U.S. - Chile Free Trade Agreement

U.S.-Chile Free trade Agreement

U.S.-Chile Free trade Agreement

The U.S.-Chile Free Trade Agreement (FTA) went into force in 2004 and, as of January 1, 2015, all qualifying products are duty free. To be eligible for tariff-free treatment under the FTA, products must meet the relevant rules of origin. The FTA also provides favorable access for U.S. service suppliers. It guarantees protection to U.S. investors and U.S. copyrights, trademarks, and patents registered in Chile. In addition, Chile has opened up significant government procurements to U.S. bidders.                               

Rules of Origin

For goods that are not wholly obtained, you must meet the product’s rule of origin, usually through Tariff Shift or Regional Value Content. Learn more about how to Read and Apply FTA Rules of Origin. The rules of origin may be found in the final text of the FTA. Occasionally, a particular rule of origin may be revised. For the most updated version of the ROOs consult the Harmonized Tariff Schedule of the United States, General Notes -- General Note 26. 

  • Accumulation may allow the producer to reduce the value of the non-originating materials used in the production of the good.  
  • De Minimis allows the exporter to disregard a very small percentage of non-originating materials the do no meet a tariff shift rule.
  • Direct Shipment are goods which must be shipped directly from one FTA party to another FTA party.
  • Fungible Goods and Materials refers to goods or materials (components) that are interchangeable for commercial purposes and whose properties are essentially identical.
  • Indirect Materials are goods used in the production, testing or inspection of a good but not physically incorporated into the good.

 

Claiming/Documenting Origin

No specific certificate is required for the U.S. – Chile FTA. You may be requested by the importer or the National Customs Service of Chile to provide information to support a claim of preferential treatment. More information on what to include can be found in Free Trade Agreements Certificates of Origin.

Key Links/Resources