Which statements correctly describe the two rules for determining origin of goods?

Which statements correctly describe the two rules for determining origin of goods?

• A. The two rules are: (i) If the product is wholly obtainable or produced in the country of export; and (ii) Goods whose production involves more than one country shall be deemed to originate in the country where they underwent their last substantial economically justified undertaking.
• B. Only the country of export determines origin for all goods.
• C. Origin is based on the country of import.
• D. Origin is determined by the country with the highest production value.

Answer: (A)

Origin is determined by two clear principles. First, if the product is wholly obtained or produced in the exporting country, it originates there. Second, when production involves more than one country, origin is assigned to the country where the product underwent its last substantial, economically justified transformation. This means the final significant processing, not just assembly or minor steps, determines origin in multi-country cases.

So, this description matches the correct idea: the goods either come entirely from one country, or they originate in the country where the last substantial transformation occurred. For example, a item manufactured in the Bahamas using parts shipped from elsewhere would originate in the Bahamas if the last substantial processing happened there; if that last substantial processing occurred in another country, the origin would be that country.

The other statements misstate origin rules by attributing origin solely to the exporting country, the importing country, or by using production value as the determinant, which these rules do not support.