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This is a Bill, not an Act. For current law, see the Acts databases.
2019-2020-2021
The Parliament of the
Commonwealth of Australia
HOUSE OF REPRESENTATIVES
Presented and read a first time
Customs Amendment (Regional
Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
(Home Affairs)
A Bill for an Act to amend the
Customs Act 1901
,
and for related purposes
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
i
Contents
1
Short title ........................................................................................... 1
2
Commencement ................................................................................. 1
3
Schedules ........................................................................................... 2
Schedule 1--Amendments
3
Part 1--Regional Comprehensive Economic Partnership
(RCEP) originating goods
3
Customs Act 1901
3
Part 2--Verification powers
14
Customs Act 1901
14
Part 3--Application provisions
17
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
1
A Bill for an Act to amend the
Customs Act 1901
,
1
and for related purposes
2
The Parliament of Australia enacts:
3
1 Short title
4
This Act is the
Customs Amendment (Regional Comprehensive
5
Economic Partnership Agreement Implementation) Act 2021
.
6
2 Commencement
7
(1) Each provision of this Act specified in column 1 of the table
8
commences, or is taken to have commenced, in accordance with
9
column 2 of the table. Any other statement in column 2 has effect
10
according to its terms.
11
12
2
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
Commencement information
Column 1
Column 2
Column 3
Provisions
Commencement
Date/Details
1. Sections 1 to 3
and anything in
this Act not
elsewhere covered
by this table
The day this Act receives the Royal Assent.
2. Schedule 1
The later of:
(a) the day this Act receives the Royal
Assent; and
(b) the day the Regional Comprehensive
Economic Partnership Agreement, done
on 15 November 2020, enters into force
for Australia.
However, the provisions do not commence
at all if the event mentioned in paragraph (b)
does not occur.
The Minister must announce, by notifiable
instrument, the day the Agreement enters
into force for Australia.
Note:
This table relates only to the provisions of this Act as originally
1
enacted. It will not be amended to deal with any later amendments of
2
this Act.
3
(2) Any information in column 3 of the table is not part of this Act.
4
Information may be inserted in this column, or information in it
5
may be edited, in any published version of this Act.
6
3 Schedules
7
Legislation that is specified in a Schedule to this Act is amended or
8
repealed as set out in the applicable items in the Schedule
9
concerned, and any other item in a Schedule to this Act has effect
10
according to its terms.
11
Amendments
Schedule 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
Part 1
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
3
Schedule 1--Amendments
1
Part 1--Regional Comprehensive Economic
2
Partnership (RCEP) originating goods
3
Customs Act 1901
4
1 Subparagraph 105B(3)(b)(ii)
5
Omit "or 13", substitute ", 13 or 14".
6
2 Subsection 105B(4) (paragraph (b) of the definition of
7
biofuel blend
)
8
Omit "or 13", substitute ", 13 or 14".
9
3 After Division 1M of Part VIII
10
Insert:
11
Division 1N--Regional Comprehensive Economic
12
Partnership (RCEP) originating goods
13
Subdivision A--Preliminary
14
153ZQA Simplified outline of this Division
15
•
This Division defines RCEP originating goods (short for
16
Regional Comprehensive Economic Partnership originating
17
goods). Preferential rates of customs duty under the
Customs
18
Tariff Act 1995
apply to such goods that are imported into
19
Australia.
20
•
Subdivision B provides that goods are RCEP originating
21
goods if they are wholly obtained or produced in a Party.
22
•
Subdivision C provides that goods are RCEP originating
23
goods if they are produced entirely in a Party from originating
24
materials only.
25
Schedule 1
Amendments
Part 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
4
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
•
Subdivision D sets out when goods are RCEP originating
1
goods because they are produced entirely in a Party from
2
non-originating materials only or from non-originating
3
materials and originating materials.
4
•
Subdivision E deals with how the consignment of goods
5
affects whether the goods are RCEP originating goods.
6
•
Subdivision F allows regulations to make provision for and in
7
relation to determining whether goods are RCEP originating
8
goods.
9
153ZQB Interpretation
10
Definitions
11
(1) In this Division:
12
Agreement
means the Regional Comprehensive Economic
13
Partnership Agreement, done on 15 November 2020, as amended
14
and in force for Australia from time to time.
15
Note:
The Agreement could in 2021 be viewed in the Australian Treaties
16
Library on the AustLII website (http://www.austlii.edu.au).
17
aquaculture
has the meaning given by Article 3.1 of Chapter 3 of
18
the Agreement.
19
Convention
means the International Convention on the
20
Harmonized Commodity Description and Coding System done at
21
Brussels on 14 June 1983, as in force from time to time.
22
Note:
The Convention is in Australian Treaty Series 1988 No. 30 ([1988]
23
ATS 30) and could in 2021 be viewed in the Australian Treaties
24
Library on the AustLII website (http://www.austlii.edu.au).
25
customs authority
has the meaning given by Article 4.1 of
26
Chapter 4 of the Agreement.
27
customs value
of goods has the meaning given by section 159.
28
factory ship of a Party
has the same meaning as it has in Chapter 3
29
of the Agreement.
30
Amendments
Schedule 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
Part 1
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
5
Harmonized Commodity Description and Coding System
means
1
the Harmonized Commodity Description and Coding System that
2
is established by or under the Convention.
3
Harmonized System
means:
4
(a) the Harmonized Commodity Description and Coding System
5
as in force immediately before 1 January 2017; or
6
(b) if the table in Annex 3A to Chapter 3 of the Agreement is
7
amended or replaced to refer to Chapters, headings and
8
subheadings of a later version of the Harmonized Commodity
9
Description and Coding System--the later version of the
10
Harmonized Commodity Description and Coding System.
11
indirect materials
means:
12
(a) goods or energy used in the production, testing or inspection
13
of goods, but not physically incorporated in the goods; or
14
(b) goods or energy used in the maintenance of buildings or the
15
operation of equipment associated with the production of
16
goods;
17
including:
18
(c) fuel (within its ordinary meaning); and
19
(d) tools, dies and moulds; and
20
(e) spare parts and materials; and
21
(f) lubricants, greases, compounding materials and other similar
22
goods; and
23
(g) gloves, glasses, footwear, clothing, safety equipment and
24
supplies; and
25
(h) catalysts and solvents.
26
Interpretation Rules
means the General Rules (as in force from
27
time to time) for the Interpretation of the Harmonized System
28
provided for by the Convention.
29
non-originating materials
means goods that are not originating
30
materials.
31
non-Party
has the same meaning as it has in Chapter 3 of the
32
Agreement.
33
originating materials
means:
34
Schedule 1
Amendments
Part 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
6
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
(a) goods that are originating goods, in accordance with
1
Chapter 3 of the Agreement, and that are used in the
2
production of other goods; or
3
(b) indirect materials.
4
Party
has the meaning given by Article 1.2 of Chapter 1 of the
5
Agreement.
6
Note:
See also subsection (6).
7
person of a Party
has the same meaning as it has in Chapter 3 of
8
the Agreement.
9
production
has the meaning given by Article 3.1 of Chapter 3 of
10
the Agreement.
11
Proof of Origin
means a document that is in force and that
12
complies with the requirements of Article 3.16 of Chapter 3 of the
13
Agreement.
14
RCEP originating goods
means goods that, under this Division,
15
are RCEP originating goods.
16
territorial sea
has the same meaning as in the
Seas and Submerged
17
Lands Act 1973
.
18
vessels of a Party
has the same meaning as it has in Chapter 3 of
19
the Agreement.
20
Value of goods
21
(2) The
value
of goods for the purposes of this Division is to be
22
worked out in accordance with the regulations. The regulations
23
may prescribe different valuation rules for different kinds of goods.
24
Tariff classifications
25
(3) In specifying tariff classifications for the purposes of this Division,
26
the regulations may refer to the Harmonized System.
27
(4) Subsection 4(3A) does not apply for the purposes of this Division.
28
Amendments
Schedule 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
Part 1
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
7
Incorporation of other instruments
1
(5) Despite subsection 14(2) of the
Legislation Act 2003
, regulations
2
made for the purposes of this Division may make provision in
3
relation to a matter by applying, adopting or incorporating, with or
4
without modification, any matter contained in an instrument or
5
other writing as in force or existing from time to time.
6
Notification of entry into force of Agreement for a Party
7
(6) The Minister must announce, by notifiable instrument, the day on
8
which the Agreement enters into force for a Party (other than
9
Australia).
10
Subdivision B--Goods wholly obtained or produced in a Party
11
153ZQC Goods wholly obtained or produced in a Party
12
(1) Goods are
RCEP originating goods
if:
13
(a) they are wholly obtained or produced in a Party; and
14
(b) either:
15
(i) the importer of the goods has, at the time the goods are
16
imported, a Proof of Origin, or a copy of one, for the
17
goods; or
18
(ii) Australia has waived the requirement for a Proof of
19
Origin for the goods.
20
(2) Goods are
wholly obtained or produced
in a Party if, and only if,
21
the goods are:
22
(a) plants, or goods obtained from plants, that are grown and
23
harvested, picked or gathered in that Party (including fruit,
24
flowers, vegetables, trees, seaweed, fungi and live plants); or
25
(b) live animals born and raised in that Party; or
26
(c) goods obtained from live animals raised in that Party; or
27
(d) goods obtained from hunting, trapping, fishing, farming,
28
aquaculture, gathering or capturing conducted in that Party;
29
or
30
(e) minerals, or other naturally occurring substances, extracted or
31
taken from the soil, waters, seabed or subsoil beneath the
32
seabed in that Party; or
33
Schedule 1
Amendments
Part 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
8
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
(f) goods of sea-fishing or other marine life taken by vessels of
1
that Party, or other goods taken by that Party or a person of
2
that Party, from the waters, seabed or subsoil beneath the
3
seabed outside the territorial sea of the Parties and
4
non-Parties provided that:
5
(i) for goods of sea-fishing or other marine life taken by
6
vessels of that Party (the
relevant Party
) from the
7
exclusive economic zone of any Party or non-Party--
8
the relevant Party has the rights to exploit that exclusive
9
economic zone in accordance with international law; or
10
(ii) for other goods taken by that Party or a person of that
11
Party--that Party or person has the rights to exploit the
12
waters, seabed or subsoil beneath the seabed in
13
accordance with international law; or
14
(g) goods of sea-fishing or other marine life taken by vessels of
15
that Party from the high seas in accordance with international
16
law; or
17
(h) goods processed or made on board a factory ship of that
18
Party, exclusively from goods covered by paragraph (f) or
19
(g); or
20
(i) either of the following:
21
(i) waste and scrap that has been derived from production
22
or consumption in that Party and that is fit only for
23
disposal, for the recovery of raw materials or for
24
recycling purposes;
25
(ii) used goods that are collected in that Party and that are
26
fit only for disposal, for the recovery of raw materials or
27
for recycling purposes; or
28
(j) goods obtained or produced in that Party solely from goods
29
referred to in paragraphs (a) to (i) or from their derivatives.
30
Subdivision C--Goods produced from originating materials
31
153ZQD Goods produced from originating materials
32
Goods are
RCEP originating goods
if:
33
(a) they are produced entirely in a Party from originating
34
materials only; and
35
(b) either:
36
Amendments
Schedule 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
Part 1
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
9
(i) the importer of the goods has, at the time the goods are
1
imported, a Proof of Origin, or a copy of one, for the
2
goods; or
3
(ii) Australia has waived the requirement for a Proof of
4
Origin for the goods.
5
Subdivision D--Goods produced from non-originating
6
materials
7
153ZQE Goods produced from non-originating materials
8
(1) Goods are
RCEP originating goods
if:
9
(a) they are classified to a Chapter, heading or subheading of the
10
Harmonized System that is covered by the table in Annex 3A
11
to Chapter 3 of the Agreement; and
12
(b) they are produced entirely in a Party from non-originating
13
materials only or from non-originating materials and
14
originating materials; and
15
(c) the goods satisfy the requirements applicable to the goods in
16
that Annex; and
17
(d) either:
18
(i) the importer of the goods has, at the time the goods are
19
imported, a Proof of Origin, or a copy of one, for the
20
goods; or
21
(ii) Australia has waived the requirement for a Proof of
22
Origin for the goods.
23
(2) Without limiting paragraph (1)(c), a requirement may be specified
24
in the table in Annex 3A to Chapter 3 of the Agreement by using
25
an abbreviation that is given a meaning for the purposes of that
26
Annex.
27
Change in tariff classification
28
(3) If a requirement that applies in relation to the goods is that all
29
non-originating materials used in the production of the goods must
30
have undergone a particular change in tariff classification, the
31
regulations may prescribe when a non-originating material used in
32
the production of the goods is taken to satisfy the change in tariff
33
classification.
34
Schedule 1
Amendments
Part 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
10
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
(4) If:
1
(a) a requirement that applies in relation to the goods is that all
2
non-originating materials used in the production of the goods
3
must have undergone a particular change in tariff
4
classification; and
5
(b) the goods are classified to any of Chapters 1 to 97 of the
6
Harmonized System; and
7
(c) one or more of the non-originating materials used in the
8
production of the goods do not satisfy the change in tariff
9
classification;
10
then the requirement is taken to be satisfied if the total value of the
11
non-originating materials covered by paragraph (c) does not exceed
12
10% of the customs value of the goods.
13
(5) If:
14
(a) a requirement that applies in relation to the goods is that all
15
non-originating materials used in the production of the goods
16
must have undergone a particular change in tariff
17
classification; and
18
(b) the goods are classified to any of Chapters 50 to 63 of the
19
Harmonized System; and
20
(c) one or more of the non-originating materials used in the
21
production of the goods do not satisfy the change in tariff
22
classification;
23
then the requirement is taken to be satisfied if the total weight of
24
the non-originating materials covered by paragraph (c) does not
25
exceed 10% of the total weight of the goods.
26
Regional value content
27
(6) If a requirement that applies in relation to the goods is that the
28
goods must have a regional value content of not less than a
29
particular percentage worked out in a particular way:
30
(a) the regional value content of the goods is to be worked out in
31
accordance with the Agreement; or
32
(b) if the regulations prescribe how to work out the regional
33
value content of the goods--the regional value content of the
34
goods is to be worked out in accordance with the regulations.
35
Amendments
Schedule 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
Part 1
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
11
153ZQF Packaging materials and containers
1
(1) If:
2
(a) goods are packaged for retail sale in packaging material or a
3
container; and
4
(b) the packaging material or container is classified with the
5
goods in accordance with Rule 5 of the Interpretation Rules;
6
then the packaging material or container is to be disregarded for
7
the purposes of this Subdivision.
8
Regional value content
9
(2) However, if a requirement that applies in relation to the goods is
10
that the goods must have a regional value content of not less than a
11
particular percentage worked out in a particular way, the
12
regulations must provide for the following:
13
(a) the value of the packaging material or container to be taken
14
into account for the purposes of working out the regional
15
value content of the goods;
16
(b) the packaging material or container to be taken into account
17
as an originating material or non-originating material, as the
18
case may be.
19
Note:
The value of the packaging material or container is to be worked out
20
in accordance with the regulations: see subsection 153ZQB(2).
21
153ZQG Accessories, spare parts, tools or instructional or other
22
information materials
23
(1) If:
24
(a) goods are imported into Australia with accessories, spare
25
parts, tools or instructional or other information materials;
26
and
27
(b) the accessories, spare parts, tools or instructional or other
28
information materials are presented with, and not invoiced
29
separately from, the goods; and
30
(c) the quantities and value of the accessories, spare parts, tools
31
or instructional or other information materials are customary
32
for the goods;
33
Schedule 1
Amendments
Part 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
12
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
then the accessories, spare parts, tools or instructional or other
1
information materials are to be disregarded for the purposes of this
2
Subdivision.
3
Regional value content
4
(2) However, if a requirement that applies in relation to the goods is
5
that the goods must have a regional value content of not less than a
6
particular percentage worked out in a particular way, the
7
regulations must provide for the following:
8
(a) the value of the accessories, spare parts, tools or instructional
9
or other information materials to be taken into account for the
10
purposes of working out the regional value content of the
11
goods;
12
(b) the accessories, spare parts, tools or instructional or other
13
information materials to be taken into account as originating
14
materials or non-originating materials, as the case may be.
15
Note:
The value of the accessories, spare parts, tools or instructional or other
16
information materials is to be worked out in accordance with the
17
regulations: see subsection 153ZQB(2).
18
153ZQH Non-qualifying operations or processes
19
(1) Goods are not RCEP originating goods under this Subdivision
20
merely because of the following operations or processes:
21
(a) preserving operations to ensure that the goods remain in good
22
condition for the purpose of transport or storage of the goods;
23
(b) packaging or presenting the goods for transportation or sale;
24
(c) simple processes, consisting of sifting, screening, sorting,
25
classifying, sharpening, cutting, slitting, grinding, bending,
26
coiling or uncoiling;
27
(d) affixing or printing of marks, labels, logos or other like
28
distinguishing signs on the goods or on their packaging;
29
(e) mere dilution with water or another substance that does not
30
materially alter the characteristics of the goods;
31
(f) disassembly of products into parts;
32
(g) slaughtering (within the meaning of Article 3.6 of Chapter 3
33
of the Agreement) of animals;
34
(h) simple painting or polishing operations;
35
Amendments
Schedule 1
Regional Comprehensive Economic Partnership (RCEP) originating goods
Part 1
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
13
(i) simple peeling, stoning or shelling;
1
(j) simple mixing of goods, whether or not of different kinds;
2
(k) any combination of things referred to in paragraphs (a) to (j).
3
(2) For the purposes of this section,
simple
has the same meaning as it
4
has in Article 3.6 of Chapter 3 of the Agreement.
5
Subdivision E--Consignment
6
153ZQI Consignment
7
(1) Goods are not RCEP originating goods under this Division if the
8
goods are transported through one or more Parties (other than the
9
Party from which the goods are exported or Australia) or
10
non-Parties and either or both of the following apply:
11
(a) the goods undergo further processing in those Parties or
12
non-Parties (other than logistics activities such as unloading,
13
reloading, storing or any other operation that is necessary to
14
preserve the goods in good condition or to transport the
15
goods to Australia);
16
(b) while the goods are in those Parties or non-Parties, the goods
17
do not remain under the control of the customs authorities of
18
those Parties or non-Parties at all times.
19
(2) This section applies despite any other provision of this Division.
20
Subdivision F--Regulations
21
153ZQJ Regulations
22
The regulations may make provision for and in relation to
23
determining whether goods are RCEP originating goods under this
24
Division.
25
Schedule 1
Amendments
Part 2
Verification powers
14
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
Part 2--Verification powers
1
Customs Act 1901
2
4 After Division 4K of Part VI
3
Insert:
4
Division 4L--Exportation of goods to Parties to the
5
Regional Comprehensive Economic Partnership
6
Agreement
7
126AQA Definitions
8
In this Division:
9
Agreement
means the Regional Comprehensive Economic
10
Partnership Agreement, done on 15 November 2020, as amended
11
and in force for Australia from time to time.
12
Note:
The Agreement could in 2021 be viewed in the Australian Treaties
13
Library on the AustLII website (http://www.austlii.edu.au).
14
customs authority
has the meaning given by Article 4.1 of
15
Chapter 4 of the Agreement.
16
Party
has the meaning given by Article 1.2 of Chapter 1 of the
17
Agreement.
18
producer
means a person who engages in the production of
19
good
s.
20
production
has the meaning given by Article 3.1 of Chapter 3 of
21
the Agreement.
22
RCEP customs official
, for a Party, means a person representing
23
the customs authority of that Party.
24
Amendments
Schedule 1
Verification powers
Part 2
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
15
126AQB Record keeping obligations
1
Regulations may prescribe record keeping obligations
2
(1) The regulations may prescribe record keeping obligations that
3
apply in relation to goods that:
4
(a) are exported to a Party; and
5
(b) are claimed to be originating goods, in accordance with
6
Chapter 3 of the Agreement, for the purpose of obtaining a
7
preferential tariff in the Party.
8
On whom obligations may be imposed
9
(2) Regulations for the purposes of subsection (1) may impose such
10
obligations on an exporter or producer of goods.
11
126AQC Power to require records
12
Requirement to produce records
13
(1) An authorised officer may require a person who is subject to record
14
keeping obligations under regulations made for the purposes of
15
section 126AQB to produce to the officer such of those records as
16
the officer requires.
17
Note:
Failing to produce a record when required to do so by an officer may
18
be an offence: see section 243SB. However, a person does not have to
19
produce a record if doing so would tend to incriminate the person: see
20
section 243SC.
21
Disclosing records to RCEP customs official
22
(2) An authorised officer may, for the purpose of verifying a claim for
23
a preferential tariff in a Party, disclose any records so produced to
24
a RCEP customs official for that Party.
25
126AQD Power to ask questions
26
Power to ask questions
27
(1) An authorised officer may require a person who is an exporter or
28
producer of goods that:
29
Schedule 1
Amendments
Part 2
Verification powers
16
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
No. , 2021
(a) are exported to a Party; and
1
(b) are claimed to be originating goods, in accordance with
2
Chapter 3 of the Agreement, for the purpose of obtaining a
3
preferential tariff in the Party;
4
to answer questions in order to verify the origin of the goods.
5
Note:
Failing to answer a question when required to do so by an officer may
6
be an offence: see section 243SA. However, a person does not have to
7
answer a question if doing so would tend to incriminate the person:
8
see section 243SC.
9
Disclosing answers to RCEP customs official
10
(2) An authorised officer may, for the purpose of verifying a claim for
11
a preferential tariff in a Party, disclose any answers to such
12
questions to a RCEP customs official for that Party.
13
Amendments
Schedule 1
Application provisions
Part 3
No. , 2021
Customs Amendment (Regional Comprehensive Economic Partnership
Agreement Implementation) Bill 2021
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Part 3--Application provisions
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5 Application provisions
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(1)
The amendments made by Part 1 apply in relation to:
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(a) goods imported into Australia on or after the commencement
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of that Part; and
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(b) goods imported into Australia before the commencement of
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that Part, where the time for working out the rate of import
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duty on the goods had not occurred before the
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commencement of that Part.
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(2)
The amendment made by Part 2 applies in relation to goods exported to
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a Party on or after the commencement of that Part (whether the goods
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were produced before, on or after that commencement).
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