Alternative staging regimes for automobiles
The CUSMA includes new rules of origin to claim preferential treatment for automotive goods, including higher regional value content thresholds, mandatory requirements to produce core parts in the region, mandatory steel and aluminum purchasing requirements, and a labor value content requirement. Article 8 of the CUSMA Automotive Appendix to the Chapter on Rules of Origin provides for alternative staging regimes (ASRs) for passenger vehicles or light trucks that permit a longer period of transition to help ensure that future production is able to comply with the new rules. Vehicles covered by an ASR are eligible for preferential tariff treatment based on the rules of origin set out in Article 8 (Transitions) of the Agreement and Section 19 of the CUSMA Rules of Origin Regulations.
The following companies have been approved to import certain vehicles into Canada from Mexico and the United States on the basis of an ASR.
- Cooperation Manufacturing Plant Aguascalientes (COMPAS, for certain Mercedes-Benz models)
- Fiat Chrysler Automobiles
- Ford Motor Company
- Honda Motor Company
- Hyundai Motor Company
- Kia Motors Manufacturing Georgia
- Kia Motors Mexico
- Mazda North America
- Nissan Motor Company
- Tesla, Inc.
- Toyota Motor Corporation
- Volkswagen
- Volvo Cars
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