Neutral elements

Also called: indirect materials

Items used in producing goods that do not enter into their final composition, such as energy, fuel, machines, tools and lubricants. Origin rules generally ignore their origin when determining whether a product is originating.

In practice

Imported machinery or energy does not undermine origin, so producers can leave it out of origin calculations.

Applies to: EUTürkiyeUKUSA

Related terms

Preferential origin
Origin status under the rules of a specific free trade agreement or unilateral preference scheme that entitles goods to a reduced or zero duty. It is…
Non-originating materials
Materials used in production that do not qualify as originating, including inputs from third countries and inputs of undetermined origin.…
Sufficient processing
The degree of working that non-originating materials must undergo for the final product to gain preferential origin. Agreements express it through…

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