1404-2 Alternative Methods to Determine the Customs Value of Imported Goods (FAQ)

 “Alternative methods of determining customs value of imported goods”

  Imported goods of which there are some specific conditions or there are no import transaction such as free consignment shall be determined by one of the following methods.

1.   Methods of determining the customs value on the basis of the transaction value of the identical or similar goods.
     When identical or similar goods have been from the same manufacturing country to Japan at or about the same time, the customs value of the imported goods shall be the transaction value of identical or similar goods. In this case, the transaction value of the identical or similar goods shall be adjusted when the commercial level, quantity, cost of transport, etc of the identical or similar goods are different from those of the imported goods.
2.   Methods of determining the customs value on the basis of domestic selling price or cost of production of the imported goods.
     In the case that the customs value can not be determined on the basis of the transaction value of the identical or similar goods, one of the following methods shall be applied.
   
   1. The deductive value method: Determining customs value by deducting the expenses of domestic sale from the domestic selling price of the imported goods.
   2. The computed value method: Determining the customs value by summing up the price of the cost of production of the imported goods, usual profit and general expenses in connection with sales for export to Japan of the imported goods of the same class or kind, cost of transport to the port of importation etc.
     In this case, the deductive value method shall be applied prior to the computed value method but the computed value method can be preceded if the importer so requests.
3.   Methods of determining the customs value of special imported goods.
     If the customs value of the imported goods can not be determined by any of the above-mentioned methods, other methods such as establishing adjustments by other imported goods which can indicate the details of link between quality and price.

 

(Article 4-2, 4-3 and 4-4 of the Customs Tariff Law)