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Import glossary

Rules of origin

Quick answer

Rules of origin are the criteria that decide which country goods 'originate' from, determining whether they qualify for a preferential duty rate.

Last reviewed 16 July 2026.

Rules of origin are the tests that establish the economic nationality of a product — where it was made, not merely where it was shipped from. They matter because preferential duty rates under trade agreements only apply to goods that genuinely originate in a partner country under the agreement's rules.

The tests vary by product but commonly include being wholly obtained in a country, or undergoing sufficient processing there — often expressed as a change of tariff heading, a maximum percentage of non-originating materials, or a specific manufacturing operation. Meeting the rule lets you claim the preferential rate; failing it means the standard MFN rate applies.

Claiming preference requires evidence: a statement on origin, a movement certificate, or supplier declarations, depending on the agreement. Customs can ask you to prove origin after the fact, so the documentation has to stand up.

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How it affects your landed cost

Rules of origin can be the difference between paying MFN duty and paying nothing — a swing that lands directly in your cost per unit. Before you assume a preferential rate in your landed cost, you have to confirm the goods actually meet the origin rules and that you hold the proof. Our calculator lets you model both the MFN and preferential scenarios so you can see what origin is worth to your margin.

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Related terms

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Rules of origin

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