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With the US-Mexico-Canada Agreement (USMCA) entering into force on Wednesday, July 1, 2020, NMMA is reminding members to review changes that pertain to the recreational boating industry. Members are also encouraged to read NMMA’s fact sheet on USMCA for a refresh of the main components of the agreement. Please note that North American Free Trade Agreement (NAFTA) rules will continue to apply until July 1 and will continue to apply for goods that enter commerce on or before June 30.

Under USMCA, there are no changes to the rules of origin for recreational marine engines and boats. However, importers will have to provide information in a new format to prove origin of goods and claim preferential tariff treatment. This new ‘certification of origin’ does not follow a prescribed format (in contrast to NAFTA certificates), but must include elements such as:

• Identification and address of the certifier;
• Exporter;
• Producer;
• Importer;
• Description of the good; and
• The rule of origin.

The certification can be completed by the importer, exporter, or producer of the goods. It can be included on an invoice or any other document and can be submitted electronically with an electronic or digital signature. An example of a valid certification of origin can be found here.

Additional resources to help businesses ensure they are complaint with USMCA rules are available here:

• Prepare for USMCA (US International Trade Administration). This plain language guide covers “important information to be aware of on day one of USMCA…including tariffs, certification of origin, de minimis, and rules of origin.”
• Overview of key changes affecting imports (Canada Border Services Agency). Exporting manufacturers and importers should pay attention to the proof of origin rules to claim preferential tariff treatment, including the format of new certifications of origin. Canadian members will want to carefully review these resources.
• Updated Interim Implementation Instructions (US Customs and Border Protection). A detailed document that gives technical guidance on implementing the various chapters of the new trade agreement. The latest guidance from June 16, 2020 can be accessed in PDF format here.

NMMA understands the challenge members are facing in complying with a new trade agreement during a global pandemic and encourages stakeholders to keep an eye out for additional compliance resources and other useful guidance in the coming days and weeks.

For more information, please contact NMMA senior vice president of government and legal affairs, Nicole Vasilaros at [email protected]; NMMA Canada president, Sara Anghel at [email protected]; NMMA Canada director of federal and provincial government relations, Jim Wielgosz at [email protected], or NMMA director of federal government relations, Clay Crabtree at [email protected].