Modifying the Rates of Duty on Certain Imported Articles Re: AICO Scheme for Honda and Ford

September 23, 2002 EXECUTIVE ORDER NO. 129 MODIFYING THE RATES OF DUTY ON CERTAIN IMPORTED ARTICLES AS PROVIDED UNDER THE TARIFF AND CUSTOMS C OD E OF 1978, AS AMENDED, IN ORDER TO IMPLEMENT THE PREFERENTIAL TARIFF RATES ON CERTAIN PRODUCTS UNDER THE ASEAN INDUSTRIAL COOPERATION (AICO) SCHEME, IN FAVOR OF HONDA CARS PHILIPPINES, INC. (HONDA) AND FORD MOTOR COMPANY PHILIPPINES, INC. (FORD) (COE NOS. HONDA/2001/20 & FORD/2001/2(A) WHEREAS, the Philippines is a Contracting Party to the Basic Agreement on the ASEAN Industrial Cooperation Scheme (AICO) signed in Singapore on 27 April 1996; WHEREAS, the Philippines is a participating country in the approved AICO Arrangement of Honda Cars Philippines, Inc., along with Indonesia, and in the approved AICO Arrangement of Ford Motor Company Philippines, Inc., along with Thailand; WHEREAS, under the Honda AICO Arrangement, the Philippines (Honda Cars Philippines, Inc.) will import from Indonesia (PT. Honda Prospect Motor) certain original equipment manufacture (OEM) automotive parts/components for Honda CR-V Light commercial vehicles (HS 8702.90 10). In exchange, Indonesia will import from the Philippines complementary parts/components for the OEM of Honda CR-V (Light commercial vehicles); WHEREAS, under the Ford AICO Arrangement, the Philippines (Ford Motor Company Philippines, Inc., and Ford Group Philippines, Inc.) will import from Thailand (Auto Alliance Thailand Co., Ltd.) certain original equipment manufacture (OEM) automotive parts/components for Ford Escape/Mazda Tribute & Ford Laser/Mazda Protg passenger cars (HS 8703.90 10), and completely built units (CBU) of Ford J97 Ranger pickup trucks (HS 8704.21 90) for the transport of goods. In exchange, Thailand will import from the Philippines completely built units (CBU) of Ford U204 Escape/14 Tribute SUV and C206 Laser/J39 Protg passenger cars; DCTSEA WHEREAS, AICO Certificate of Eligibility (COE) No. Honda/2001/20 was issued on 08 February 2002, in favor of the participating companies in the Honda AICO Arrangement, while AICO Certificate of Eligibility (COE) No. Ford/2001/2(A) was issued on 28 February 2002, in favor of the participating companies in the Ford AICO Arrangement; WHEREAS, in consonance with Articles 5 and 7 of the Basic Agreement of the AICO Scheme, participating companies in the approved Honda and Ford AICO Arrangements shall qualify for 05% preferential tariff rates to be extended by Indonesia, Thailand and the Philippines for HCPI and FMCPI. NOW, THEREFORE, I, GLORIA MACAPAGAL-ARROYO, President of the Philippines, pursuant to the powers vested in me under Section 402 of the Tariff and Customs Code of 1978, as amended, do hereby order: SECTION 1. The articles specifically listed in Annex "A" hereof, as classified under Section 104 of the Tariff and Customs Code of 1978, as amended, shall be accorded the AICO rate of 3% on parts/components of Honda CR-V, Light commercial vehicle (HS 8702.90 10) as specified in Column 6 thereof. SECTION 2. The AICO rate provided in Annex "A" shall be accorded to the AICO entity in Indonesia (PT. Honda Prospect Motor) upon the effectivity of this Executive Order. SECTION 3. The articles specifically listed in Annex "B" hereof, as classified under Section 104 of the Tariff and Customs Code of 1978, as amended, shall be accorded the AICO rate of 3% on parts/components of Ford Escape/Mazda Tribute and Ford Laser/Mazda Protg (HS 8703.90 10); and AICO rate of 5% on completely built units of Ford J97 Ranger Pickup trucks (8704.21 90) as specified in Column 6 thereof. SECTION 4. The AICO rate provided in Annex "B" shall be accorded to the AICO entity in Thailand (Auto Alliance Thailand Co. Ltd.) upon the effectivity of this Executive Order. SECTION 5. In the event that any subsequent changes are made in the basic (Most Favored Nation) Philippine rate of duty on any of the articles listed in Annexes "A" and "B" to a rate lower than the AICO rate prescribed in Column 6 of Annexes "A" and "B" , respectively, such articles shall automatically be accorded the corresponding reduced rate of duty. Effective 01 January 2003, the final CEPT rate on the subject articles shall apply. SECTION 6. Upon the effectivity of this Executive Order, the articles specifically listed in the aforesaid Annexes "A" and "B" which are entered or withdrawn from warehouses in the Philippines for consumption shall pay the applicable AICO preferential tariff rates specified under Sections 1 and 3 hereof, subject to qualification under the Rules of Origin for the CEPT, as evidenced by the Certificate of Origin Form "D". SECTION 7. Any revision/s to the part numbers appearing in Column 4 of Annexes "A" and "B" , respectively, shall be communicated immediately to the Bureau of Customs by the Board of Investments within five (5) days after receipt of the official copy of the revised part number/s from the ASEAN Secretariat. SECTION 8. This Executive Order shall take effect on July 19, 2002. DONE in the City of Manila, this 23rd day of September, in the year of Our Lord, Two Thousand and Two. Published in Today on October 4, 2002. ANNEX "A" ARTICLES GRANTED PREFERENTIAL TARIFF UNDER THE APPROVED HONDA AICO SCHEME APPLICABLE AICO HS Code Model/Type Product Description Part No. Source Country/ PREFERENTIAL (AICO Company) TARIFF (%) (1) (2) (3) (4) (5) (6) 8702.90 10 CR-V FRAME PARTS: Indonesia Light (P.T. Honda 3% commercial RELAY (ASSY), TURN SIGNAL (&HAZ) 38300-S5A-0030 Prospect Motor) vehicle KNUCKLE COMP, R RR 52210-S9A-A000 KNUCKLE COMP, R RR ABS 52210-S9A-9800 KNUCKLE COMP, L RR 52215-S9A-A000 KNUCKLE COMP, L RR ABS 52215-S9A-9800 ENGINE PARTS: BLOCK ASSY CYLN 1110A-PNJ-T000 VALVE ASSY HEAD 1210A-PNJ-T000 8703.90 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) ALTERNATOR YF0918300 ALTERNATOR AJ0318300 BLOWER UNIT E11261140 BOARD-TRUNK, CTR E1106883X BOARD-ASSY TRUNK, LH ED21688FO BOARD-ASSY TRUNK, RH ED21688EO BOARD-TRUNK, CTR ED316883X BOLT GJ2134098 BOLT BA1E500Z2 BOLT LA0142780 BOLT JOO134034 BOLT GA2A52403 BOLT TOO142245 BOOSTER ASSY-BRAKE ED2143950 BOOSTER ASSY-BRAKE E11243950 BRACKET-ALTERNATOR YFO918371 BRACKET-EGR TUBE YFO920391 BRKT-HANGER YFO940091 BRKT ASSY-CPU ECO36756Y BRKT ASSY-HANGER YFO940070 BRKT ASSY-HANGER YF0940080 BRKT ASSY-PUMP ECO132680 BRKT ASSY-SHAFT FW7025740 BRKT ASSY-SHAFT FW9025740 BRKT ASSY-SHAFT GG0125740 BRKT ASSY-SHAFT GG0425740 BRKT ASSY-WIPER E110535FX 8703.90 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) BRKT-A/C E1105356Y BRKT-C/UNIT, UPPER YF0918788 BRKT-CABLE B52846070 BRKT-COMPRESSOR YF0915811 BRKT-CONDENSER E11261481 BRKT-CONDENSER E1105319X BRKT-SEAT E11054781 BRKT--SEAT(398Z53781) E11053781 BRKT-TRANS VEN TUB FW60215CY BRKT-TRANS VEN TUB FW80215CY BUSH E12043022 BUSH B00146062 BUSH E12143022 BUSH-F. STAB E11234156 BUSH FRONT (34300/350) E11234470 BUSH REAR (34300/350) E11234460 BUSH-OUT E11267407 BUSH-RUB (No quote) E11428776 BUSH-RUB; DAMPER E11228775 CABLE-ACCEL. E12041660 CABLE-ACCEL. E12141660 CABLE-ASC ECO566311 CABLE-CONTROL ED2146500 CABLE-CONTROL E12046500 CABLE-FILLER OPNER E11256880 CABLE-REAR, LH EC0144420 CABLE-REAR, RH EC0144410 CAP-CENTER EC153719X CEILING TOP (Ford, N/R, w/o ED3168030 OHC, w/o child anchor) CEILING TOP (Ford, S/R, w/ E11768030 OHC, w/o child anchor) CHAMBER ASSY-RES YF471319X 8703.80 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) CHAMBER ASSY-RES AJ341319X CHAN.-GLASS RUN, LH E11673605 CHAN.-GLASS RUN, LH E11259605 CHAN.-GLASS RUN, RH E11672605 CHAN.-GLASS RUN, RH E11258605 COLUMN COVER ASSY ED256021X COLUMN COVER ASSY ED216021X COMPRESSOR ASSY E10261450 COMPRESSOR ASSY EC2561450 CONDENSER ASSY E10061480 CONSOLE ASSY-F ED2164320 CONSOLE ASSY-F EC0464320 CONSOLE ASSY-O/HEAD E1006996Y CONSOLE ASSY-O/HEAD E1016996Y CONSOLE ASSY-R EC0464420 CONSOLE ASSY-R ED2164420 COOLING UNIT (W/MA/C) ED3861520 CORD SHORT EC0267SH3 CORD SHORT (CLUCH) EC3467SH2 CORD SHORT (EVAC) EC0167SC1 COVER-HOLE EC0156055 COVER-HOLE T00156054 COVER-HOLE GA5R56052 COVER-HOLE KA01699A1 COVER-HOLE H26056052 COVER-SUN-SENSOR C00461799 COVER-WIPER ARM LA0167395 DAM CA0150899 DAM GA7B50894 DAMP ASSY, R E11428700 DAMP ASSY-F; LH (Not an EI, part of E11234900 assy 04920) 8703.90 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) DAMP ASSY-F; LH (Not an El, part of E11434900 assy 04920) DAMP ASSY-F; RH (Not an EI, part E11234700 of assy 04910) DAMP ASSY-F; RH (Not an EI, part E11434700 of assy 04910) DRUM-BRAKE, R E11226251 DUCT-AIR OUTLET GA6B61168 DUCT-FRESH AIR YF4713201 FLOOR MAT KIT (Rhd) EC4668G20 GROMMET A00161237 GROMMET FW5019879 HANDLE ASSY-G/H G15A624A0 HANDLE ASSY-OUT E11262410 HINGE ASSY-G/H, LH E116622A0 HINGE ASSY-G/H, RH E116632A0 HINGE PIN 66265653 HOSE ASSY-FLEX, LH E1124382X HOSE ASSY-FLEX, RH E1124381X HOSE ASSY-FLEXIBLE E10061460 HOSE ASSY-FLEXIBLE E10261460 HOSE ASSY-VACUUM E11243490 HOSE ASSY-VACUUM E11443490 HOSE ASSY-WATER E1146124X HOSE ASSY-WATER E1146124Y HOSE ASSY-WATER ED386124Y HOSE ASSY-WATER E1126124Y HOSE ASSY-WATER E1126124X HOSE-AIR INT AJ3413221 HOSE-AIR INT YF4713221 HOSE-BYPASS YF0915261 HOSE-FLEXIBLE ED2141380 HOSE-FLEXIBLE; F E11243980 8703.90 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) HOSE-FUEL E1121349X HOSE-FUEL E1141349X HOSE-JOINT E11242231 HOSE-RETURN (3247X) E11232683 HOSE-RETURN (3247X) E11232681 HOSE-RETURN (Add) E11232682 INS-ENG ROOM E11068611 INSULATOR-BONNET E11856681 INSULATOR-BONNET E11856681 JACK E11237790 JACK EC4337790 KEYSET E10409010 KNOB-CHANGE EC0246030 LAMP-ROOM (w/o Map Lamp, for B25D51310 N/R) LAMP-S. TURN B01W51120 LATCH ASSY-DOOR, LH EC1473310 LATCH ASSY-DOOR, LH EC1559310 LATCH ASSY-DOOR, RH EC1458310 LATCH ASSY-DOOR, RH EC1472310 LEVER-JACK E11237770 LID ASSY-FILLER E11642410 MAT-PAPER T00368672 MIRROR-R VIEW, IN EC1369220 MLDG-ROOF, LH E11050626 MLDG-ROOF, RH E11050621 MODULE ASSY-A/B, PGR E10057K70 MODULE-A/B, SIDE, LH E10857KB0 MODULE-A/B, SIDE, RH E10057KA0 MODULE-AIR BAG EC1857K00 MODULE-AIR BAG EC1757K00 MODULE-AIR BAG EC1357K00 NOZZLE ASSY-WASHER E11267510 8703.90 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) NOZZLE ASSY-WASHER E11367510 NOZZLE ASSY-WASHER, R EC050750Y NUT GJ2153456 NUT GJ2153456 NUT D10176605 NUT JE1040355 NUT EC0153972 NUT 9XG06468S NUT 9XG06468S NUT 9XG06468S NUT 9XG06468S NUT 9XG06468S NUT 9XG06468S NUT 9XG06468S NUT 9XG06468S NUT 9XG06468S NUT 9XG06468S NUT FW5019065 NUT (28800) 9WA001401 NUT (32960) 9.99211e+008 NUT-HUB E11237161 NUT-HUB E11237161 PIPE-COOLER, #1 E1006146X PIPE-COOLER, #2 E10061465 PIPE-COOLER, #3 E10061466 PIPING ASSY ED2145020 PIPING ASSY E11245020 RADIATOR AJ3415200 RADIATOR YF4715200 RADIATOR YF5115200 ROD-ANT EC0166A30 RUBBER-MOUNT BRKT. B6BF15242 RUBBER-MOUNT BRKT. B6BF15242 8703.90 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) RUBBER-STOP BC1M56786 RUBBER-STOP D00162873 RUB-DIFF MTG; F ECO12868X RUB-DIFF MTG; R ECO128690 RUB-E/MTG; #1 EC0139040 RUB-E/MTG; #1 EC0239040 RUB-E/MTG; #3 EC0139060 RUB-E/MTG; #4 EC0239070 RUB-E/MTG; #4 EC0739070 RUB-E/MTG; #4 EC0139070 RUB-SPG SEAT; LWR E112340A3 RUB-STAB E11434156 RUB-STRUT MTG E11234380 SEAT ASSY-SPG; UP (Not an EI, part E11234341 of assy 04919/20) SEAT-HANDLE, RH EC0158414 SHEET (Not an El, part of assy E11234003 04910/20) SHEET-DAMP, DASH E11256162 SHEET-DAMP, DASH LH E11256169 SHEET-DAMP, DASH RH E11256168 SHEET ASSY-DAMPING E1125615X SHEET-DAMP, R, SIDE E11256159 SHIELD E11256321 SILL-SIDE, IN, LH E11054950 SILL-SIDE, IN, RH E11053950 SPRING-COIL, F E11734011 SPRING-COIL, F E11934011 SPRING-COIL, F E11234011 SPRING-COIL, F E11534011 SPRING-COIL, F E11434011 SPRING-COIL, R E11428011 STAB; F E11234151 8703.90 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) STAB; F E11434151 STAY ASSY-BONNET E11256651 STAY-FENDER, LH E1165412X STAY-FENDER, RH E1165312X STEP ASSY, #1, RH EC1351V3X STEP ASSY, #3, LH EC1351V4Z STEP ASSY, #3, RH EC1351V3Z STEP ASSY-SIDE, LH EC1351V20 STEP ASSY-SIDE, RH EC1351V10 SUNVISOR, LH ED7069320 SUNVISOR, LH ED6969320 SUNVISOR, LH ED5769320 SUNVISOR, RH ED7369270 SUNVISOR, RH ED7069270 SUNVISOR, RH ED5769270 SUNVISOR, RH ED7169270 T-ANTENNA ASSY-BASE: FORD EC1466930 TANK ASSY-WASHER E11267480 TANK COMPT-FUEL E11242100 TAPE GE4T50898A TIRE T155/90R17 9069019657 TRIM ASSY-L/G, LW E11068960 TRIM-TRUNK SIDE, LH ED3168870 TRIM-TRUNK SIDE, LH ED6868870 TRIM-TRUNK SIDE, LH (w/ hole for E11668870 socket) TRIM-TRUNK SIDE, RH E11668850 WHEEL-DISC TEMP 17" 9965054070 WHEEL-DISC. 15" 9965246550 (Steel, BeadSeat, offset=45) WIRE-BONNET RELEASE E11256720 WIRE-EARTH EC0567EW1 WIRE-EARTH EC0167EW1 8703.90 10 U204 Escape/J14 Various Parts/Components: Thailand (Auto Alliance 3% Tribute SUV Thailand Co. Ltd.) WIRING ASSY-DR, F ED3867190 WIRING ASSY-EM ED6667020 WIRING ASSY-EM ED2167020 WIRING ASSY-ENG E12067070 8703.90 10 C206 Laser/J39 Various Parts and Components Thailand (Auto Alliance 3% Protg Passenger Thailand Co. Ltd.) Car BELT-B, LH BK7S 57 690 BELT-B, LH BJ1V 57 790D BELT-B, RH BK7S 57 630 BELT-B, RH BJ1V 57 730D BLOWER UNIT BJOE 61 140C BOOSTER ASSY-BRAKE BK7V-43950B BOOSTER ASSY-BRAKE BK7S-43950 CABLE ASSY-CONTROL BJ0S-46500G CABLE REAR LH B25D 44 420 CABLE REAR RH B25D 44 410 GABLE-ACCEL B25F-41660B CABLE-FILLER LID B25D-56880C CABLE-PARKING F. GA5R-44150C CABLE-REAR, LH B25D-44420B CABLE-REAR, RH B25D-44410B CONDENSER ASSY B25F 61 480 COOLING UNIT BK2K 61520 HANDLE-JACK BK7S 37 810 HOSE ASSY AIR-INT B33G 1322X HOSE ASSY AIR-INT ZM01 1322X HOSE FLEXIBLE, H B25F 61 461 HOSE FLEXIBLE, L B25F 61 462D HOSE-JOINT B25D-42231 LINK ASSY-WIPER, F B25D-67360A MAT ASSY-FLOOR BK7S 68 670 8703.90 10 C206 Laser/J39 Various Parts and Components Thailand (Auto Alliance 3% Protg Passenger Thailand Co. Ltd.) Car MAT ASSY-TRUNK B25D 68 81XA MAT-PAPER UH73 68 672 NOZZLE ASSY-WASHER B25E 67 510B NUT 99891 0600 NUT 9YB16-0601 NUT 99940 0602 NUT-FLANGE 99940 1001 NUT-FLANGE 99940 1000 NUT-FLANGE 99940 0803 NUT-FLANGE 99940 0800 NUT-FLANGE 99940 0603 NUT-FLANGE 99940 0601 NUT-FLANGE-CAP.... UH80 68 615 NUT-FLANGE...... 99940 06000 PIPE-COOLER #1 BJ3D 61 464 PIPE-COOLER #2 BJ3D 61 465D PIPE-COOLER #3 BJ3D 61 466B PIPE-COOLER #4 BJ3D 61 467B PLATE-MODEL UH77 69 011A RADIATOR ZL02 15 200A RADIATOR ZL01 15 200A RUBBER E/MTG #2 B25D 39 050 RUB-CUSHION UH71 58 873 RUBBER-STABILIZER G564-28156A RUBBER-STOP UH71 56 786 RUB-E/MTG; #1 B25F 39 04XE RUB-E/MTG; #1 B25G 39 04XF RUB-E/MTG; #2 B25D-39050C SHAFT ASSY-DRIVE, LH FA60-25600 SHAFT ASSY-DRIVE, LH FA60-2560X SHAFT ASSY-DRIVE, LH FA50 25 60XB SHAFT ASSY-DRIVE, LH FA50 25 600B SHAFT ASSY-DRIVE, RH FA78 25 50X 8703.90 10 C206 Laser/J39 Various Parts and Components Thailand (Auto Alliance 3% Protg Passenger Thailand Co. Ltd.) Car SHAFT ASSY-DRIVE, RH FA58 25 50X SHAFT ASSY-DRIVE, RH FA52 25 50X SHAFT ASSY-DRIVE, RH FA52 25 500 SPRING-BALANCE; LH BK7S 52 792 SPRING- BALANCE; RH BK7S 52 791 STIFFENER ZL01 10430 STIFFENER ASSY ZL01 10430A TANK ASSY RECEIVER BJ3D 61 500A TANK ASSY WASHER B25D 67 480 WINDOW ASSY-BACK BK7V-63930 WINDOW ASSY-BACK B25N 63 930 WIRE-BONNET RELEASE BK7S 56 720 8704.21 90 J97 Ford Ranger CBU J97 Ranger Pickup Truck Thailand (Auto Alliance 5% Thailand Co. Ltd.)