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Customs Glossary/Origin Tolerance

Origin Tolerance

Tariff classification

PL: Tolerancja pochodzenia | DE: Ursprungstoleranz

Definition

Origin tolerance is a mechanism within preferential rules of origin that allows the use of a specified amount of non-originating materials, even if the product-specific rule does not permit their use. Tolerance is closely linked to the de minimis rule but may take different forms depending on the trade agreement.

Under the PEM Convention, the standard tolerance is 10% of ex-works price. For textiles and clothing (Section XI CN), separate tolerance thresholds apply, often expressed by weight. Proper application requires precise calculation of non-originating materials value relative to the ex-works price.

Related Terms

Origin Tolerance — Customs Glossary | Celna24.com | Celna24.com