2. (1) Except as otherwise provided in these Regulations, a good originates in a CIFTA country where

• (a) the good is

  • (i) a mineral good extracted in the territory of one or more of the CIFTA countries,

  • (ii) a vegetable or other good harvested in the territory of one or more of the CIFTA countries,

  • (iii) a live animal born and raised in the territory of one or more of the CIFTA countries,

  • (iv) a good obtained from hunting, trapping or fishing in the territory of one or more of the CIFTA countries,

  • (v) a fish, shellfish or other marine life taken from the sea by a vessel registered or recorded with a CIFTA country and flying that country’s flag,

  • (vi) a good produced on board a factory ship from a good referred to in subparagraph (v), where that factory ship is registered or recorded with a CIFTA country and flies that country’s flag,

  • (vii) a good taken by a CIFTA country or a person of a CIFTA country from or beneath the seabed outside the territorial waters of that country, where a CIFTA country has the right to exploit that seabed,

  • (viii) a good taken from outer space, where the good is obtained by a CIFTA country or a person of a CIFTA country and does not undergo production outside the territory of any of the CIFTA countries,

  • (ix) waste and scrap derived from

    • (A) production in the territory of one or more of the CIFTA countries, or

    • (B) used goods collected in the territory of one or more of the CIFTA countries, where those goods are fit only for the recovery of raw materials, or

  • (x) a good produced in the territory of one or more of the CIFTA countries exclusively from a good referred to in any of subparagraphs (i) through (ix), or from its derivatives, at any stage of production;

• (b) each non-originating material used in the production of the good undergoes a change in tariff classification specified in the rule set out in Schedule I for the tariff provision under which the good is classified, and the good satisfies any other applicable requirement specified in that rule, as a result of production occurring entirely in the territory of one or more of the CIFTA countries;

• (c) the good satisfies, as a result of production occurring entirely in the territory of one or more of the CIFTA countries, the applicable requirements specified in the rule set out in Schedule I for the tariff provision under which the good is classified, where no change in tariff classification is specified in that rule;

• (d) the good is produced entirely in the territory of one or more of the CIFTA countries exclusively from originating materials; or

• (e) except in the case of a good of any of Chapters 61 through 63, the good is produced entirely in the territory of one or more of the CIFTA countries, but one or more of the non-originating materials that are used in the production of the good do not undergo a change in tariff classification because

  • (i) the heading under which the good is classified provides for both the good and its parts and is not further subdivided into subheadings, or

  • (ii) the subheading under which the good is classified provides for both the good and its parts,

  and at least one category of identical or similar materials of that heading or subheading consists entirely of originating materials.

(2) For the purposes of determining whether a good is an originating good under paragraph (1)(e),

• (a) only those parts that are classified under the same heading, subheading or tariff item as the good shall be considered as parts for the purposes of determining whether at least one category of identical or similar materials consists entirely of originating materials; and

• (b) the determination of whether a heading or subheading provides for both a good and its parts shall be made on the basis of the nomenclature of the heading or subheading and the relevant Section or Chapter Notes, in accordance with the General Rules for the Interpretation of the Harmonized System.

(3) Paragraph (1)(e) does not apply for purposes of determining whether a part provided for in a heading referred to in subparagraph (1)(e)(i) or in a subheading referred to in subparagraph (1)(e)(ii) is an originating good.