agreement exceptAppendix 5. 2, a Party may take bilateral emergency action againstnon-originating goods of another Party in accordance with thisSection and the provisions of Appendix 3. 1. 2. If a Party considers that non-originating textile andapparel goods, including goods entered under the tariffpreference levels (TPLs) set out in Appendix 6. 0, are beingimported into its territory from a Party in such increasedquantities, in absolute terms or relative to the domestic market, so as to cause serious damage or actual threat thereof, to adomestic industry producing a like or directly competitive goodin the importing Party, that Party may request consultations withanother Party with a view to eliminating the serious damage oractual threat thereof. 3. The Party requesting consultations shall include in itsrequest for consultations the reasons that it considersdemonstrate that such serious damage or actual threat to itsdomestic industry is resulting from the imports of the otherParty, including the latest data concerning such damage orthreat. 4. In determining serious damage, or actual threat thereof, theParty shall apply the provisions of paragraph 2, Section 4. 5. The concerned Parties shall commence consultations within 60days following the request for consultations and shall endeavorto agree on a mutually satisfactory level of restraint on exportsof the particular good within 90 days of the request, unless theconsulting Parties agree to extend this period. In reaching amutually satisfactory level of export restraint, the consultingParties shall: (a) consider the situation in the market in the importing Party; (b) consider the history of trade in textile and apparel goods between the consulting Parties, including the previous levels of trade; and (c) ensure that textile and apparel goods imported from the territory of another Party are accorded equitable treatment as compared with treatment granted to other non-Party suppliers of like textile and apparel goods. 6. If the Parties do not agree on a mutually satisfactory levelduring the 90-day consultation period, the Party requestingconsultations may impose annual quantitative restrictions onimports of the good from the territory of the other Party for aperiod no longer than that provided for in paragraph 9, providedthat: (a) the measure shall not have effect beyond the transition period; and (b) the quantitative restriction shall not be less than the sum of (i) the quantity of the good imported into its territory from the Party that would be affected by the restriction, as reported in general import statistics, during the first 12 of the most recent 14 months preceding the month in which the request for consultations was made, and (ii) an additional 20 percent of such quantity for cotton, man-made fiber and other non-cotton vegetable fiber good categories and six percent for wool good categories. 7. The first term of any quantitative restriction imposed underparagraph 6 shall commence on the day following the request forconsultations and terminate at the end of the calendar year inwhich the quantitative restriction was imposed. Any quantitativerestriction that is imposed for a term less than 12 months andthe applicable flexibility provisions shall be prorated tocorrespond to the period of time remaining in the calendar yearin which the restriction is imposed. 8. For each successive calendar year that the quantitativerestriction imposed under paragraph 6 remains in effect, theParty imposing it shall: (a) increase by 6 percent restrictions on cotton, man-made fiber and non-cotton vegetable fiber textile and apparel goods and by 2 percent restrictions on wool textile and apparel goods; (b) accelerate the growth rate for quantitative restrictions on cotton, man-made fiber and non-cotton vegetable fiber textile and apparel goods if required by any successor agreement to the Multifiber Arrangement; and (c) apply the flexibility provisions set forth in Appendix 3. 1, as appropriate. 9. Quantitative restrictions established pursuant to paragraph6 before July 1 in any given calendar year may remain in placefor the initial prorated period in the first calendar year, plustwo additional calendar years. Such restrictions established onor after July 1 in any given calendar year may remain in placefor the initial prorated period plus three additional calendaryears. 10. No Party may take an emergency action under this Sectionwith respect to any textile or apparel non-originating good thatis already subject to a quantitative restriction. 11. No party may adopt or maintain a quantitative restrictionunder this Section on a textile or apparel good if that good hasbeen integrated into the GATT as a result of commitmentsundertaken by that Party pursuant to any successor agreement tothe Multifiber Arrangement. 12. A Party may take a bilateral emergency action after theexpiration of the transition period to deal with cases of seriousdamage to domestic industry arising from the operation of thisAgreement only with the consent of the Party against whose goodthe action would be taken. Section 6: Special Provisions A Party shall treat the textile or apparel goods of anotherParty set out in Appendix 6. 0 in accordance with the provisionstherein. Section 7: Review and Revision of Rules of Origin1. (a) The Parties shall monitor the effects of the application of the rule of origin contained in Annex 401. 1 applicable to goods of subheading 6212. 10. No earlier than 15 months after the date of entry into force of this Agreement, any Party may request consultations to seek a mutually satisfactory solution to any difficulties that it considers results from the application of that rule of origin. (b) If the Parties fail to reach a mutually satisfactory solution through consultations within 90 days of a request for consultations, any Party may request that the rule applicable to subheading 6212. 10 be changed to the rule applicable to headings 62. 06 through 62. 11 of the Harmonized System (HS) with respect to trade with the requesting Party. Any such change shall be effective no earlier than 180 days following the request therefor. The Parties shall take measures to ease any resulting administrative burden on producers. (c) Unless otherwise agreed, at any time after the initial consultations, and within the transition period of this Agreement, any Party may make one request for additional consultations under the same procedures provided in paragraphs (a) and (b). 2. (a) At the request of any Party, the Parties shall consult to consider whether specific goods should be made subject to different rules of origin in order to address issues of availability of supply of fibers, yarns or fabrics within the free trade area. (b) In the consultations, each Party shall consider all data presented by a Party showing substantial production in its territory for a good submitted for review. A legitimate claim of substantial production of the good in the territory of a Party shall be deemed to exist if that Party can show that its domestic producers are capable of supplying commercial quantities of the good in a timely manner. (c) The Parties shall make every effort to conclude consultations within sixty days. Any agreement between two or more Parties resulting from these consultations shall be considered part of this Agreement. If agreement is not reached, the Parties have recourse to the provisions of paragraph 8(a) of Appendix 6. 6. (d) In this context, at the request of any Party, the Parties shall consult to consider whether the rules of origin applicable to the following provisions in Annex 401. 1 should be amended in view of increasing availability of supply of relevant yarns or fabrics within the free trade area; (i) Canadian tariff item 5407. 60. 10, United States tariff item 5407. 60. 22 and Mexican tariff item 5407. 60. 02, (ii) provisions (i) through (viii) of the rule for subheadings 6205. 20 through 6205. 30, (iii) note 2 to Chapter 61, (iv) note 2 to Chapter 62, and (v) Canadian tariff item 6303. 92. A1, United States tariff item 6303. 92. H1 and Mexican tariff item 6303. 92. X1. 3. The Parties shall review the rules of origin applicable totextile and apparel goods within five years after the date ofentry into force of this Agreement to take into account theeffect of increasing global competition on textile and apparelgoods, and the implications of any integration into the GATT oftextile and apparel goods pursuant to any successor agreement tothe Multifiber Arrangement. The Parties shall give particularconsideration to operative rules in other economic association orintegration agreements and developments related to textile andapparel production and trade between the Parties and worldwide. Section 8: Labelling Requirements To facilitate trade in textile and apparel goods between theParties through the harmonization of domestic labellingrequirements and the elimination of unnecessary obstacles totrade resulting from differences in such requirements, theSubcommittee on Labelling of Textile and Apparel Goodsestablished under Article 913(5) shall perform the functions setout in Annex 913-D. Section 9: Trade in Worn Clothing and Other Worn Articles1. The Parties hereby establish a Committee on Trade in WornClothing comprising representatives of each Party. The purpose ofthe Committee shall be to assess the potential effects that mayresult from the elimination of restrictions, maintained by aParty prior to the date of entry into force of this Agreement, ontrade in worn clothing and other worn articles as defined in theheading 63. 09 of the HS. This Committee shall: (a) include or consult with a broadly representative group from the manufacturing and retailing sectors in each Party; and (b) act in a transparent manner and reach recommendations by consensus of all representatives involved. 2. The Committee shall develop and pursue a work program toconsider the potential benefits and risks that may be derivedfrom the elimination of restrictions on trade between the Partiesin worn clothing and other worn articles, including the effectson business and employment opportunities, and on the market fortextile and apparel goods in each Party. 3. Notwithstanding Article 309 and paragraph 2 of Section 3, aParty may maintain restrictions in effect upon the date of entryinto force of this Agreement on the importation of worn clothingand other worn articles classified under heading 63. 09 of the HS, unless the Parties agree otherwise on the basis of therecommendations presented to the Commission by the Committee onTrade in Worn Clothing. Section 10: DefinitionsFor purposes of this Annex:carryforward means the allocation to the present year of aportion of the following year's limit, which must be accountedfor by an equivalent decrease in the following year's limit;carryover means the allocation to the present year of an unusedportion of the previous year's limit;category means a grouping of textile or apparel goods, as furtherdefined in Appendix 10. 1;consensus means, when applied to recommendations of the Committeeon Trade in Worn Clothing, a recommendation is approved if nomember of the Committee formally objects to its approval;consultation level ("level"), including designated consultationlevel, means a level of exports, for a particular textile orapparel good, which may be increased in accordance with theprovisions of Appendix 3. 1 as a result of consultations requestedby the exporting Party, in contrast to a specific limit which isincreased by the specific rates provided for in Appendix 3. 1;exporting Party means the Party from whose territory textile orapparel goods are exported;flexibility provisions means the provisions set forth inparagraph 7 of Appendix 3. 1; importing Party means the Party into whose territory textile orapparel goods are imported;integrated into the GATT, when referring to a textile or apparelgood, means that good has become subject to the obligations ofthe General Agreement on Tariffs and Trade pursuant to anysuccessor agreement to the Multifiber Arrangement;non-wool fabric means fabric in chief weight of any fiber otherthan wool, except woven fabric in chief weight of cotton orman-made fiber, containing 36 percent or more by weight wool;non-wool made-up textile good means a good in chief weight of anyfiber other than wool;oxford cloth means fabrics woven as plain weave except that twoor more warp ends are woven as one (taped warp);restriction means any import or export limitation, except forcustoms duties, taxes or other duties or charges, whether madeeffective through quotas, licenses, permits, import or exportprice requirements, or any other measure;specific limit ("limit"), means a level of exports, specified inAppendix 3. 1, for a particular textile or apparel good which maybe increased only in accordance with the provisions and specificrates set forth in Appendix 3. 1;square meters equivalent (SME) means a common unit of measurementfor textile and apparel goods; primary units of measure (e. G. , units, dozens, kilograms) are converted to SMEs using theconversion factors set forth in Schedule 3. 1. 3 of Appendix 3. 1;tariff preference level (TPL) means a mechanism by which to applythe preferential rate of customs duty to imports of a particularnon-originating good up to a specified quantity;transition period means a period of 10 years from the date ofentry into force of this Agreement; andwool apparel means: (i) apparel in chief weight of wool, (ii) woven apparel in chief weight of man-made fibers containing 36 percent or more by weight of wool, and (iii) knitted or crocheted apparel in chief weight of man-made fibers containing 23 percent or more by weight of wool. ============================================================================= APPENDIX 1. 1 List of Goods Covered by Annex 300-BThe descriptions listed in this Appendix are provided for ease ofreference only; for legal purposes, coverage shall be determinedaccording to the terms of the Harmonized System. HS No. DescriptionCh. 30 Pharmaceutical Products3005 90 Wadding, gauze, bandages and the likeCh. 39 Plastics and articles thereofex 3921 12 (Woven, knitted or non-woven fabric coated, covered or laminatedwith plasticsex 3921 13ex 3921 90)Ch. 42 Articles of leather; saddlery and harness; travel goods, handbags and similar containersex 4202 12 (Luggage, handbags and flatgoods with an outer surface predominantly of textile materialsex 4202 22)ex 4202 32)ex 4202 92)Ch. 50 Silk5004 00 Silk yarn (other than yarn spun from silk waste) not for retail sale5005 00 Yarn spun from silk waste, not for retail sale 5006 00 Silk yarn and yarn spun from silk waste, for retail sale; silk- worm gut5007 10 Woven fabric of noil silk5007 20 Woven fabric of silk or silk waste, other than noil silk, 85% or more of such fibers5007 90 Woven fabric of silk, nesCh. 51 Wool, fine or coarse animal hair, horsehair yarn and fabric5105 10 Carded wool5105 21 Combed wool in fragments5105 29 Wool tops and other combed wool, other than combed wool in fragments5105 30 Fine animal hair, carded or combed5106 10 Yarn of carded wool, ò85% wool, not for retail sale5106 20 Yarn of carded, wool, decitexò192. 31, not for retail sale, nes5205 44 Cotton yarn, ò85% cotton, multiple, combed, 192. 31 >decitexò125, not for retail sale, nes5205 45 Cotton yarn, ò85% cotton, multiple, combed, 200g/m2, dyed, nes5209 41 Plain weave cotton fabric, ò85% cotton, >200g/m2, yarn dyed5209 42 Blue denim fabric of cotton, ò85% cotton, >200g/m25209 43 Twill weave cotton fabric, other than denim, ò85% cotton, >200g/m2, yarn dyed5209 49 Woven fabric of cotton, ò85% cotton, >200g/m2, yarn dyed, nes5209 51 Plain weave cotton fabric, ò85% cotton, >200g/m2, printed5209 52 Twill weave cotton fabric, ò85% cotton, >200g/m2, printed5209 59 Woven fabric of cotton, ò85% cotton, >200g/m2, printed, nes5210 11 Plain weave cotton fabric,