One of the key elements in any trade agreement is the Certificate of Origin, a document that proves a product qualifies for preferential tariff treatment under the terms of the agreement. Under USMCA (T-MEC), the rules around this certificate have been modernized and simplified compared to NAFTA.
🔹 What is a Certificate of Origin?
It’s a declaration by the exporter or producer stating that the goods being exported meet the rules of origin outlined in the USMCA. This means the product must be either:
- Wholly obtained or produced in North America, or
- Made with a certain percentage of inputs from member countries, as specified in the rules of origin for that product.
If a product qualifies, it may enter another USMCA country without paying import duties or with reduced tariffs.
🔹 Key Features of the USMCA Certificate of Origin
- No specific format required: Unlike NAFTA, USMCA does not require a formal or government-issued certificate. Instead, it just requires certain minimum data elements to be included—these can be placed on an invoice or any other commercial document.
- Can be completed by the exporter, producer, or importer: This adds flexibility. Importers, for example, can certify origin based on valid documentation received from the exporter or producer.
- May be in English, Spanish, or French: Any of the official languages of the agreement are acceptable.
🔹 Required Data Elements
To be valid, a USMCA certificate must include these 9 pieces of information:
- Certifier information (name, address, contact info)
- Exporter information
- Producer information
- Importer information
- Description and HS Tariff Classification of the goods
- Origin criterion (e.g., A, B, or C as defined by USMCA)
- Blanket period (if applicable)
- Authorized signature and date
- Certification statement confirming the goods meet origin requirements
🔹 Validity and Recordkeeping
- Certificates may cover a single shipment or be valid for up to 12 months (called a blanket certificate) for repeated shipments of identical goods.
- Importers must keep supporting documentation for at least five years (or as required by national regulations).
🔹 Practical Tip
To avoid errors or penalties, exporters and importers should ensure that:
- They understand the product-specific rules of origin.
- They keep all records proving compliance (invoices, bills of materials, etc.).
- The data provided is consistent and accurate across all documentation.
✅ Conclusion
Under USMCA, the Certificate of Origin process is more flexible and business-friendly than it was under NAFTA. Still, proper documentation and compliance with origin rules are crucial for enjoying tariff benefits and avoiding legal issues.
