Considerations on COM(2023)254 - EU position in the EU-Central America Association Council regarding modifications to Appendix 2 and Appendix 2A to Annex II to the association agreement with Central America

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(1)The Agreement establishing an Association between the European Union and its Member States, on the one hand, and Central America on the other (‘the Agreement’) was concluded by the Union by Council Decision (2012/734/EU) 3 . Pursuant to article 353(4) of the Agreement, Part IV has been applied provisionally since 1 August 2013 between the Union, Nicaragua, Honduras and Panama, since 1 October 2013 between the Union and El Salvador and Costa Rica, and since 1 December 2013 between the Union and Guatemala.

(2)Pursuant to Article 345(2)(a)(iv) of the Agreement and to Article 36 of Annex II to the Agreement, which concerns the definition of the concept of ‘originating products’ and methods of administrative cooperation, the Association Council established by Article 4 of the Agreement is able to decide to modify the provisions of Appendices to Annex II.

(3)The Association Council is to adopt a Decision amending Appendix 2 (List of working or processing required to be carried out on non-originating materials in order that the product manufactured can obtain originating status) and Appendix 2A (Addendum to the list of working or processing required to be carried out on non-originating materials in order that the product manufactured can obtain originating status) to Annex II, which is based on the Harmonised System (HS) 2017, to align the product specific rules of origin with the updated Harmonized System as applicable from 2022. Such alignement includes the changes introduced by the HS 2022 to the products speficic rules of origin of Appendix 2 and to Note 4(1) (c) and (d) concerning the products of Chapters 61 and 62 of Appendix 2A. For reasons of clarity, taking in account the number of amendments that need to be made in Appendix 2, that Appendix should be replaced in its entirety. In Appendix 2A to Annex II, only Note 4 should be replaced.

(4)It is appropriate to establish the position to be taken on the Union's behalf in the Association Council, as the Decision will have legal effect in the Union,