[:uk]The Council Decision (EU) 2024/2606 of 23 September 2024 establishes the position to be taken on behalf of the European Union (EU) within the Partnership Council formed under the Trade and Cooperation Agreement (TCA) between the EU and the United Kingdom (UK). Specifically, it addresses modifications to Annex 3 of the TCA, which contains the Product Specific Rules of Origin (PSRO).
Under Article 7(4)(c) and Article 68 of the TCA, the Partnership Council has the authority to amend Chapter 2, “Rules of Origin,” and its related annexes, including Annex 3. Annex 3 outlines the PSRO, detailing the specific working or processing required on non-originating materials for a product to obtain originating status under the Agreement.
The current Annex 3 is based on the Harmonized System (HS) 2017 version, an internationally standardized nomenclature for classifying traded products. Since amendments to the HS were introduced on 1 January 2022, resulting in the HS 2022 version, it’s necessary to update Annex 3 to align with these changes. The modifications involve adjusting the wording of chapters, headings, and subheadings and adapting the PSRO to reflect the HS 2022 version accurately.
Due to the extensive number of amendments required, Annex 3 will be replaced in its entirety for clarity. The changes ensure that the PSRO correspond correctly with the updated HS classifications. In some cases, products have moved between different chapters or headings due to the HS updates. To maintain consistency, the PSRO have been modified accordingly for these products. This adjustment was necessary only for a few headings, specifically 24.03, 24.04, 38.27, 84.79, and 85.24.
Decision No 1/2023 of the Partnership Council stipulates that Annex 3 should not be amended for products listed in Annex 5 of the TCA, except when updates to the HS necessitate such amendments. The current modifications comply with this stipulation, as they do not introduce changes to the products listed in Annex 5 beyond those required by the HS updates.
Article 1 of the Council Decision confirms that the EU’s position within the Partnership Council is as set out in the draft Decision attached to the Decision. Article 2 states that the Decision of the Partnership Council will be published in the Official Journal of the European Union. Article 3 specifies that the Decision will enter into force on the date of its adoption.
The attached draft Decision of the Partnership Council mirrors these provisions. It formally replaces Annex 3 of the TCA with the updated Annex 3, as set out in Annex 1 of the Decision. The new Annex 3 contains the revised PSRO, aligned with the HS 2022 version. Article 2 of the draft Decision notes that it will enter into force 60 days after the date of its adoption.
In summary, the Council Decision facilitates the update of the PSRO in Annex 3 of the TCA to reflect the HS 2022 nomenclature. This ensures that the classification of products and the associated rules of origin are accurate and up-to-date, maintaining the efficacy and relevance of the TCA between the EU and the UK.[:]
