(NAR) VOL. 11 NO.2 / APRIL – JUNE 2000
WHEREAS, the Philippines is a Contracting
Party to the Basic Agreement on the ASEAN Industrial Cooperation (AICO)
Scheme signed in Singapore on 27 April 1996;
WHEREAS, the
Philippines is a participating country in the approved AICO Arrangement
of Ford Motor Company Philippines, Inc. and Laguna Autoparts Mfg., Corp.
(LAMCOR), both along with Thailand;
WHEREAS, under the
FORD AICO Arrangement, the Philippines (Ford Motor Co. Phils. Inc.) will
import from Thailand certain original equipment manufacturer (OEM)
automotive parts/components for FORD Laser LYNX passenger cars (HS
8703.90 10) and Ford Ranger Pick-ups (HS 8704.90 10). In exchange,
Thailand will import from the Philippines complementary component parts
for the OEM of FORD Laser LYNX passenger cars;
WHEREAS,
under the LAMCOR AICO Arrangement, the Philippines (Laguna Autoparts
Mfg. Corp.) will import from Thailand certain intermediate products for
the assembly of OEM alternators and starters. In exchange, Thailand will
import from the Philippines complementary component parts for
alternators and starters;
WHEREAS, AICO Certificate of
Eligibility Nos. Ford/2000/1 and MEL/2000/3 were both issued on 03
January 2000 in favor of the participating companies in the FORD and
LAMCOR AICO Arrangements;
WHEREAS, in consonance with
Articles 5 and 7 of the Basic Agreement of the AICO Scheme,
participating companies in the approved FORD and LAMCOR AICO
Arrangements shall qualify for 0-5% preferential tariff rates to be
extended y Thailand and the Philippines as participating countries,
effective within 45 days from the date of issuance of the Certificates
of Eligibility by the ASEAN Secretariat.
NOW, THEREFORE, I, JOSEPH EJERCITO ESTRADA,
President of the Republic of the Philippines, pursuant to the powers
vested in me under Section 402 of the Tariff and Customs Code of 1978,
as amended, do hereby order:
SECTION 1. The articles specifically listed in Annex “A”,
hereof, as classified under Section 104 of the Tariff and Customs Code
of 1978, as amended, shall be accorded the AICO rate of 5% on component
parts of Laser LYNX passengers cars (HS 8703.90 10) and the AICO rate of
3% on component parts of Ranger Pick-ups (HS 8704.90 10) as specified
in Column 6 thereof.
SECTION 2. The AICO rate provided in Annex “A”, shall be accorded to the AICO entity in Thailand (Auto Alliance (Thailand) Company Limited) effective from 03 January 2000.
SECTION 3. The articles specifically listed in Annex “B”
hereof, as classified under Section 104 of the Tariff and Customs Code
of 1978, as amended, shall be accorded the AICO rate of 3% on vacuum
pump assemblies (HS 8414.10 00) yoke assemblies, rotor assemblies (HS
8511.90 00), and rear and front brackets (HS 8511.90 00) as specified in
Column 5 thereof.
SECTION 4. The AICO rate provided in Annex “B” shall be accorded to the AICO entity in Thailand (Mitsubishi Electric Thai Auto Parts Co. Ltd.) effective 03 January 2000.
SECTION 5. In the event that any subsequent changes are made in the basic (MFN) Philippine rate of duty on any of the articles listed in Annexes “A” and “B” to
a rate lower than the AICO rate prescribed in Column 6 of Annex “A” and
Column 5 of Annex “B”, such article shall automatically be accorded the
corresponding reduced rate of duty. Effective 01 January 2003, the
final CEPT rate on the subject articles shall apply.
SECTION 6. Upon the effectivity of this Executive Order, the articles specifically listed in the aforesaid Annexes “A” and “B”
which are entered or withdrawn from warehouses in the Philippines for
consumption shall pay the applicable AICO preferential tariff rates
specified under Sections 1 and 3, hereof, subject to qualification under
the Rules of Origin for the CEPT, as evidenced by the Certificate of
Origin – Form “D”.
SECTION 7. Any revision/s to the part
numbers appearing in the aforesaid Annexes shall be communicated
immediately to the Bureau of Customs by the Board of Investments within
five (5) days after receipt of the official copy of the revised part
numbers from the ASEAN Secretariat.
SECTION 8. This Executive Order shall take effect immediately.
Done in the City of Manila, this 4th day of May in the year of our Lord, Two Thousand.
(Sgd.) JOSEPH EJERCITO ESTRADA
By the President:
RONALDO B. ZAMORAExecutive Secretary