1506 Exclusion or Graduation from the GSP scheme
(FAQ)
Japan prepares the system of “product-by-exclusion” and “graduation of advanced beneficiaries” to ensure a wider uptake of GSP preferences.
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1. |
Product-by-Exclusion
A product originating from a beneficiary can be excluded from the product coverage of the preferential treatment. Conditions for this exclusion are as follows;
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1) Considering its competitiveness, a product can be excluded from the preferential treatment when (i) the value of Japan’s import of a product originating from a beneficiary exceeds one billion yen and 50% of the total value of Japan’s imports of the product from all over the world in two consecutive years (For example, in the case of FY2009, statistics of the CY2006 and CY2007 should be considered.), and (ii) both of the following criteria are satisfied. |
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a) Domestic produce of competitive products can be observed.
b) The impacts on the domestic industry which produces or uses the product can be assessed. |
The ceiling-applied products are not subject to this condition.
By this condition, the following items
originating from the respective country are currently excluded from the
preferential tariff treatment.
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Tariff heading |
Major items |
Country |
| 1604.19ex |
Other prepared fish (excluding eel, boiled and dried fish) (including whole or in pieces, but not minced) |
China |
| 1605.90-2-(3)ex |
Prepared mollusks (excluding smoked mollusks, other than cuttlefish, squid, abalone and scallops) (other than in airtight containers) |
China |
| 2836.20-1 |
Soda ash |
China |
| 6912.00 |
Ceramic tableware, kitchenware, other household articles and toilet articles, other than of porcelain or china |
China |
| 8213.00 |
Scissors, tailors' shears and similar shears, and blades thereof |
China |
| 8215.99 |
Spoons, forks, and similar kitchen or tableware |
China |
| 9404.90 |
Mattress supports; articles of bedding and similar furnishing (other than mattresses and sleeping bags) (including only fitted with springs or stuffed or internally fitted with any material or of cellular rubber or plastics) |
China |
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2) When a country or territory is judged to be against the conservation of certain species of fish by a Regional Fisheries Management Organization (RFMO), the products of the species originating from the beneficiary are excluded from the preferential treatment.
When the product which had been excluded due to 1) has not satisfied these criteria in two consecutive years and when the abovementioned judgment regarding 2) on the beneficiary be changed, preferential tariff treatment shall be granted again to the excluded products. |
2. |
Graduation of Advanced Beneficiaries
1) Partial Graduation
Considering its international competitiveness, the products originating from the beneficiary of a) which satisfy b) shall be excluded from application of the preferential treatment.
a) Criterion for countries/territories
The beneficiary is classified as a high income economy in the “World Bank Statistics” of the previous year.
b) Criterion for products
The value of Japan’s imports of the product originating from the beneficiary exceeds one billion yen and 25% of the total value of Japan’s imports of the product from all over the world in the trade statistics of two years ago (For example, in case of FY2008, the CY2006 statistics should be considered.).
After annual review at the beginning of each fiscal year, preferential tariff treatment shall be granted again when any of the above criteria is not satisfied.
2) Entire Graduation
A country or territory shall be excluded from the beneficiaries of Japan’s GSP scheme, when the country or territory has been classified in the “World Bank Statistics” as a high income country for three consecutive years.
In a case where the country or territory which had been once excluded from the beneficiaries has not been classified as a high income country for three consecutive years, the country or territory shall be designated to be a beneficiary again if the country or territory requests so.
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| | (Article 8-2-2 of the Temporary Tariff Measures Law, Article 25-2-1 and 25-2-2 of the Cabinet Order for Enforcement of the Temporary Tariff Measures Law)
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For consultations on customs procedures, please contact the nearest Customs Counselor.
Please see No. 9301 for inquiries.
