TARIFF COMMISSION

Wheel of Progress

Trade and Industry Sector

Agricultural Sector

Depicts The Hopes and Aspirations of the Nation

Continued Economic Growth

VISION The Tariff Commission shall be principal

and independent authority in TARIFF and TRADE REMEDY MEASURES to enhance industry competitiveness and promote consumer welfare.

MISSION The Tariff Commission a key adviser to the

executive and legislative branches of government on tariff and trade matters, an adjudicatory body on trade remedy cases and advocate a strong competition law and policy, remains committed to the pursuit of good and effective governance.

Tariff Commission History 1953 - Republic Act 911 : TC was created in

June 20, 1953 under the Office of the President. This Act provided for a collegial body consisting

of a Chairman and two commissioners. 1956 - TC transformed into a division of the

Department of Finance. 1957 – Congress enacted R.A. 1937(TCCP),

restoring the Tariff Commission as an independent body under the supervision of the of the Office of the President and headed by a Commissioner and an Asst. Commissioner.

1973 – Tariff Commission was converted into a Collegial Body consisting a Chairman and two Member Commissioners (P.D. No.1 known as Integrated Reorganization Plan) and placed under the administrative supervision of NEDA.

1999 – Aug 1999 Issuance of EO 143- Instituting Effective Operational Mechanisms and Strategies in the Tariff Commission.

2008 - Approval of the Rationalization Plan under EO No. 366 – Effecting the Latest Pattern of the Tariff Commission.

ORGANIZATION CHART per EO No. 366

CHAIRMAN AND TWO MEMBER COMMISSIONERS

Commission Secretariat

Research, Investigation & Int’l Trade Analysis

Service (RITAS)

Finance, Management & Administrative Service

(FMAS)

Commodities Studies Division

Economics, Trade & Industry Studies

DivisionFinancial Studies

Division

International Trade Studies Division

Finance Management Division

Administrative Division

Planning Management & Information System

Division

Duties and Function under TCCPSec. 102. ABBREVIATIONS• The Tariff Commission provides

abbreviations and symbols at the back of the TCCP-AHTN

Sec. 103. GENERAL RULES FOR INTERPRETATION OF THE HARMONIZED SYSTEM

• These are the guiding principles used by the Tariff Commission for the Classification of goods and in the issuance of Tariff Commodity Classification Ruling pursuant to Sec. 1313(a) of the TCCP.

Sec. 104 RATES OF IMPORT DUTY• The Tariff Commission is tasked to

update the coding system to the latest HS and AHTN Amendments and to reflect the latest MFN and ATIGA rates of import duty including “Column 7” (ASEAN Member States Enjoying Concession)

• Also to provide reference to Special Laws affecting tariff rates.

TRADE REMEDY LAWSSEC. 301. ANTI- DUMPING

INVESTIGATIONS

What is dumping?- Export of a product at a price less than its

normal value.- Form of price discrimination or

differentiation between two national markets

Anti-Dumping Act of 1999 - Republic Act No. 8752 was

signed on August 12, 1999. - It amended Sec 301 of TCCP,

which provides protection to a domestic industry which is being injured or likely to be injured, by the dumping of products imported into or sold in the Philippines.

ROLE OF THE TARIFF COMMISSION IN ANTI-DUMPING INVESTIGATION

Conducts formal investigation and hold public hearings to establish the 4 elements of dumping,

Like product Price Difference Injury Causal Link Submit Report of Findings, whether

favorable or not, to the Secretary for the latter to issue a Department Order imposing the definitive anti- dumping duty

Issuances promulgated to implement RA 8752

JOINT ADMINISTRATIVE ORDER NO.01 s.2000 - Implementing Rules and Regulations of RA 8752

TARIFF COMMISSION ORDER NO.01 – Revised rules and regulations to govern conduct of investigation by the TC under Section 301 of the TCCP, as amended by RA 8752

SECTION 302. COUNTERVAILING INVESTIGATIONS

- Trade counter-measure adopted by government to offset any bounty or subsidy given to exporters which is not generally available to other producers of the exporting country.

Countervailing Act Duty- Republic Act No. 8751 was signed

on August 7, 1999. - It amended Sec 302 of TCCP,

which provides protection to a domestic industry which is being injured or likely to be injured, by subsidized products imported into or sold in the Philippines.

ROLE OF THE TARIFF COMMISSION IN COUNTERVAILING INVESTIGATION

Conducts formal investigation and hold public hearings to establish the 4 elements of countervailing, namely

Like product Subsidy Injury Causal Link Submit Report of Findings, whether

favorable or not, to the Secretary for the latter to issue a Department Order imposing the definitive countervailing duty

Issuance promulgated to implement RA 8751

JOINT ADMINISTRATIVE ORDER NO. 02 s.2000 - Implementing Rules and Regulations of RA 8751

TRADE REMEDY LAWSTHE SAFEGUARD MEASURES

ACT- It is an Act protecting local

industries by providing safeguard measures to be undertaken in response to INCREASED IMPORTS and providing penalties for violation thereof.

ROLE OF THE TARIFF COMMISSION IN GEN. SAFEGUARD INVESTIGATION

Conducts formal investigation and hold public hearings to establish the 4 elements required for the imposition of general safeguard measure, namely:

Like product Increased imports Injury or threat thereof Causal Link Submit Report to the Secretary within 120

calendar days. If urgent, the Commission shall complete the

investigation and submit report within 60 days.

Issuances promulgated to implement RA 8800

JOINT ADMINISTRATIVE ORDER NO. 03 s.2000 - Implementing Rules and Regulations of RA 8800

TARIFF COMMISSION ORDER NO. 00-02 – The internal Rules and Regulations governing the conduct of formal investigation by the Tariff Commission pursuant to RA8800

TC Duties and Function under Sec. 401 – FLEXIBLE CLAUSE

Any interested party, including domestic manufacturers, importers, customs brokers and government agencies may file for TARIFF MODIFICATION by accomplishing TC FORM NO. 3 with filing fee of P5,000 per Tariff Heading.

Sec 401 - Provides the legal basis by which the President may

1. Change the level and form of import duties2. Impose an import quota and ban imports and3. Levy an additional duty on all imports.

Empowers the Commission to: Receive petitions for TARIFF

MODIFICATION from private sectors and fellow government agencies;

To conduct investigation and hold public hearings on the merit of the petition;

To submits its Report of Findings and Recommendations to the NEDA to be deliberated upon by the Tariff and Related Matters (TRM) Technical and Cabinet Committees;

Prepare the implementing Executive Order upon the final approval of the NEDA Board.

TC Duties and Function under Sec. 402 – PROMOTION OF FOREIGN TRADE

Sec 402 - Provides the legal basis by which the President may enter into trade agreements with foreign governments and modify import duties and other import restrictions as part of these trade agreements.

Any interested party, including domestic manufacturers, importers, customs brokers and government agencies may file for REQUEST FOR WITHDRAWAL/SUSPENSION OF CONCESSIONS by accomplishing TC FORM NO. 4 with filing fee of P5,000 per Tariff Heading.

The Commission is mandated to conduct consultations before the Philippines:

Enters into any trade agreement with any foreign government or instrumentality thereof and

Modifies import duties as are required or appropriate to carry out and promote foreign trade.

The process is similar with Sec. 401 investigations with the Commission’s Report of Findings to be submitted to NEDA for deliberation by the Tariff Related Matters Committee

The Commission prepares the implementing Executive Order upon final approval of NEDA Board.

COMMISSION ORDER NO.02-01

- Rules and Regulations to govern the conduct of Formal Investigation by the Tariff Commission on THE WITHDRAWAL AND/OR SUSPENSION OF CONCESSION UNDER SECTION 402 of the TCCP.

SEC.505 – Functions of the Commission

Outlines the various functions of the TC, such as to investigate: the administration of tariff and customs laws, and the effects of tariff on economic aspects.

SEC.505 – Assistance to the President and Congress of the Philippines

TC provides information and other forms of assistance to the President and Congress on evaluation of tariff and tariff related matters..

TC Duties and Function under TCCP Sec. 1313-A

Sec 1313 - A. Provides that when an article imported or intended to be imported is not specially classified in the Code, any interested party may request the Tariff Commission in writing to indicate the heading number under which the article is or shall be dutiable.

- Tariff Commission issues Tariff Commodity Classification Rulings. These classification rulings are binding upon the BOC unless the Secretary of Finance shall rule otherwise.

Requirements on Tariff Classification Ruling

TC FORM 1(For Import: Request for Tariff Commodity Classification Ruling) or

TC FORM 2 (For Export: Request for Tariff Classification Opinion) The applicant shall accomplish the Form and submit in 3 copies, duly notarized.

Attachments . The applicant shall submit samples of product, brochures, technical specifications, or chemical composition, etc..

Requirements: Filing Fee. After the Commodity

Specialist has assessed that the required documents are in order, the applicant shall pay the Filing Fee of P 500.00 per article.

Release of Ruling. Under TCCP 1313 (a) The Commission is given within 30 days to comply with classification requests.

APPEAL If the applicant is not satisfied with

the ruling, he/she may appeal in writing to the Tariff Commission:

If ACCEPTED, a Revised Ruling is issued.

If REJECTED, the applicant still has the option to go the Sec. of Finance for decision.If REJECTED, the applicant may

bring the case to the Court of Tax Appeal for final decision.

EFFECTIVITY OF RULINGS

Classification Rulings will be revoked when there are amendments to the HS/AHTN Nomenclature.