16 January, 2025

Possible cumulations of origin in the PANEUROMED area

The fundamental principle of the PANEUROMED area is that any product wholly manufactured and sold within the area is not subject to customs duty. To do this, it is the notion ofpreferential originwhich is used using the principle of cumulation of origin.

Three different cumulations of origin may be used within the PANEUROMED area.

The first is thecumulation of bilateral originwhich concerns an exchange between two countries. The principle is that raw materials originating in a country « A » are shipped to a country « B » for sufficient processing and that the manufactured product is shipped back to the country « A ».

The second is thediagonal cumulationon an exchange between three countries. The principle is that raw materials originating in a country « A » are shipped to a country « B » for sufficient processing and that the manufactured product is shipped back to a country « C ».

The third is thecumulation of total origin. The principle lies in the fact that the origin rule is satisfied if all the cumulative transformations in two or more countries ultimately constitute sufficient transformation. In the framework of the modernised convention which entered into force since 1 January 2025, this principle of cumulation of origin, which was very limited in its use so far, will be able to be used much more often for all products, with a flat at the moment for those falling within Chapters 50 to 63. However, if you import textiles, know that total cumulation of origin is still possible with Tunisia, as provided for in the article in Annex VIII to the Convention.modernized convention

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