Common use of Elimination of Duties Clause in Contracts

Elimination of Duties. 1. Each Party shall eliminate its customs duties and charges having equivalent effect on originating goods of the other Party in accordance with Annex 2A. 2. Neither Party shall increase an existing customs duty and charges having equivalent effect or introduce any such new duties on imports of originating goods of the other Party. 3. Upon request by any Party, the Parties shall consult each other to consider the possibility of accelerating the elimination of customs duties and charges having equivalent effect as set out in Annex 2A. An agreement by the Parties to accelerate the elimination of customs duties and charges having equivalent effect on a good, when approved by each Party in accordance with its applicable legal procedures, shall supersede the terms established for the good in this Article and Annex 2A. 4. Nothing in this Chapter shall prevent a Party from imposing at any time on the importation or exportation of any good of the other Party: (a) a charge equivalent to an internal tax, such as excise duties and other taxes, levied at the time of importation or exportation, imposed consistently with Article 2.1; or (b) fees or other charges such as charges levied for a specific service such as demurrage, warehousing, transport, loading and unloading charges that: (i) are limited in amount to the approximate cost of services rendered; and (ii) do not represent a direct or indirect protection for domestic goods or a taxation of imports for fiscal purposes.