To qualify for duty-free treatment under the USMCA, goods must "originate" in North America. Simply packaging a Chinese good in Mexico does not qualify.
Rules of Origin
Goods must meet specific criteria:
- Wholly Obtained: Grown, mined, or extracted entirely in the territory.
- Tariff Shift: Non-originating materials undergo a manufacturing process substantial enough to change their HS classification.
- Regional Value Content (RVC): A specific percentage of the product's value must be created within North America (often 60% transaction value or 50% net cost).