Page:United States Statutes at Large Volume 107 Part 3.djvu/137

This page needs to be proofread.

PUBLIC LAW 103-182—DEC. 8, 1993 107 STAT. 2075 ciliated under the net cost method, and for a producer's fiscal year beginning on the day closest to January 1, 2002, and thereafter, 60 percent calculated under the net cost method, for— (i) a good that is a motor vehicle provided for in heading 8701, subheading 8704.10, 8704.22, 8704.23, 8704.32, or 8704.90, or heading 8705 or 8706, or a motor vehicle for the transport of 16 or more persons provided for in subheading 8702.10.00 or 8702.90.00; (ii) a good provided for in heading 8407 or 8408, or subheamng 8708.40 that is for use in a motor vehicle identified in clause (i); and (iii) except for a good identified in subparagraph (A)(ii) or a good provided for in subheadings 8482.10 through 8482.80, or subheading 8483.20 or 8483.30, a gocd identified in Annex 403.1 of the Agreement that is subject to a regional value-content requirement and is for use in a motor vehicle identified in subparagraph (A)(i) or (B)(i). (6) NEW AND REFITTED PLANTS.— The regional value-content requirement for a motor vehicle identified in paragraph (1) or (2) shall be— (A) 50 percent for 5 years after the date on which the first motor vehicle prototvpe is produced in a plant by a motor vehicle assembler, if— (i) it is a motor vehicle of a class, or marque, or, except for a motor vehicle identified in paragraph (2), size category and underbody, not previously produced by the motor vehicle assembler in the territory of any of the NAFTA countries; (ii) the plant consists of a new building in which the motor venicle is assembled; and (iii) the plant contains substantially all new machinery that is used in the assembly oi the motor vehicle; or (B) 50 percent for 2 years aft«r the date on which the firot motor vehicle prototype is produced at a plant following a refit, if it is a motor vehicle of a class, or marque, or, except for a motor vehicle identified in paragraph (2), size category and underbody, differentfiromthat assembled by the motor vehicle assembler in the plant before the rent. (7) ELECTION FOR CERTAIN VEHICLES FROM CANADA. —In the case of goods provided for in subheadings 8703.21 through 8703.90, or subheading 8704.21 or 8704.31, exportedfiromCanada directly to the United States, and entered on or afl«r January 1, 1989, and before the date of entry into force of the Agreement between the United States and Canada, an importer may elect to use the rules of origin set out in this section in lieu of the rules of origin contained in section 202 of the United States-Canada Free-Trade Agreement Implementation Act of 1988 (19 U.S.C. 2112 note) and may elect to use the method for calculating the value of nonoriginating materials established in article 403(2) of the Agreement in lieu of the method established in article 403(1) of the A^^reement for purposes of determining eligibility for preferential duty treatment under the United States-Canada