Mexico Amends Textile/Apparel TPL Allocation Procedures
[Editor’s note: This article originally appeared in the Jan. 9, 2014, issue of the Advisor, a weekly publication of the ST&R-TAP service, and is reprinted here with permission.]
Mexico’s Ministry of Economy recently published a regulation in the Diario Oficial de la Federación amending the tariff preference level allocation procedures for certain non-NAFTA-originating textile and apparel products. The regulation confirms that the TPLs will continue to be allocated on a first-come, first-served basis, with the exception of the TPLs for certain textile and apparel products imported from Canada, which will continued to be managed by Canadian authorities through the issuance of certificates of eligibility. Allocation amounts for TPLs distributed on a first-come, first-served basis will be the lesser of (1) the requested amount, (2) the amount indicated on the commercial invoice and the bill of lading, waybill or airway bill, as applicable, and (3) the remaining (unused) TPL limit.
Interested parties must register in the applicable textile and apparel registry through the electronic single window or by using form SE-03-036-A. The ministry will issue a registration receipt no later than seven business days from the date of submission of the application if submitted in physical form, and no later than two business days if the application is submitted electronically. Parties with a registration receipt must then request the issuance of a certificate of eligibility for each shipment using the electronic single window or form SE-03-041-A and attaching the commercial invoice and the bill of lading, waybill or airway bill.
Eligibility certificates for export TPLs will be valid for 10 days from their date of issuance, while eligibility certificates for import TPLs will be valid through Dec. 31 of the year of issuance. Parties who fail to utilize a certificate for an export TPL must request its cancelation and return the original copy prior to its expiration date. The regulation establishes penalties in the form of future allocation deductions for parties who return a certificate but fail to cancel it by the required deadline, as well as parties who fail to cancel and return a certificate. Mexican authorities will relay the eligibility certificate information declared on the export declaration to U.S. Customs and Border Protection or the Canada Border Services Agency, as appropriate.
The new allocation procedures in Spanish are available here.