Free Trade Agreement Between
the Government of Canada and the Government of the Republic of Costa Rica
Preamble and Chapters 1-3

[Chapters 4 > 5-15 ]

THE GOVERNMENT OF CANADA AND THE GOVERNMENT OF THE REPUBLIC OF COSTA RICA, resolved to:

STRENGTHEN the special bonds of friendship and cooperation among their peoples;

CONTRIBUTE to the harmonious development and expansion of world and regional trade and provide a catalyst to broader international cooperation;

CREATE new employment opportunities and improve working conditions and living standards in their respective territories;

RECOGNIZE the differences in the level of development and the size of the Parties= economies and create opportunities for economic development;

CREATE an expanded and secure market for the goods and services produced in their territories;

REDUCE distortions to trade;

ESTABLISH clear and mutually advantageous rules governing their trade;

ENSURE a predictable commercial framework for business planning and investment;

RECOGNIZE the importance of trade facilitation in promoting efficient and transparent procedures to reduce costs, and to ensure predictability, for importers and exporters of the Parties;

BUILD on their respective rights and obligations under the WTO Agreement and other multilateral and bilateral instruments of cooperation;

PROMOTE regional integration with an instrument that will contribute to the establishment of the Free Trade Area of the Americas (FTAA);

ENHANCE the competitiveness of their firms in global markets;

ENSURE that the benefits of trade liberalization are not undermined by anticompetitive activities;

PROMOTE sustainable development;

UNDERTAKE each of the preceding in a manner consistent with environmental protection and conservation;

PRESERVE their flexibility to safeguard the public welfare;

RECOGNIZE that States have the ability to preserve, develop and implement their cultural policies for the purpose of strengthening cultural diversity; and

RECOGNIZE the increased cooperation between our countries on labour and environmental cooperation;

HAVE AGREED as follows:

PART ONE: GENERAL PART

The Parties to this Agreement, consistent with Article XXIV of the General Agreement on Tariffs and Trade 1994 which is part of the Marrakesh Agreement Establishing the World Trade Organization, hereby establish a free trade area.

1. The objectives of this Agreement are to:

(a) establish a free trade area in accordance with this Agreement;
(b) promote regional integration through an instrument that contributes to the establishment of the Free Trade Area of the Americas (FTAA) and to the progressive elimination of barriers to trade and investment;
(c) create opportunities for economic development;
(d) eliminate barriers to trade in, and facilitate the cross-border movement ofgoods between the territories of the Parties;
(e) increase substantially investment opportunities in the territories of the Parties;
(f) facilitate trade in services and investment with a view to developing and deepening the Parties’ relations under this Agreement;
(g) promote conditions of fair competition in the free trade area;
(h) establish a framework for further bilateral, regional and multilateral cooperation to expand and enhance the benefits of this Agreement; and
(i) create effective procedures for the implementation and application of this Agreement, for its joint administration and for the resolution of disputes.

2. The Parties shall interpret and apply the provisions of this Agreement in the light of its objectives set out in paragraph 1 and in accordance with applicable rules of international law.

1. The Parties affirm their existing rights and obligations with respect to each other under the Marrakesh Agreement Establishing the World Trade Organization and other agreements to which such Parties are party.

2. In the event of any inconsistency between this Agreement and such other agreements, this Agreement shall prevail to the extent of the inconsistency, except as otherwise provided in this Agreement.

Article I.4 Relation to Environmental and Conservation Agreements

In the event of any inconsistency between this Agreement and the specific trade obligations set out in:

(a) the Convention on International Trade in Endangered Species of Wild Fauna and Flora, done at Washington, March 3, 1973, as amended June 22, 1979;

(b) the Montreal Protocol on Substances that Deplete the Ozone Layer, done at Montreal, September 16, 1987, as amended June 29, 1990; or

(c) the Basel Convention on the Control of Transboundary Movements of Hazardous Wastes and Their Disposal, done at Basel, March 22, 1989, such obligations shall prevail to the extent of the inconsistency, provided that where a Party has a choice among equally effective and reasonably available means of complying with such obligations, the Party chooses the alternative that is the least inconsistent with the other provisions of this Agreement.

Article I.5 Extent of Obligations

Each Party is fully responsible for the observance of all provisions of this Agreement and shall take such reasonable measures as may be available to it to ensure observance of the provisions of this Agreement by the regional and local governments and authorities within its territory.

Chapter II: General Definitions

citizen means a citizen as defined in Annex II.1.1 for the Party specified in that Annex;

Commission means the Free Trade Commission established under Article XIII.1 (The Free Trade Commission);

Coordinators means the Free Trade Coordinators established under Article XIII.2.1 (The Free Trade Coordinators);

Customs Valuation Agreement means the Agreement on Implementation of Article VII of the General Agreement on Tariffs and Trade 1994 , including its interpretative notes, which is part of the WTO Agreement;

days means calendar days, including weekends and holidays;

Dispute Settlement Understanding (DSU) means the Understanding on Rules and Procedures Governing the Settlement of Disputes , which is part of the WTO Agreement;

enterprise means any entity constituted or organized under applicable law, whether or not for profit, and whether privately-owned or governmentally-owned, including any corporation, trust, partnership, sole proprietorship, joint venture or other association;

existing means in effect on the date of entry into force of this Agreement;

GATT 1994 means the General Agreement on Tariffs and Trade 1994, which is part of the WTO Agreement;

goods of a Party means domestic products as these are understood in the GATT 1994 or such goods as the Parties may agree, and includes originating goods of that Party;

Harmonized System (HS) means the Harmonized Commodity Description and Coding System , including its General Rules of Interpretation, Section Notes and Chapter Notes;

heading means the four first digits in the tariff classification number under the Harmonized System;

measure includes any law, regulation, procedure, requirement or practice;

national means a natural person who is a citizen or permanent resident of a Party;

originating means qualifying under the rules of origin set out in Chapter IV (Rules of Origin);

person means a natural person or an enterprise;

person of a Party means a national, or an enterprise of a Party;

province means a province of Canada, and includes the Yukon Territory and the Northwest Territories and Nunavut and their successors;

Secretariat means the Secretariat established under Article XIII.3.1 (The Secretariat);

subheading means the first six digits in the tariff classification number under the Harmonized System;

tariff classification means the classification of a good or material under a chapter, heading or subheading or tariff subheading;

tariff elimination schedule means the provisions of Annex III.2.2 (Tariff Elimination Schedule);

territory means for a Party the territory of that Party as set out in Annex II.1.1 (Country-Specific Definitions); and

WTO Agreement means the Marrakesh Agreement Establishing the World Trade Organization , done on April 15, 1994, or any successor agreement to which both Parties are a party.

2. For purposes of this Agreement, unless otherwise specified, a reference to a province includes local governments of that province.

3. Country-specific definitions of national government are set out in Annex II.1.1(Country-Specific Definitions).

Annex II.1.1 

Country-Specific Definitions

For purposes of this Agreement, unless otherwise specified: 

citizen means:

(a) with respect to Canada, a natural person who is a citizen of Canada under the Citizenship Act, R.S.C. 1985, c. C-29, as amended from time to time or under any successor legislation; and

(b) with respect to Costa Rica, the Costa Ricans by birth, according to Article 13 of the Political Constitution of the Republic of Costa Rica and the Costa Ricans by naturalization, according to Article 14 of the Political Constitution of the Republic of Costa Rica;

national government means:

(a) with respect to Canada, the Government of Canada; and

(b) with respect to Costa Rica, the Government of the Republic of Costa Rica; and

territory means:

(a) with respect to Canada, the territory to which its customs laws apply, including any areas beyond the territorial seas of Canada within which, in accordance with international law and its domestic law, Canada may exercise rights with respect to the seabed and subsoil and their natural resources; and

(b) with respect to Costa Rica, the territory and air space, and the maritime areas, including the seabed and subsoil adjacent to the outer limit of the territorial sea, over which it exercises, in accordance with international law and its domestic law, sovereign rights with respect to the natural resources of such areas.

PART TWO: Trade in Goods

Chapter III: National Treatment and Market Access of Goods

Article III.1    Scope and Coverage

This Chapter applies to trade in goods of a Party, including goods covered by Annex III.1 (Textile and Apparel Goods), except as provided in such Annex.

Section I - National Treatment

Article III.2     National Treatment

1. Each Party shall accord national treatment to the goods of the other Party in accordance with Article III of the GATT 1994, including its interpretative notes, and to this end Article III of the GATT 1994 and its interpretative notes, or any equivalent provision of a successor agreement to which both Parties are party, are incorporated into and made part of this Agreement.

2. The provisions of paragraph 1 regarding national treatment shall mean, with respect to a province, treatment no less favourable than the most favourable treatment accorded by such province to any like, directly competitive or substitutable goods, as the case may be, of the Party of which it forms a part.¹

3. Paragraphs 1 and 2 do not apply to the measures set out in Annex III.2 (Exceptions to Articles III.2 and III.7).

Section II - Tariffs

Article III.3    Tariff Elimination²

1. Except as otherwise provided in this Agreement, neither Party may increase any existing customs duty, or adopt any customs duty, on a good.³

2. Except as otherwise provided in this Agreement, each Party shall progressively eliminate its customs duties on goods in accordance with its Schedule to Annex III.3.1 (Tariff Elimination)⁴ and Annex III.3.2 (Special Safeguards).

3. During the tariff elimination process, the Parties agree to apply to originating goods traded between them, the lesser of the customs duties resulting from a comparison between the rate established in accordance with the Tariff Elimination Schedule, and the existing rate pursuant to Article II of GATT 1994.

4. On the request of a Party, the Parties shall consult to consider accelerating the elimination of customs duties set out in their Schedules or incorporating into one Party’s Tariff Elimination Schedule goods that are not subject to the elimination schedule. An agreement between the Parties to accelerate the elimination of a customs duty on a good or to include a good in the Tariff Elimination Schedule shall supersede any duty rate or staging category determined pursuant to their Schedules for such good when approved by each such Party in accordance with its applicable legal procedures.

5. Except as otherwise provided in this Agreement, either Party may adopt or maintain import measures to allocate in-quota imports made pursuant to a tariff rate quota set out in Annex III.3.1 (Tariff Elimination), provided that such measures do not have trade restrictive effects on imports additional to those caused by the imposition of the tariff rate quota.

6. On written request of either Party, a Party applying or intending to apply measures pursuant to paragraph 5 shall consult to review the administration of those measures.

Article III.4     Temporary Admission of Goods

1. Each Party shall grant duty-free temporary admission for:

(a) professional equipment necessary for carrying out the business activity, trade or profession of a business person who qualifies for temporary entry pursuant to Chapter X (Temporary Entry);
(b) equipment for the press or for sound or television broadcasting and cinematographic equipment;
(c) goods imported for sports purposes and goods intended for display or demonstration; and
(d) commercial samples and advertising films;

2. Except as otherwise provided in this Agreement, neither Party may condition the duty-free temporary admission of a good referred to in paragraph 1(a), (b) or (c), other than to require that such good:

(a) be imported by a national or resident of the other Party who seeks temporary entry;
(b) be used solely by or under the personal supervision of such person in the exercise of the business activity, trade or profession of that person;
(c) not be sold or leased while in its territory;
(d) be accompanied by a bond in an amount no greater than 110 per cent of the charges that would otherwise be owed on entry or final importation, or by another form of security, releasable on exportation of the good, except that a bond for customs duties shall not be required for an originating good;⁵
(e) be capable of identification when exported;
(f) be exported on the departure of that person or within such other period of time as is reasonably related to the purpose of the temporary admission; and
(g) be imported in no greater quantity than is reasonable for its intended use.

(a) be imported solely for the solicitation of orders for goods, or services provided from the territory, of the other Party or a non-Party;
(b) not be sold, leased or put to any use other than exhibition or demonstration while in its territory;
(c) be capable of identification when exported;
(d) be exported within such period as is reasonably related to the purpose of the temporary admission; and
(e) be imported in no greater quantity than is reasonable for its intended use.

(a) the customs duty and any other charge that would be owed on entry or final importation of the good; and
(b) any applicable criminal, civil or administrative penalties that the circumstances may warrant.

(a) shall prevent a vehicle or container used in international traffic that enters its territory from the territory of the other Party to exit its territory on any route that is reasonably related to the economic and prompt departure of such vehicle or container; 
(b) may require any bond or impose any penalty or charge solely by reason of any difference between the port of entry and the port of departure of a vehicle or container; 
(c) may condition the release of any obligation, including any bond, that it imposes in respect of the entry of a vehicle or container into its territory on its exit through any particular port of departure; and 
(d) may require that the vehicle or carrier bringing a container from the territory of the other Party into its territory be the same vehicle or carrier that takes such container to the territory of the other Party.

6. For purposes of paragraph 5, "vehicle" means a truck, a truck tractor, tractor, trailer unit or trailer, a locomotive, or a railway car or other railroad equipment.

Article III.5    Duty-Free Entry of Certain Commercial Samples and Printed Advertising Materials 

Each Party shall grant duty-free entry to commercial samples of negligible value, and to printed advertising materials, imported from the territory of the other Party, regardless of their origin, but may require that: 

(a) such samples be imported solely for the solicitation of orders for goods, or services provided from the territory, of the other Party or a non-Party; or 
(b) such advertising materials be imported in packets that each contain no more than one copy of each such material and that neither such materials nor packets form part of a larger consignment. 

Article III.6    Goods Re-Entered after Repair or Alteration 

1. Neither Party may apply a customs duty to a good, regardless of its origin, that re-enters its territory after that good has been exported from its territory to the territory of the other Party for repair or alteration, regardless of whether such repair or alteration could be performed in its territory.⁶ 

2. Neither Party may apply a customs duty to a good, regardless of its origin, imported temporarily from the territory of the other Party for repair or alteration. 

Section III - Non-Tariff Measures 

Article III.7    Import and Export Restrictions 

1. Except as otherwise provided in this Agreement, neither Party may adopt or maintain any prohibition or restriction on the importation of any good of the other Party or on the exportation or sale for export of any good destined for the territory of the other Party, except in accordance with Article XI of the GATT 1994, including its interpretative notes, and to this end Article XI of the GATT 1994 and its interpretative notes, or any equivalent provision of a successor agreement to which both Parties are party, are incorporated into and made a part of this Agreement. 

2. The Parties understand that the GATT 1994 rights and obligations incorporated by paragraph 1 prohibit, in any circumstances in which any other form of restriction is prohibited, export price requirements and, except as permitted in enforcement of countervailing and antidumping orders and undertakings, import price requirements. 

3. In the event that a Party adopts or maintains a prohibition or restriction on the importation from or exportation to a non-Party of a good, nothing in this Agreement shall be construed to prevent the Party from: 

(a) limiting or prohibiting the importation from the territory of the other Party of such good of that non-Party; or 
(b) requiring as a condition of export of such good of the Party to the territory of the other Party, that the good not be re-exported to the non-Party, directly or indirectly, without being consumed in the territory of the other Party.

4. In the event that a Party adopts or maintains a prohibition or restriction on the importation of a good from a non-Party, the Parties, on request of the other Party, shall consult with a view to avoiding undue interference with or distortion of pricing, marketing and distribution arrangements in the other Party. 

5. Paragraphs 1 through 4 shall not apply to the measures set out in Annex III.2 (Exceptions to Articles III.2 and III.7). 

Article III.8    Wine and Distilled Spirits 

1. Neither Party may adopt or maintain any measure requiring that distilled spirits imported from the territory of the other Party for bottling be blended with any distilled spirits of the Party. 

2. Annex III.8 (Wine and Distilled Spirits) applies to other measures relating to wine and distilled spirits. 

Article III.9    Geographical Indications 

The Parties shall protect the geographical indications for their products according to their rights and obligations set out in the Agreement on Trade Related Intellectual Property Rights, Annex 1C of the WTO Agreement, and any successor agreement to which both Parties are party. 

Article III.10    Export Taxes 

Subject to the provisions in Annex III.10 (Export Taxes), neither Party may adopt or maintain any duty, tax or other charge on the export of any good to the territory of the other Party, unless such duty, tax or charge is adopted or maintained on any such good when destined for domestic consumption. 

Article III.11    Other Export Measures 

1. Except as set out in Annex III.2 (Exceptions to Articles III.2 and III.7), a Party may adopt or maintain a restriction otherwise justified under Articles XI.2 (a) or XX (g), (i) or (j) of the GATT 1994 with respect to the export of a good of the Party to the territory of the other Party, only if: 

(a) the restriction does not reduce the proportion of the total export shipments of the specific good made available to the other Party relative to the total supply of that good of the Party maintaining the restriction as compared to the proportion prevailing in the most recent 36-month period for which data are available prior to the imposition of the measure, or in such other representative period on which the Parties may agree;
 (b) the Party does not impose a higher price for exports of a good to the other Party than the price charged for such good when consumed domestically, by means of any measure, such as licenses, fees, taxation and minimum price requirements. The foregoing provision does not apply to a higher price that may result from a measure taken pursuant to subparagraph (a) that only restricts the volume of exports; and 
(c) the restriction does not require the disruption of normal channels of supply to the other Party or normal proportions among specific goods or categories of goods supplied to the other Party.

2. The Parties shall cooperate in the maintenance and development of effective controls on the export of each other's goods to a non-Party in implementing this Article. 

Article III.12    Export Subsidies on Agricultural Goods 

1. The Parties share the objective of the multilateral elimination of export subsidies for agricultural goods and shall cooperate in an effort to achieve such an agreement.

 2. Notwithstanding any other provisions of this Agreement, the Parties agree to eliminate, as of the date of entry into force of this Agreement, any form of export subsidy for agricultural goods destined for the other Party, and to prevent the reintroduction of such subsidies in any form. 

Article III.13    Domestic Support for Agricultural Goods 

1. The Parties recognize that domestic support measures can be of crucial importance to their agricultural sectors but may also have distorting effects on the production and trade of agricultural goods. 

2. The Parties agree to cooperate in the WTO negotiations on agriculture to achieve: 

(a) the maximum possible reduction or elimination of production and trade-distorting domestic support, including support under “production limiting” or “blue box” programs; 
(b) an overall limit on the amount of domestic support of all types (“green”, “blue” and “amber”); 
(c) a review of the criteria for the “green box” category to ensure that “green” support does not distort production and trade; and 
(d) agreement that “green box” support should not be countervailable. 

3. Pending the elimination of trade-distorting domestic support measures, if either Party maintains such a measure which the other Party considers to be distortive of bilateral trade under this Agreement, the Party applying the measure shall, at the request of the other Party, consult with a view to making a best efforts endeavour to avoid nullification or impairment of concessions granted under this Agreement.

Section IV - Consultations  

Article III.14 Consultations and Committee on Trade in Goods and Rules of Origin 

1. The Parties hereby establish a Committee on Trade in Goods and Rules of Origin, comprising representatives of each Party. 

2. The Committee shall meet periodically, and at any other time on the request of either Party or the Commission, to ensure the effective implementation and administration of this Chapter, Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VI (Emergency Action), Chapter IX (Trade Facilitation and Additional Provisions) and any Uniform Regulations. In this regard, the Committee shall: 

(a) monitor the implementation and administration by the Parties of this Chapter, Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VI (Emergency Action), Chapter IX (Trade Facilitation and Additional Provisions) and any Uniform Regulations to ensure their uniform interpretation; 
(b) at the request of either party, review any proposed modification of or addition to this Chapter, Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VI (Emergency Action), Chapter IX (Trade Facilitation and Additional Provisions) or any Uniform Regulations; 
(c) recommend to the Commission any modification of or addition to this Chapter, Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VI (Emergency Action), Chapter IX (Trade Facilitation and Additional Provisions) or any Uniform Regulations and to any other provision of this Agreement as may be required to conform with any change to the Harmonized System; and 
(d) consider any other matter relating to the implementation and administration by the Parties of this Chapter, Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VI (Emergency Action), Chapter IX (Trade Facilitation and Additional Provisions) and any Uniform Regulations referred to it by: 

(i) a Party; 
(ii) the Customs Sub-Committee established under Article V.13 (The Customs Sub-Committee); or 
(iii) the Sub-Committee on Agriculture established under paragraph 4. 

3. If the Committee fails to resolve a matter referred to it pursuant to paragraph 2 (b) or (d) within 30 days of such referral, either Party may request a meeting of the Commission under Article XIII.1 (The Free Trade Commission). 

4. The Parties hereby establish a Sub-Committee on Agriculture that shall: 

(a) provide a forum for the Parties to consult on issues relating to market access for agricultural goods; 
(b) monitor the implementation and administration of this Chapter, Chapter IV (Rules of Origin), Chapter VI (Emergency Action), Chapter IX (Trade Facilitation and Additional Provisions) and any Uniform Regulations as they affect agricultural goods; 
(c) meet periodically or whenever so requested by either Party; 
(d) refer to the Committee any matter under sub-paragraph (b) on which it has been unable to reach agreement; 
(e) submit to the Committee for its consideration any agreement reached under this paragraph; 
(f) report to the Committee; and 
(g) follow-up and promote cooperation in matters relating to agricultural goods. 

5. Each Party shall to the greatest extent practicable, take all necessary measures to implement any modification of or addition to this Chapter, Chapter IV (Rules of Origin), Chapter V (Customs Procedures), Chapter VI (Emergency Action), Chapter IX (Trade Facilitation and Additional Provisions) and any Uniform Regulations within 180 days of the date on which the Commission agrees on the modification or addition. 

6. The Parties shall convene on the request of either Party a meeting of their officials responsible for customs, immigration, inspection of food and agricultural products, border inspection facilities, and regulation of transportation for the purpose of addressing issues related to movement of goods through the Parties' ports of entry. 

7. Nothing in this Chapter shall be construed to prevent a Party from issuing a determination of origin or an advance ruling relating to a matter under consideration by the Committee or from taking such other action as it considers necessary, pending a resolution of the matter under this Agreement. 

Article III.15            Customs Valuation Agreement 

The Customs Valuation Agreement and any successor Agreement shall govern the customs valuation rules applied by the Parties to their reciprocal trade. The Parties agree that they will not make use in their reciprocal trade of the options and reservations permitted under Article 20 and paragraphs 2, 3 and 4 of Annex III of the Customs Valuation Agreement. 

Section V - Definitions 

Article III.16               Definitions 

For purposes of this Chapter: 

advertising films means recorded visual media, with or without sound-tracks, consisting essentially of images showing the nature or operation of goods or services offered for sale or lease by a person established or resident in the territory of any Party, provided that the films are of a kind suitable for exhibition to prospective customers but not for broadcast to the general public, and provided that they are imported in packets that each contain no more than one copy of each film and that do not form part of a larger consignment; 

agricultural goods means the products listed in Annex 1 of the WTO Agreement on Agriculture with any subsequent changes agreed in the WTO to be automatically effective for this Agreement.

commercial samples of negligible value means commercial samples having a value, individually or in the aggregate as shipped, of not more than one U.S. dollar, or the equivalent amount in the currency of either of the Parties, or so marked, torn, perforated or otherwise treated that they are unsuitable for sale or for use except as commercial samples; 

consumed means: 

(a) actually consumed; or 
(b) further processed or manufactured so as to result in a substantial change in value, form or use of the good or in the production of another good; 

customs duty includes any customs or import duty and a charge of any kind imposed in connection with the importation of a good, including any form of surtax or surcharge in connection with such importation, but does not include any: 

(a) charge equivalent to an internal tax imposed consistently with Article III:2 of the GATT 1994, or any equivalent provision of a successor agreement to  which both Parties are party, in respect of like, directly competitive or substitutable goods of the Party, or in respect of goods from which the imported good has been manufactured or produced in whole or in part; 
(b) antidumping measure or countervailing duty that is applied pursuant to a Party's domestic law and not applied inconsistently with Chapter VII (Antidumping Measures); 
(c) fee or other charge in connection with importation commensurate with the cost of services rendered; and 
(d) premium offered or collected on an imported good arising out of any tendering system in respect of the administration of quantitative import restrictions, tariff rate quotas or tariff preference levels;

distilled spirits include distilled spirits and distilled spirit-containing beverages; 

duty-free means free of customs duties; 

export subsidies means subsidies contingent on export performance as defined in Article 1.(e) of the WTO Agreement on Agriculture, with any subsequent changes agreed in the WTO to be automatically effective for this Agreement; 

goods imported for sports purposes means sports requisites for use in sports contests, demonstrations or training in the territory of the Party into whose territory such goods are imported;

goods intended for display or demonstration includes their component parts, ancillary apparatus and accessories; printed advertising materials means those goods classified in Chapter 49 of the Harmonized System, including brochures, pamphlets, leaflets, trade catalogues, yearbooks published by trade associations, tourist promotional materials and posters, that are used to promote, publicize or advertise a good or service, are essentially intended to advertise a good or service, and are supplied free of charge; 

repair or alteration does not include an operation or process that either destroys the essential characteristics of a good or creates a new or commercially different good; ⁷  

total export shipments means all shipments from total supply to users located in the territory of the other Party; 

total supply means all shipments, whether intended for domestic or foreign users, from: 

(a) domestic production; 
(b) domestic inventory; and 
(c) other imports as appropriate.

Annex III.1

Textile and Apparel Goods

Section 1:    Scope and Coverage ¹

1. This Annex applies to the textile and apparel goods set out in Appendix III.1.1.1.

2. In the event of any inconsistency between this Agreement and the WTO Agreement on Textiles and Clothing (ATC) or any other existing or future agreement applicable to trade in textile or apparel goods, this Agreement shall prevail to the extent of the inconsistency, unless the Parties agree otherwise.

Section 2:    Duty-free Treatment of Certain Goods

The Parties may identify at any time particular textile and apparel goods that they mutually agree fall within:

(a) hand-loomed fabrics of a cottage industry;
(b) hand-made cottage industry goods made of such hand-loomed fabrics; or
(c) traditional folklore handicraft goods.

Section 3:    Elimination of Existing Quantitative Restrictions

Canada will eliminate, at the entry into force of this agreement, the existing restriction of Costa Rican exports on underwear adopted under the rules of the Multi-Fibre Arrangement and lately notified to the WTO, under the rules of the ATC.

Section 4:    Bilateral Emergency Actions (Tariff Actions)²

1. Subject to paragraphs 2 through 5 and during the transition period only, if, as a result of the reduction or elimination of a duty provided for in this Agreement, a textile or apparel good originating in the territory of a Party, or a good that has been integrated into the WTO and entered under a tariff preference level set out in Appendix 6.1, is being imported into the territory of the other Party in such increased quantities, in absolute terms or relative to the domestic market for that good, and under such conditions as to cause serious damage, or actual threat thereof, to a domestic industry producing a like or directly competitive good, the importing Party may, to the minimum extent necessary to remedy the damage or actual threat thereof:

(a) suspend the further reduction of any rate of duty provided for under this Agreement on the good; or
(b) increase the rate of duty on the good to a level not to exceed the lesser of:

(i) the most-favoured-nation (MFN) applied rate of duty in effect at the time the action is taken; and
(ii) the MFN applied rate of duty in effect on the day immediately preceding the date of entry into force of this Agreement.

(a) shall examine the effect of increased quantities of those imports on the state of the particular industry, as reflected in changes in such relevant economic variables as output, productivity, utilization of capacity, inventories, market share, exports, wages, employment, domestic prices, profits and investment, none of which, either alone or combined with other factors is necessarily decisive; and
(b) shall not consider changes in technology or consumer preference as factors supporting a determination of serious damage or actual threat thereof.

4. The following conditions and limitations apply to any emergency action taken under this Section:

(a) no action may be maintained for a period exceeding three years or, except with the consent of the Party against whose good the action is taken, have effect beyond the expiration of the transition period;
(b) no action may be taken by a Party against any particular good originating in the territory of the other Party more than once during the transition period; and
(c) on termination of the action, the rate of duty shall be the rate that, according to the Schedule for the staged elimination of the tariff, would have been in effect one year after the initiation of the action, and beginning January 1 of the year following the termination of the action, at the option of the Party that has taken the action:

(i) the rate of duty shall conform to the applicable rate set out in that Party's Schedule to Annex III.3.1 (Tariff Elimination); or
(ii) the tariff shall be eliminated in equal annual stages ending on the date set out in that Party's Schedule to Annex III.3.1 (Tariff Elimination) for the elimination of the tariff.

5. The Party taking an action under this section shall provide to the other Party mutually agreed trade liberalizing compensation in the form of concessions having substantially equivalent trade effects or equivalent to the value of the additional duties expected to result from the action. Such concessions shall be limited to the textile and apparel goods set out in Appendix III.1.1.1, unless the Parties otherwise agree. If the Parties are unable to agree on compensation, the exporting Party may take tariff action having trade effects substantially equivalent to the action taken under this Section against any goods imported from the other Party. The Party taking the tariff action shall only apply the action for the minimum period necessary to achieve the substantially equivalent effects.

Section 5:    Bilateral Emergency Actions (Quantitative Restrictions)

1. A Party may take bilateral emergency action against non-originating textile or apparel goods that have not been integrated into the WTO and which enter into the territory of the other Party under a tariff preference level (TPL) in accordance with this section and Appendix III.1.5.1.

2. If a Party demonstrates that a non-originating textile or apparel good entered under a tariff preference level set out in Appendix III.1.6.1 is being imported into its territory from the other Party in such increased quantities, in absolute terms or relative to the domestic market for that good, under such conditions as to cause serious damage, or actual threat thereof, to a domestic industry producing a like or directly competitive good in the importing Party, the importing Party may request consultations with the other Party with a view to eliminating the serious damage or actual threat thereof.

3. The Party requesting consultations shall include in its request for consultations the reasons that it considers demonstrate that such serious damage or actual threat thereof to its domestic industry is resulting from the imports of the other Party, including the latest data concerning such damage or threat thereof.

4. In determining serious damage, or actual threat thereof, the Party shall apply Section 4(2).

5. The Parties shall begin consultations within 60 days of the request for consultations and shall endeavour to agree on a mutually satisfactory level of restraint on exports of the particular good within 90 days of the request, unless the Parties agree to extend this period. The request for consultations shall be accompanied by specific and relevant factual information, as up to date as possible, particularly in regard to the factors stated in paragraphs 2, 3 and 4 of this section. The information shall be related, as closely as possible, to identifiable segments of production and to the reference period set out in paragraph 7. The Party taking the action shall also indicate the specific level at which imports of the product in question are proposed to be restrained; such level shall not be lower than the level referred to in paragraph 7. In reaching a mutually satisfactory level of export restraint, the Parties shall:

(a) consider the situation in the market in the importing Party;
(b) consider the history of trade in textile and apparel goods between the Parties, including previous levels of trade; and
(c) seek to ensure that the textile and apparel goods imported from the territory of the exporting Party are accorded equitable treatment as compared with treatment accorded like textile and apparel goods from non-Party suppliers.³

6. If the Parties do not agree on a mutually satisfactory level of export restraint, the Party requesting consultations may impose annual quantitative restrictions on imports of the good from the territory of the other Party, subject to paragraphs 7 through 13.

7. Any quantitative restriction imposed under paragraph 6 shall be no less than the sum of:

(a) the quantity of the good imported into the territory of the Party requesting consultations from the other Party, as reported in general import statistics of the importing Party, during the first 12 of the most recent 14 months preceding the month in which the request for consultations was made; and
(b) 20 per cent of such quantity.

8. The period of any quantitative restriction imposed under paragraph 6 for the first year shall begin on the day after the date on which the request for consultations was made and terminate at the end of the calendar year in which the quantitative restriction is imposed. Any quantitative restriction that is imposed for a period of less than 12 months shall be prorated to correspond to the time remaining in the calendar year in which the restriction is imposed, and the prorated amount may be adjusted in accordance with the flexibility provisions set out in Appendix III.1.5.1.

9. For each successive calendar year that the quantitative restriction imposed under paragraph 6 remains in effect, the Party imposing it shall:

(a) increase it by six per cent; and
(b) accelerate the growth rate for quantitative restrictions on cotton, man-made fibre and non-cotton vegetable fibre textile and apparel goods as required by the WTO Agreement on Textiles and Clothing;

and the flexibility provisions set out in Appendix III.1.5.1 apply.

10. A quantitative restriction imposed under paragraph 6 before July 1 in any calendar year may remain in effect for the remainder of that year, plus two additional calendar years. Such a restriction imposed on or after July 1 in any calendar year may remain in effect for the remainder of that year, plus three additional calendar years. No such restriction may remain in effect beyond the transition period or one year following the full integration into the WTO.

11. Neither Party may take an emergency action under this section with respect to any particular textile or apparel non-originating good against which a quantitative restriction is in effect.

12. Neither Party may adopt or maintain a quantitative restriction under this section on a particular textile or apparel good that otherwise would be permitted under this Annex, if that Party is required to eliminate such measure under the WTO Agreement on Textiles and Clothing.

13. Neither Party may take a bilateral emergency action after the expiration of the transition period with respect to cases of serious damage, or actual threat thereof, to domestic industry arising from the operation of this Agreement.

Section 6: Special Provisions

Appendix III.1.6.1 sets out special provisions applicable to certain textile and apparel goods.

Section 7: Definitions

For purposes of this Annex:

average yarn number, as applied to woven fabrics of cotton or man-made fibres, means the average yarn number of the yarns contained therein. In computing the average yarn number, the length of the yarn is considered to be equal to the distance covered by it in the fabric, with all clipped yarn being measured as if continuous and with the count being taken of the total single yarns in the fabric including the single yarns in any multiple (folded) or cabled yarns. The weight shall be taken after any excessive sizing is removed by boiling or other suitable process. Any of the following formulas can be used to determine the average yarn number:

N = BYT ,     100T , BT   or  ST
    1,000        Z'      Z        10 

when:
N is the average yarn number,
B is the breadth (width) of the fabric in centimetres, 
Y is the metres (linear) of the fabric per kilogram, 
T is the total single yarns per square centimetre, 
S is the square metres of fabric per kilogram, 
Z is the grams per linear metre of fabric, and 
Z' is the grams per square metre of fabric. 

Fractions in the resulting "average yarn number" shall be disregarded;

exporting Party means the Party from whose territory a textile or apparel good is exported;

flexibility provisions means the provisions set out in Appendix III.1.5.1;

importing Party means the Party into whose territory a textile or apparel good is imported;

integrated into the WTO means subject to the obligations of the WTO Agreement;

product category means a grouping of textile or apparel goods defined in the Correlation: Textile and Apparel Categories with the Harmonized Tariff Schedule of the United States, 1995 (or successor publication), published by the United States Department of Commerce, International Trade Administration, Office of Textiles and Apparel, Trade and Data Division, Washington, D.C.;

specific limit means a level of exports for a particular textile or apparel good that may be adjusted in accordance with Appendix III.1.5.1;

square metres equivalent (SME) means that unit of measurement that results from the application of the conversion factors set out in Appendix III.1.6.2 to a primary unit of measure such as unit, dozen or kilogram;

tariff preference level (TPL) means a mechanism that provides for the application customs duty at a preferential rate to imports of a particular good up to a specified quantity, and at a different rate to imports of that good that exceed that quantity; transition period means the seven-year period beginning on the date of entry into force of this Agreement;

wool fabric means:

(a) fabric in chief weight of wool;

(b) woven fabric in chief weight of man-made fibres containing 36 per cent or more by weight of wool; and

(c) knitted or crocheted fabric in chief weight of man-made fibres containing 23 per cent or more by weight of wool; and

WTO Agreement on Textiles and Clothing means the Agreement on Textiles and Clothing which is part of the WTO Agreement.

Appendix III.1.1.1

List of Goods Covered by Annex III.1

Note: For purposes of reference only, descriptions are provided next to the corresponding item. For legal purposes, coverage shall be determined according to the terms of the Harmonized System.

HS No.	Description
Chapter 30	Pharmaceutical Products
3005.90	Wadding, gauze, bandages and the like
Chapter 39	Plastics and articles thereof
ex 3921.12	(Woven, knitted or non-woven fabric coated, covered or laminated with plastics)
ex 3921.13
ex 3921.90
Chapter 42	Articles of leather; saddlery and harness; travel goods, handbags and similar containers
ex 4202.12	(Luggage, handbags and flatgoods with an outer surface predominantly of textile materials)
ex 4202.22
ex 4202.32
ex 4202.92
Chapter 50	Silk
5004.00	Silk yarn (other than yarn spun from silk waste) not for retail sale
5005.00	Yarn spun from silk waste, not for retail sale
5006.00	Silk yarn and yarn spun from silk waste, for retail sale; silk-worm gut
5007.10	Woven fabric of noil silk
5007.20	Woven fabric of silk or silk waste, other than noil silk, 85% or more of such fibres
5007.90	Woven fabric of silk, nes
Chapter 51	Wool, fine or coarse animal hair, horsehair yarn and fabric
5105.10	Carded wool
5105.21	Combed wool in fragments
5105.29	Wool tops and other combed wool, other than combed wool in fragments
5105.30	Fine animal hair, carded or combed
5106.10	Yarn of carded wool, >85% wool, not for retail sale
5106.20	Yarn of carded, wool, <85% wool, not for retail sale
5107.10	Yarn of combed wool, >85% wool, not for retail sale
5107.20	Yarn of combed wool, <85% wool, not for retail sale
5108.10	Yarn of carded fine animal hair, not for retail sale
5108.20	Yarn of combed fine animal hair, not for retail sale
5109.10	Yarn of wool or of fine animal hair, >85% wool and fine animal hair, for retail sale
5109.90	Yarn of wool/of fine animal hair, <85% wool and fine animal hair, for retail sale
5110.00	Yarn of coarse animal hair or of horsehair
5111.11	Woven fabric of carded wool or fine animal hair, >85% wool and fine animal hair, < 300 g/m2
5111.19	Woven fabric of carded wool or fine animal hair, >85% wool or fine animal hair, >300 g/m2
5111.20	Woven fabric of carded wool or fine animal hair, <85% wool or fine animal hair, with man-made fibres
5111.30	Woven fabric of carded wool or fine animal hair, <85% wool or fine animal hair, with man-made fibres
5111.90	Woven fabric of carded wool or fine animal hair, <85% wool or fine animal hair, nes
5112.11	Woven fabric of combed wool or fine animal hair, >85% wool or fine animal hair, < 200 g/m2
5112.19	Woven fabric of combed wool or fine animal hair, >85% wool or fine animal hair, > 200 g/m2
5112.20	Woven fabric of combed wool or fine animal hair, <85% wool or fine animal hair, with man-made filament
5112.30	Woven fabric of combed wool or fine animal hair, <85% wool or fine animal hair, with man-made fibres
5112.90	Woven fabric of combed wool or fine animal hair, <85% wool or fine animal hair, nes
5113.00	Woven fabric of coarse animal hair or of horsehair
Chapter 52	Cotton
5204.11	Cotton sewing thread >85% cotton, not for retail sale
5204.19	Cotton sewing thread, <85% cotton, not for retail sale
5204.20	Cotton sewing thread, for retail sale
5205.11	Cotton yarn, >85% cotton, single, uncombed, >714.29 decitex, not for retail sale
5205.12	Cotton yarn, >85% cotton, single, uncombed, 714.29 >decitex > 232.56, not for retail sale
5205.13	Cotton yarn, >85% cotton, single, uncombed, 232.56 >decitex > 192.31, not for retail sale
5205.14	Cotton yarn, >85% cotton, single, uncombed, 192.31 >decitex >125, not for retail sale
5205.15	Cotton yarn, >85% cotton, single, uncombed, <125 decitex, not for retail sale
5205.21	Cotton yarn, >85% cotton, single, combed, >714.29, not for retail sale
5205.22	Cotton yarn, >85% cotton, single, combed, 714.29 >decitex >232.56, not for retail sale
5205.23	Cotton yarn, >85% cotton, single, combed, 232.56 >decitex >192.31, not for retail sale
5205.24	Cotton yarn, >85% cotton, single, combed, 192.31 >decitex >125, not for retail sale
5205.26	Cotton yarn, >85% cotton, single, combed, 125 >decitex >106.38, not for retail sale
5205.27	Cotton yarn, >85% cotton, single, combed, 106.38 >decitex > 83.33, not for retail sale
5205.28	Cotton yarn, >85% cotton, single, combed, <83.33 decitex, not for retail sale
5205.31	Cotton yarn, >85% cotton, multiple, uncombed >714.29 decitex, not for retail sale, nes
5205.32	Cotton yarn, >85% cotton, multiple, uncombed, 714.29 >decitex >232.56, not for retail sale, nes
5205.33	Cotton yarn, >85% cotton, multiple, uncombed, 232.56 >decitex >192.31, not for retail sale, nes
5205.34	Cotton yarn, >85% cotton, multiple, uncombed, 192.31 >decitex >125, not for retail sale, nes
5205.35	Cotton yarn, >85% cotton, multiple, uncombed, <125 decitex, not for retail sale, nes
5205.41	Cotton yarn, > 85% cotton, multiple, combed, >714.29 decitex, not for retail sale, nes
5205.42	Cotton yarn, >85% cotton, multiple, combed, 714.29 >decitex >232.56, not for retail sale, nes
5205.43	Cotton yarn, >85% cotton, multiple, combed, 232.56 >decitex >192.31, not for retail sale, nes
5205.44	Cotton yarn, >85% cotton, multiple, combed, 192.31 >decitex >125, not for retail sale, nes
5205.46	Cotton yarn, > 85% cotton, multiple, combed, 125 >decitex >106.38, not for retail sale, nes
5205.47	Cotton yarn, >85% cotton, multiple, combed, 106.38 >decitex >83.33, not for retail sale, nes
5205.48	Cotton yarn, <85% cotton, single, uncombed, <83.33 decitex, not for retail sale
5206.11	Cotton yarn, <85% cotton, single, uncombed, >714.29, not for retail sale
5206.12	Cotton yarn, <85% cotton, single, uncombed, 714.29 >decitex > 232.56, not for retail sale
5206.13	Cotton yarn, <85% cotton, single, uncombed, 232.56 >decitex >192.31, not for retail sale
5206.14	Cotton yarn, <85% cotton, single, uncombed, 192.31 >decitex >125, not for retail sale
5206.15	Cotton yarn, <85% cotton, single, uncombed, <125 decitex, not for retail sale
5206.21	Cotton yarn, <85% cotton, single, combed, >714.29 decitex, not for retail sale
5206.22	Cotton yarn, <85% cotton, single, combed, 714.29 >decitex 232.56, not for retail sale
5206.23	Cotton yarn, <85% cotton, single, combed, 232.56 >decitex >192.31, not for retail sale
5206.24	Cotton yarn, <85% cotton, single, combed, 192.31 >decitex > 125, not for retail sale
5206.25	Cotton yarn, <85% cotton, single, combed, <125 decitex, not for retail sale
5206.31	Cotton yarn, <85% cotton, multiple, uncombed, >714.29, not for retail sale, nes
5206.32	Cotton yarn, <85% cotton, multiple, uncombed, 714.29 >decitex > 232.56, not for retail sale, nes
5206.33	Cotton yarn, <85% cotton, multiple, uncombed, 232.56 >decitex >192.31, not for retail sale, nes
5206.34	Cotton yarn, <85% cotton, multiple, uncombed, 192.31 >decitex > 125, not for retail sale, nes
5206.35	Cotton yarn, <85% cotton, multiple, uncombed, <125 decitex, not for retail sale, nes
5206.41	Cotton yarn, <85% cotton, multiple, combed, >714.29, not for retail sale, nes
5206.42	Cotton yarn, <85% cotton, multiple, combed, 714.29 >decitex 232.56, not for retail sale, nes
5206.43	Cotton yarn, >85% cotton, multiple, combed, 232.56 <decitex ³ 192.31, not for retail sale, nes
5206.44	Cotton yarn, >85% cotton, multiple, combed, 192.31 >decitex ³ 125, not for retail sale, nes
5206.45	Cotton yarn, >85% cotton, multiple, combed, >125 decitex, not for retail sale, nes
5207.10	Cotton yarn (other than sewing thread) >85% cotton, for retail sale
5207.90	Cotton yarn (other than sewing thread) <85% cotton, for retail sale
5208.11	Plain weave cotton fabric, <85% cotton, <100g/m2, unbleached
5208.12	Plain weave cotton fabric, <85% cotton, >100g/m2, <200g/m2, unbleached
5208.13	Twill weave cotton fabric, >85% cotton, <200g/m2, unbleached
5208.19	Woven fabric of cotton >85% cotton,<200g/m2, unbleached, nes
5208.21	Plain weave cotton fabric, >85% cotton, <100g/m2, bleached
5208.22	Plain weave cotton fabric,>85% cotton, >100g/m2, £200g/m2, bleached
5208.23	Twill weave cotton fabric, >85% cotton, <200g/m2, bleached
5208.29	Woven fabric of cotton, >85% cotton, £200g/m2, bleached, nes
5208.31	Plain weave cotton fabric,>85% cotton, £100g/m2, dyed
5208.32	Plain weave cotton fabric, >85% cotton, <100g/m2, <200g/m2, dyed
5208.33	Twill weave cotton fabric, >85% cotton, <200g/m2, dyed
5208.39	Woven fabric of cotton, >85% cotton, <200g/m2, dyed, nes
5208.41	Plain weave cotton fabric, >85% cotton, >100g/m2, yarn dyed
5208.42	Plain weave cotton fabric, >85% cotton, <100g/m2, <200 g/m2, yarn dyed
5208.43	Twill weave cotton fabric, >85% cotton, 200g/m2, yarn dyed
5208.49	Woven fabric of cotton,>85% cotton, <200g/m2, yarn dyed, nes
5208.51	Plain weave cotton fabric, >85% cotton, <100g/m2, printed
5208.52	Plain weave cotton fabric, >85% cotton, >100g/m2, <200 g/m2, printed
5208.53	Twill weave cotton fabric, >85% cotton, <200g/m2, printed
5208.59	Woven fabric of cotton, >85% cotton, <200g/m2, printed, nes
5209.11	Plain weave cotton fabric, >85% cotton, >200g/m2, unbleached
5209.12	Twill weave cotton fabric, >85% cotton, >200g/m2, unbleached
5209.19	Woven fabric of cotton, >85% cotton, >200g/m2, unbleached, nes
5209.21	Plain weave cotton fabric, >85% cotton, >200g/m2, bleached
5209.22	Twill weave cotton fabric, >85% cotton, >200g/m2, bleached
5209.29	Woven fabric of cotton, >85% cotton, >200g/m2, bleached, nes
5209.31	Plain weave cotton fabric, >85% cotton, >200g/m2, dyed
5209.32	Twill weave cotton fabric, >85% cotton, >200g/m2, dyed
5209.39	Woven fabric of cotton, >85% cotton, >200g/m2, dyed, nes
5209.41	Plain weave cotton fabric, >85% cotton, >200g/m2, yarn dyed
5209.42	Blue denim fabric of cotton, >85% cotton, >200g/m2
5209.43	Twill weave cotton fabric, other than denim, >85% cotton, >200g/m2, yarn dyed
5209.49	Woven fabric of cotton, >85% cotton, >200g/m2, yarn dyed, nes
5209.51	Plain weave cotton fabric, >85% cotton, >200g/m2, printed
5209.52	Twill weave cotton fabric, >85% cotton, >200g/m2, printed
5209.59	Woven fabric of cotton, >85% cotton, >200g/m2, printed, nes
5210.11	Plain weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, unbleached
5210.12	Twill weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, unbleached
5210.19	Woven fabric of cotton, <85% cotton, with man-made fibre, <200g/m2, unbleached, nes
5210.21	Plain weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, bleached
5210.22	Twill weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, bleached
5210.29	Woven fabric of cotton, <85% cotton, with man-made fibre, <200g/m2, bleached, nes
5210.31	Plain weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, dyed
5210.32	Twill weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, dyed
5210.39	Woven fabric of cotton, <85% cotton, with man-made fibre, <200g/m2, dyed, nes
5210.41	Plain weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, yarn dyed
5210.42	Twill weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, yarn dyed
5210.49	Woven fabric of cotton, <85% cotton, with man-made fibre, <200g/m2, yarn dyed, nes
5210.51	Plain weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, printed
5210.52	Twill weave cotton fabric, <85% cotton, with man-made fibre, <200g/m2, printed
5210.59	Woven fabric of cotton, <85% cotton, with man-made fibre, <200g/m2, printed, nes
5211.11	Plain weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, unbleached
5211.12	Twill weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, unbleached
5211.19	Woven fabric of cotton, <85% cotton, with man-made fibre, >200g/m2, unbleached, nes
5211.21	Plain weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, bleached
5211.22	Twill weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, bleached
5211.29	Woven fabric of cotton, <85% cotton, with man-made fibre, >200g/m2, bleached, nes
5211.31	Plain weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, dyed
5211.32	Twill weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, dyed
5211.39	Woven fabric of cotton, <85% cotton, with man-made fibre, >200g/m2, dyed, nes
5211.41	Plain weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, yarn dyed
5211.42	Blue denim fabric of cotton, <85% cotton, with man-made fibre, >200g/m2
5211.43	Twill weave cotton fabric, other than denim, <85% cotton, with man-made fibre, >200g/m2, yarn dyed
5211.49	Woven fabric of cotton, <85% cotton, with man-made fibre, >200g/m2, yarn dyed, nes
5211.51	Plain weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, printed
5211.52	Twill weave cotton fabric, <85% cotton, with man-made fibre, >200g/m2, printed
5211.59	Woven fabric of cotton, <85% cotton, with man-made fibre, >200g/m2, printed, nes
5212.11	Woven fabric of cotton, weighing <200g/m2, unbleached, nes
5212.12	Woven fabric of cotton, weighing <200g/m2, bleached, nes
5212.13	Woven fabric of cotton, weighing <200g/m2, dyed, nes
5212.14	Woven fabric of cotton, <200g/m2, of yarns of different colours, nes
5212.15	Woven fabric of cotton, weighing <200g/m2, printed, nes
5212.21	Woven fabric of cotton, weighing >200g/m2, unbleached, nes
5212.22	Woven fabric of cotton, weighing >200g/m2, bleached, nes
5212.23	Woven fabric of cotton, weighing >200g/m2, dyed, nes
5212.24	Woven fabric of cotton, >200g/m2, of yarns of different colours, nes
5212.25	Woven fabric of cotton, weighing >200g/m2, printed, nes
Chapter 53	Other vegetable textile fibres; paper yarn and woven fabric of paper yarn
5306.10	Flax yarn, single
5306.20	Flax yarn, multiple
5307.10	Yarn of jute or of other textile bast fibres, single
5307.20	Yarn of jute or other textile bast fibres, multiple
5308.20	True hemp yarn
5308.90	Yarn of other vegetable textile fibres
5309.11	Woven fabric, >85% flax, unbleached or bleached
5309.19	Woven fabric, >85% flax, other than unbleached or bleached
5309.21	Woven fabric of flax, <85% flax, unbleached or bleached
5309.29	Woven fabric of flax, <85% flax, other than unbleached or bleached
5310.10	Woven fabric of jute or of other textile bast fibres, unbleached
5310.90	Woven fabric of jute or of other textile bast fibres, other than unbleached
5311.00	Woven fabric of other vegetable textile fibres; woven fabric of paper yarn
Chapter 54	Man-made filaments
5401.10	Sewing thread of synthetic filaments
5401.20	Sewing thread of artificial filaments
5402.10	High tenacity yarn (other than sewing thread), nylon or other polyamide fibre, not for retail sale
5402.20	High tenacity yarn (other than sewing thread), of polyester filaments, not for retail sale
5402.31	Textured yarn nes, of nylon or other polyamide fibre, <50 tex/single yarn, not for retail sale
5402.32	Textured yarn nes, of nylon or other polyamide fibre,>50 tex/single yarn, not for retail sale
5402.33	Textured yarn nes, of polyester filaments, not for retail sale
5402.39	Textured yarn of synthetic filaments, nes, not for retail sale
5402.41	Yarn of nylon or other polyamide fibre, single, untwisted, nes, not for retail sale
5402.42	Yarn of polyester filaments, partially oriented, single, nes, not for retail sale
5402.43	Yarn of polyester filaments, single, untwisted, nes, not for retail sale
5402.49	Yarn of synthetic filaments, single, untwisted, nes, not for retail sale
5402.51	Yarn of nylon or other polyamide fibre, single, >50 turns per metre, not for retail sale
5402.52	Yarn of polyester filaments, single, >50 turns per metre, not for retail sale
5402.59	Yarn of synthetic filaments, single, >50 turns per metre, nes, not for retail sale
5402.61	Yarn of nylon or other polyamide fibre, multiple, nes, not for retail sale
5402.62	Yarn of polyester filaments, multiple, nes, not for retail sale
5402.69	Yarn of synthetic filaments, multiple, nes, not for retail sale
5403.10	High tenacity yarn (other than sewing thread), of viscose rayon filaments, not for retail sale
5403.20	Textured yarn nes, of artificial filaments, not for retail sale
5403.31	Yarn of viscose rayon filaments, single, untwisted, nes, not for retail sale
5403.32	Yarn of viscose rayon filaments, single, >120 turns per metre, nes, not for retail sale
5403.33	Yarn of cellulose acetate filaments, single, nes, not for retail sale
5403.39	Yarn of artificial filaments, single, nes, not for retail sale
5403.41	Yarn of viscose rayon filaments, multiple, nes, not for retail sale/td>
5403.42	Yarn of cellulose acetate filaments, multiple, nes, not for retail sale
5403.49	Yarn of artificial filaments, multiple, nes, not for retail sale
5404.10	Synthetic monofilament, >67 decitex, no cross sectional dimension >1 mm
5404.90	Strip and the like of synthetic textile material of an apparent width <5mm
5405.00	Artificial monofil, 67 decitex, cross sectional dimension >1mm; strip of art. tex. mat. width <5mm
5406.10	Yarn of synthetic filaments (other than sewing thread), for retail sale
5406.20	Yarn of artificial filaments (other than sewing thread), for retail sale
5407.10	Woven fabric of high tenacity filament yarn of nylon or other polyamides, or polyester
5407.20	Woven fabric obtained from strip or the like of synthetic textile materials
5407.30	Fabric specified in Note 9 Section XI (layers of parallel synthetic textile yarn)
5407.41	Woven fabric, >85% nylon or other polyamide filaments, unbleached or bleached, nes
5407.42	Woven fabric, >85% nylon or other polyamide filaments, dyed, nes
5407.43	Woven fabric, >85% nylon or other polyamide filaments, yarn dyed, nes
5407.44	Woven fabric, >85% nylon or other polyamide filaments, printed, nes
5407.51	Woven fabric, >85% textured polyester filaments, unbleached or bleached, nes
5407.52	Woven fabric, >85% textured polyester filaments, dyed, nes
5407.53	Woven fabric, >85% textured polyester filaments, yarn dyed, nes
5407.54	Woven fabric, >85% textured polyester filaments, printed, nes
5407.61	Woven fabric, >85% non-textured polyester filaments, nes
5407.69	Woven fabric, >85% other polyester filaments, nes/td>
5407.71	Woven fabric, >85% synthetic filaments, unbleached or bleached, nes
5407.72	Woven fabric, >85% synthetic filaments, dyed, nes
5407.73	Woven fabric, >85% synthetic filaments, yarn dyed, nes
5407.74	Woven fabric, >85% synthetic filaments, printed, nes
5407.81	Woven fabric of synthetic filaments, <85% syn. filaments, with cotton, unbl or bl, nes
5407.82	Woven fabric of synthetic filaments, <85% with cotton, dyed, nes
5407.83	Woven fabric of synthetic filaments, <85% with cotton, yarn dyed, nes
5407.84	Woven fabric of synthetic filaments, <85% with cotton, printed, nes
5407.91	Woven fabric of synthetic filaments, unbleached or bleached, nes
5407.92	Woven fabric of synthetic filaments, dyed, nes
5407.93	Woven fabric of synthetic filaments, yarn dyed, nes
5407.94	Woven fabric of synthetic filaments, printed, nes
5408.10	Woven fabric of high tenacity filament yarn of viscose rayon/td>
5408.21	Woven fabric, >85% artificial filament or strip, unbleached or bleached, nes
5408.22	Woven fabric, >85% artificial filament or strip, dyed, nes
5408.23	Woven fabric, >85% artificial filament or strip, yarn dyed, nes
5408.24	Woven fabric, >85% artificial filament or strip, printed, nes
5408.31	Woven fabric of artificial filaments, unbleached or bleached, nes
5408.32	Woven fabric of artificial filaments, dyed, nes
5408.33	Woven fabric of artificial filaments, yarn dyed, nes
5408.34	Woven fabric of artificial filaments, printed, nes
Chapter 55	Man-made staple fibres
5501.10	Filament tow of nylon or other polyamides
5501.20	Filament tow of polyesters
5501.30	Filament tow of acrylic or modacrylic
5501.90	Synthetic filament tow, nes
5502.00	Artificial filament tow
5503.10	Staple fibres of nylon or other polyamides, not carded or combed
5503.20	Staple fibres of polyesters, not carded or combed
5503.30	Staple fibres of acrylic or modacrylic, not carded or combed
5503.40	Staple fibres of polypropylene, not carded or combed
5503.90	Synthetic staple fibres, not carded or combed, nes
5504.10	Staple fibres of viscose, not carded or combed
5504.90	Artificial staple fibres, other than viscose, not carded or combed
5505.10	Waste of synthetic fibres
5505.20	Waste of artificial fibres
5506.10	Staple fibres of nylon or other polyamides, carded or combed/td>
5506.20	Staple fibres of polyesters, carded or combed
5506.30	Staple fibres of acrylic or modacrylic, carded or combed
5506.90	Synthetic staple fibres, carded or combed, nes
5507.00	Artificial staple fibres, carded or combed
5508.10	Sewing thread of synthetic staple fibres
5508.20	Sewing thread of artificial staple fibres
5509.11	Yarn, >85% nylon or other polyamide staple fibres, single, not for retail sale
5509.12	Yarn, >85% nylon or other polyamide staple fibres, multiple, not for retail sale, nes
5509.21	Yarn, >85% of polyester staple fibres, single, not for retail sale
5509.22	Yarn, >85% of polyester staple fibres, multiple, not for retail sale, nes
5509.31	Yarn, >85% of acrylic or modacrylic staple fibres, single, not for retail sale
5509.32	Yarn, >85% acrylic/modacrylic staple fibres, multiple, not for retail sale, nes
5509.41	Yarn, >85% of other synthetic staple fibres, single, not for retail sale
5509.42	Yarn, >85% of other synthetic staple fibres, multiple, not for retail sale, nes
5509.51	Yarn of polyester staple fibres mixed with artificial staple fibre, not for retail sale, nes
5509.52	Yarn of polyester staple fibre mixed with wool or fine animal hair, not for retail sale, nes
5509.53	Yarn of polyester staple fibres mixed with cotton, not for retail sale, nes
5509.59	Yarn of polyester staple fibres, not for retail sale, nes
5509.61	Yarn of acrylic staple fibre mixed with wool or fine animal hair, not for retail sale, nes
5509.62	Yarn of acrylic staple fibres mixed with cotton, not for retail sale, nes
5509.69	Yarn of acrylic staple fibres, not for retail sale, nes
5509.91	Yarn of other synthetic staple fibres mixed with wool or fine animal hair, not for retail sale, nes
5509.92	Yarn of other synthetic staple fibres mixed with cotton, not for retail sale, nes
5509.99	Yarn of other synthetic staple fibres, not for retail sale, nes
5510.11	Yarn, >85% of artificial staple fibres, single, not for retail sale
5510.12	Yarn, >85% of artificial staple fibres, multiple, not for retail sale, nes
5510.20	Yarn of artificial staple fibre mixed with wool/fine animal hair, not for retail sale, nes
5510.30	Yarn of artificial staple fibres mixed with cotton, not for retail sale, nes
5510.90	Yarn of artificial staple fibres, not for retail sale, nes
5511.10	Yarn, >85% of synthetic staple fibres, other than sewing thread, for retail sale
5511.20	Yarn, <85% of synthetic staple fibres, for retail sale, nes
5511.30	Yarn of artificial fibres (other than sewing thread), for retail sale
5512.11	Woven fabric, >85% of polyester staple fibres, unbleached or bleached
5512.19	Woven fabric, >85% of polyester staple fibres, other than unbleached or bleached
5512.21	Woven fabric, >85% of acrylic staple fibres, unbleached or bleached
5512.29	Woven fabric, >85% of acrylic staple fibres, other than unbleached or bleached
5512.91	Woven fabric, >85% of other synthetic staple fibres, unbleached or bleached
5512.99	Woven fabric, >85% of other synthetic staple fibres, other than unbleached or bleached
5513.11	Plain weave polyester fabric, <85% syn stple fibre, with cot, <170g/m2, unbl or bl
5513.12	Twill weave polyester staple fibre fabric, >85% syn. staple fibre, with cotton, £170g/m2, unbl or bl
5513.13	Woven polyester fabric, <85% synthetic stple fibre, with cotton, <170g/m2, unbl or bl, nes
5513.19	Woven fabric of other synthetic staple fibre, <85% syn. stpl fib, with cotton, <170g/m2, unbl or bl
5513.21	Plain weave polyester staple fibre fabric,<85% synthetic staple fibre, with cotton, <170g/m2, dyed
5513.22	Twill weave polyester staple fibre fabric,<85% synthetic staple fibre, with cotton, <170g/m2, dyed
5513.23	Woven fabric of polyester staple fibre, <85% syn. staple fibre, with cotton, <170g/m2, dyed, nes
5513.29	Woven fabric of other synthetic staple fibre, <85% syn. staple fibre, with cotton, <170g/m2, dyed
5513.31	Plain weave polyester staple fibre fabric, <85% syn. staple fibre, with cotton, <170g/m2, yarn dyed
5513.32	Twill weave polyester staple fibre fabric, <85% syn. staple fibre, with cotton, <170g/m2, yarn dyed
5513.33	Woven fabric of polyester staple fibre, <85% syn. staple fibre, with cotton, <170g/m2, dyed nes
5513.39	Woven fabric of other synthetic staple fibre, <85% syn. staple fibre, with cotton, <170g/m2, yarn dyed
5513.41	Plain weave polyester staple fibre fabric, <85% syn. stpl fibre, with cotton, <170g/m2, printed
5513.42	Twill weave polyester staple fibre fabric, <85% syn. staple fibre, with cotton, 170g/m2, printed
5513.43	Woven fabric of polyester staple fibre, <85% syn staple fibre, with cotton, <170g/m2, printed, nes
5513.49	Woven fabric of other synthetic staple fibre, <85% syn. staple fibre, with cotton, <170g/m2, printed

Appendix III.1.1.1

List of Goods Covered by Annex III.1

Note: For purposes of reference only, descriptions are provided next to the corresponding item. For legal purposes, coverage shall be determined according to the terms of the Harmonized System.

HS No.	Description
5514.11	Plain weave polyester staple fibre fabric, <85% syn. staple fibre, with cotton, >170g/m2, unbl or bl
5514.12	Twill weave polyester staple fibre fabric, <85% syn. staple fibre, with cotton, >170g/m2, unbl or bl
5514.13	Woven fabric of polyester staple fibre, <85% syn. stpl fibre, with cotton, >170g/m2, unbl or bl, nes
5514.19	Woven fabric of other synthetic staple fibre, <85% syn stpl. fib, with cotton, >170g/m2, unbl or bl
5514.21	Plain weave polyester staple fibre fabric, <85% syn staple fibre, with cotton, >170g/m2, dyed
5514.22	Twill weave polyester staple fibre fabric, <85% synthetic staple fibre, with cotton, >170g/m2, dyed
5514.23	Woven fabric of polyester staple fibre, <85% synthetic staple fibre, with cotton, >170g/m2, dyed
5514.29	Woven fabric of other synthetic staple fibre, <85% synthetic staple fibre, with cotton, >170g/m2, dyed
5514.31	Plain weave polyester staple fibre fabric, <85% syn. staple fibre, with cotton, >170g/m2, yarn dyed
5514.32	Twill weave polyester staple fibre fabric, <85% mixed with cotton, >170g/m2, yarn dyed
5514.33	Woven fabric of polyester staple fibre, <85% syn. staple fibre, with cotton, >170g/m2, yarn dyed nes
5514.39	Woven fabric of other synthetic staple fibre, <85% syn. stpl fibre, with cotton, >170g/m2, yarn dyed
5514.41	Plain weave polyester staple fibre fabric, <85% synthetic staple fibre, with cotton, >170g/m2, printed
5514.42	Twill weave polyester staple fibre fabric, <85% synthetic staple fibre, with cotton, >170g/m2, printed
5514.43	Woven fabric of polyester staple fibres <85% syn. staple fibre, with cotton, >170g/m2, printed, nes
5514.49	Woven fabric of other synthetic staple fibre, <85% syn. staple fibre, with cotton, >170g/m2, printed
5515.11	Woven fabric of polyester staple fibre, with viscose rayon staple fibre, nes
5515.12	Woven fabric of polyester staple fibre, with man-made filaments, nes
5515.13	Woven fabric of polyester staple fibre, with wool or fine animal hair, nes
5515.19	Woven fabric of polyester staple fibre, nes
5515.21	Woven fabric of acrylic staple fibre, with man-made filaments, nes
5515.22	Woven fabric of acrylic staple fibre, with wool or fine animal hair, nes
5515.29	Woven fabric of acrylic or modacrylic staple fibres, nes
5515.91	Woven fabric of other synthetic staple fibre, with man-made filaments, nes
5515.92	Woven fabric of other synthetic staple fibre, with wool or fine animal hair, nes
5515.99	Woven fabric of synthetic staple fibres, nes
5516.11	Woven fabric, >85% artificial staple fibre, unbleached or bleached
5516.12	Woven fabric, >85% artificial staple fibre, dyed
5516.13	Woven fabric, >85% artificial staple fibre, yarn dyed
5516.14	Woven fabric, >85% artificial staple fibre, printed
5516.21	Woven fabric of artificial staple fibre, <85% artificial staple fibre, with man-made fib, unbl or bl
5516.22	Woven fabric of artificial staple fibre, <85% artificial staple fibre, with man-made fib, dyed
5516.23	Woven fabric of artificial staple fibre, <85% artificial staple fibre, with man-made fib, yarn dyed
5516.24	Woven fabric of artificial staple fibre, <85% artificial staple fibre, with man-made fib, printed
5516.31	Woven fabric of artificial staple fibre, <85% art stpl fibre, with wool/fine animal hair, unbl or bl
5516.32	Woven fabric of artificial staple fibre, <85% art staple fibre, mixed mainly or solely with wool/fine animal hair, dyed
5516.33	Woven fabric of artificial staple fibre, <85% art staple fibre, mixed mainly or solely with wool/fine animal hair, yarn dyed
5516.34	Woven fabric of artificial staple fibre, <85% art staple fibre, mixed mainly or solely with wool/fine animal hair, printed
5516.41	Woven fabric of artificial staple fibre, <85% artificial staple fibre, with cotton, unbl or bl
5516.42	Woven fabric of artificial staple fibre, <85% artificial staple fibre, with cotton, dyed
5516.43	Woven fabric of artificial staple fibre, <85% artificial staple fibre, with cotton, yarn dyed
5516.44	Woven fabric of artificial staple fibre, <85% artificial staple fibre, with cotton, printed
5516.91	Woven fabric of artificial staple fibre, unbleached or bleached, nes
5516.92	Woven fabric of artificial staple fibre, dyed, nes
5516.93	Woven fabric of artificial staple fibre, yarn dyed, nes
5516.94	Woven fabric of artificial staple fibre, printed, nes
Chapter 56	Wadding, felt and nonwovens; special yarns, twine, cordage, ropes and cables and articles thereof
5601.10	Sanitary articles of wadding of textile materials, including sanitary towels, tampons, and diapers
5601.21	Wadding of cotton and articles thereof, other than sanitary articles
5601.22	Wadding of man-made fibres and articles thereof, other than sanitary articles
5601.29	Wadding of other textile materials and articles thereof, other than sanitary articles
5601.30	Textile flock and dust and mill neps
5602.10	Needleloom felt and stitch-bonded fibre fabric
5602.21	Felt other than needleloom, of wool or fine animal hair, not impregnated, coated, covered or laminated
5602.29	Felt other than needleloom, of other textile materials, not impregnated, coated, covered or laminated
5602.90	Felt of textile materials, nes
5603.11	Nonwovens, whether or not impregnated, coated, covered or laminated, of man-made filaments, <25g/m2
5603.12	Nonwovens, whether or not impregnated, coated, covered or laminated, of man-made filaments, >25g/m2 but <70g/m2
5603.13	Nonwovens, whether or not impregnated, coated, covered or laminated, of man-made filaments, >70g/m2 but <150g/m2
5603.14	Nonwovens, whether or not impregnated, coated, covered or laminated, of man-made filaments, >150g/m2
5603.91	Nonwovens, whether or not impregnated, coated, covered or laminated, other, <25g/m2
5603.92	Nonwovens, whether or not impregnated, coated, covered or laminated, other, >25g/m2 but <70g/m2
5603.93	Nonwovens, whether or not impregnated, coated, covered or laminated, other, >70g/m2 but <150g/m2
5603.94	Nonwovens, whether or not impregnated, coated, covered or laminated, other, >150g/m2
5604.10	Rubber thread and cord, textile covered
5604.20	High tenacity yarn of polyester, nylon other polyamide, viscose rayon, impregnated or coated
5604.90	Textile yarn, strip, impregnated, coated, covered or sheathed with rubber or plastics nes
5605.00	Metallized yarn, being textile yarn combined with metal thread, strip, or powder
5606.00	Gimped yarn nes; chenille yarn; loop wale-yarn
5607.10	Twine, cordage, ropes and cables, of jute or other textile bast fibres
5607.21	Binder or baler twine, of sisal or other textile fibres of the genus Agave
5607.29	Twine nes, cordage, ropes and cables, of sisal textile fibres
5607.30	Twine, cordage, ropes and cables, of abaca or other hard (leaf) fibres
5607.41	Binder or baler twine, of polyethylene or polypropylene
5607.49	Twine nes, cordage, ropes and cables, of polyethylene or polypropylene
5607.50	Twine, cordage, ropes and cables, of other synthetic fibres
5607.90	Twine, cordage, ropes and cables, of other materials
5608.11	Made up fishing nets, of man-made textile materials
5608.19	Knotted netting of twine, cordage, or rope, and other made up nets of man-made textile materials
5608.90	Knotted netting of twine, cordage, or rope, nes, and made up nets of other textile materials
5609.00	Articles of yarn, strip, twine, cordage, rope and cables, nes