Companies can design their international supply chain to reduce customs duties and other expenses by sourcing goods originating in a Free Trade Area. The United States has trade agreements ranging from the US-Mexico-Canada Free Trade Agreement ("USMCA") and the U.S.-Central America-Dominican Republic FTA ("CAFTA-DR") to bilateral agreements with South Korea, Australia, Chile, Singapore, Jordan, Israel, Moroco, Bahrain and other countries. Companies exporting to customers who may be seeking to claim preferences under these agreements must establish compliance systems to gather the necessary information and document the origin of their products. Similarly, importers need to have the required documentation or knowledge to support a claim for duty-free entry.
Barnes/Richardson lawyers have helped many companies establish and defend compliance systems for FTAs. This experience includes very complex programs including automotive rules of origin, averaging, fungible materials, and other details of the rules of origin. We have also worked with companies undergoing governmental verifications of the status of their goods.