Problems relating to Trade and Investment on Mercosur
9. Restrictive export/import trade, duty, and customs clearance |
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Issue |
Issue details |
Requests |
Reference |
| (1) High Import Duty | - High import duty (about 14% on hydraulic machines) and addition of value added tax serve as substantial barriers to FFEs' entry into common market of the South (Mercosur). | ||
| (2) Discriminatory Application of the Harmonised Tariff Classification | - Under the going Mercosur HS code scheme, a substantial difference in customs duty results from the device technology so that DLP projector (incorporating the U.S. manufacturer's core technology) classified under 8528.69.10. attracts 0% customs duty, while 16% customs duty applies to 3-LCD type DLP projector (incorporating the Japanese affiliated manufacturer's 3LCD core technology) classified under 8528.61.00. [Reference]: Current Mercosur HS code on projector: Remarks: DMD is also called DLP projector (digital light processing) - Projectors: 8528.61.00: -- Of a kind solely or principally used in an automatic data processing system of heading 8471, 16% -- Other: 8528.69.10: --- With digital micromirror device (DMD) technology, Free 8528.69.90: --- Other, 20% |
- It is requested that Mercosur removes bias from its HS scheme and applies 0% customs duty also on the 3-LCD type projector. | |
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