Notice to traders 2024: update on use of 'EU cumulation' clause and origin quotas in trade with Canada
Published 1 April 2024
© Crown copyright 2024
This publication is licensed under the terms of the Open Government Licence v3.0 except where otherwise stated. To view this licence, visit nationalarchives.gov.uk/doc/open-government-licence/version/3 or write to the Information Policy Team, The National Archives, Kew, London TW9 4DU, or email: psi@nationalarchives.gov.uk.
Where we have identified any third party copyright information you will need to obtain permission from the copyright holders concerned.
This publication is available at https://www.gov.uk/government/publications/notice-to-traders-2024-rules-of-origin-update-for-canada/notice-to-traders-2024-update-on-use-of-eu-cumulation-clause-and-origin-quotas-in-trade-with-canada
The situation
In the UK-Canada Trade Continuity Agreement (TCA) , the UK and Canada agreed time-limited clauses for ‘EU cumulation’ and origin quotas.
On EU cumulation, this has meant that up until now, UK traders have been able to count EU inputs as if they were originating in their exports to Canada.
On origin quotas, several textile and apparel lines have been eligible for alternative rules, within the limits of an applicable annual quota.
As of 1 April 2024, these clauses have expired.
What the change means for business
From 1 April 2024, UK exporters cannot consider EU inputs as originating when exporting to Canada.
You must ensure your products still meet the Rules of Origin set out in Annex 5 of the TCA after this change if you want to benefit from preferential access.
Furthermore, the alternative rules set out in Annex 5-A (Origin Quotas and Alternatives to the Product Specific Rules of Origin in Annex 5) no longer apply, and producers must meet the Rules of Origin set out in Annex 5 of the TCA.
Contact Department for Business and Trade (DBT)
If you represent a business and are at all concerned about anything in this technical note, contact helen.stephen@businessandtrade.gov.uk.