Common use of Qualifying Value Content Clause in Contracts

Qualifying Value Content. 1. For the purposes of Annex 2 (Product Specific Rules), Qualifying Value Content (“QVC”) of a good shall be calculated as follows: QVC = FOB – VNM X 100 where: QVC is the qualifying value content of a good, expressed as a percentage. VNM is the value of the non-originating materials. The VNM shall be: (a) the CIF value at the time of importation of the materials; or (b) the earliest ascertained price paid or payable for non-originating materials, including materials of undetermined origin in the territory of the Party where the working or processing takes place. When, in the territory of a Party, the producer of a good acquires non- originating materials within that Party, the value of such materials shall not include freight, insurance, packing costs and any other costs incidental to the transport of those materials from the location of the supplier to the location of production. 2. The value of the goods under this Chapter shall be determined in accordance with the Customs Valuation Agreement.

Qualifying Value Content. 1. For the purposes of Annex 2 (Product Specific Rules), Qualifying Value Content (“QVC”) of a good shall be calculated as follows: QVC = FOB – VNM X 100 where: QVC is the qualifying value content of a good, expressed as a percentage. VNM is the value of the non-originating materials. The VNM shall be: (a) the CIF value at the time of importation of the materials; or (b) the earliest ascertained price paid or payable for non-originating materials, including materials of undetermined origin in the territory of the Party where the working or processing takes place. When, in the territory of a Party, the producer of a good acquires non- non-originating materials within that Party, the value of such materials shall not include freight, insurance, packing costs and any other costs incidental to the transport of those materials from the location of the supplier to the location of production. 2. The value of the goods under this Chapter shall be determined in accordance with the Customs Valuation Agreement.