EXECUTIVE ORDER NO. 334 - AMENDING EXECUTIVE ORDER NO. 79, SERIES OF 1993, ENTITLED “MODIFYING THE RATES OF IMPORT DUTY ON CERTAIN IMPORTED ARTICLES AS PROVIDED UNDER THE TARIFF AND CUSTOMS CODE OF 1978, AS AMENDED, IN ORDER TO IMPLEMENT THE MINIMUM 50% MARGIN OF PREFERENCE ON CERTAIN PRODUCTS INCLUDED IN THE BRAND-TO-BRAND COMPLEMENTATION SCHEME IN THE AUTOMOTIVE INDUSTRY UNDER THE BASIC AGREEMENT ON ASEAN INDUSTRIAL COMPLEMENTATION”

WHEREAS, Executive Order No. 79 dated 2 April 1993 was issued to implement the minimum fifty per centum (50%) Margin of Preference (MOP) on certain products included in the Brand-to-Brand Complementation (BBC) Schemes of Mitsubishi Motor Corporation, Nissan Motor Co., Ltd. and Toyota Motor Corporation;

WHEREAS, after the issuance of aforementioned EO No. 79, a nomination for change in tariff classification of certain CKD component parts covered by said EO 79 was submitted by Toyota Motor Corporation to the ASEAN Secretariat on 24 September 1993 and was approved by the ASEAN Senior Economic Officials Meeting (SEOM) on 4 October 1993;

WHEREAS, request for addition of new models and for amendments in part numbers of certain component parts covered by EO 79 were likewise submitted by Toyota Motor Corporation and were approved by the SEOM;

WHEREAS, it has become necessary to amend EO 79 to effect the technical modifications on said certain component parts under the Toyota BBC Scheme;

WHEREAS, it has become necessary as well to amend EO 79 to reflect the current nomenclature and rates of duty of certain component parts under the Mitsubishi, Nissan and Toyota BBC Schemes in accordance with EO 264, S. of 1995;

NOW, THEREFORE, I, FIDEL V. RAMOS, President of the Philippines, pursuant to the powers vested in me under Sec. 402 of the Tariff and Customs Code of 1978, as amended, do hereby order:

Section 1. Annexes “A”, “B” and “C” of Executive Order No. 79 dated 2 April 1993 are hereby amended and superseded by Annexes “A”, “B” and “C” hereof.

Sec. 2. Section 1 of Executive Order no. 79 dated 2 April 1993 is hereby amended to read as follows:

“Section 1. The articles specially listed in Annexes “A” and “B”, as amended, shall be accorded a minimum 50% Margin of Preference (MOP) as specified in Column 12 thereof. Accordingly, such articles shall be subject to BBC Preferential Tariff in accordance with the schedule indicated in Columns 13 to 18 of Annexes “A” and “B”, as amended. The articles specifically listed in Annex “C”, as amended, shall be accorded a minimum 50% MOP as specified in Column 13 thereof. Accordingly, such articles shall be subject to the BBC Preferential Tariff in accordance with the schedule indicated in Columns 14 to 20 of Annex “C”, as amended.

Sec. 3. Sec. 4 of Executive Order No. 79 dated 2 April 1993 is hereby amended to read as follows:

“Sec. 4. The MOP provided in Annex “C” on steering link assembly, convenient and accessory equipment and suspension system for Corolla (Models EE 100, EE 101, AE 101) passengers cars and on fuel tank, suspension system, steering link assembly and electrical parts for Liteace (Models KM36, CM36) commercial vehicles and on electrical parts of TUV (Models KF40, KF50, CF50) motor vehicles for the transport of passengers and goods under the Toyota Motor Corporation BBC Scheme shall be accorded exclusively to the BBC entity in Malaysia (UMW Toyota Motor Sdn. Bhd.) effective up to 23 January 1995. The MOP also herein provided on under body and electrical parts for Corolla (Models EE 100, EE 101, AE 1001) passenger cars and electrical parts for TUV (Models KF40, KF50, CF50) motor vehicles for the transport of passengers and goods under the said BBC Scheme shall be accorded exclusively to the BBC entity in Thailand (Toyota Motor Thailand Co., Ltd.) effective up to 23 January 1995. Thereafter, this MOP may be granted to a non-participating ASEAN country as soon as that country extends the same MOP itself. If the non-participating country does not wish to grant such MOP and maintains such position throughout the stipulated waiver period, the exclusive application of this MOP to Malaysia and Thailand shall then be extended up to 23 January 1999.”

Sec. 4. All decrees, orders, issuances, rules and regulations, or parts thereof which are inconsistent with this Executive Order, are hereby repealed or modified accordingly.

Sec. 5. This Executive Order shall take effect immediately.

Done in the City of Manila, this 16th day of May in the year of Our Lord, Nineteen Hundred and Ninety-Six.

ANNEX “A”
ARTICLES GRANTED 50% MOP IN THE APPROVED MITSUBISHI MOTOR CORPORATION BBC SCHEME

HS. NO.   DESCRIPTION   SOURCE RATE OF DUTY (%)
BRAND PRODUCT/ PART    COUNTRY     1 JULY 28
NAME PART NAME   NO. AUG
1991 1992 1993 1994 1995 1995
1 2 3 4 5 6 7 8 9 10 11

ex 8703.90 10 Lancer Manual 30 30 20 20 10 3

(Models  Transmission and
LA/LM/C) Final Drive
System:
Passenger
Car T/M Rear MD 720020 Thailand
Cover    MD 735302

T/M Clutch     MD 730411 Thailand
Housing Cover MD 723297

T/M Case   MD 730413 Thailand
MD 723300

Shift Rail   MD 734639   Thailand
  MD 734637
   MD 720886

Forged Output MD 730415M Thailand
Shaft

Forged MD 730511M Thailand
Intermediate
Gear

Model (H) Parts:
Passenger Front Floor Panel MB 502660 Thailand
Car
Fuel Tank Upper    MB 503326 Thailand

Fuel Tank Lower MB 400418 Thailand

Model (H) Transmission
Passenger and Final Drive
Car     System:

Intermediate MD 730511M Thailand

Sentra assembly
(Model
 B13)
Passenger
car
Body Metal 30 30 20 20 10 3
Parts:

Fuel Tank 17205 50A00 Thailand
Upper 17205 53A00

Fuel Tank 17206 50Y10 Thailand
Lower

Sill Inner Right 76450 72Y00 Thailand

Sill Inner Left 76451 72Y00 Thailand

Hoodledge 64112 65Y00 Malaysia
Upper Right

Hoodlodge    644113 65Y00 Malaysia
Upper Left

APPLICABLE BBC PREFERENTIAL
HS NO.   PRODUCT/ MARGIN TARIFF (%)
PART NAME  OF
PREFERENCE  1 JULY 28
(%)    AUG
1991 1992 1993 1994 1995 1995
12 13 14 15 16 17 18

ex 8703.90 10 Oil pan assembly 50 15 15 10 10 5 1.5

Body Metal Parts 50 15 15 10 10 5 1.5

(Models
KF40,
KF50,
CF50), Distributor 19100-13410 Thailand
Public- assembly
Transport
Type Pas- Alternator 27020-13020 Malaysia
senger assembly
Motor
Vehicles
Starter 28100-13071 Malaysia
assembly

Regulator 27700-36020 Malaysia
assembly
generator

Wiper motor 85110 90P00 Malaysia
assembly

(Models
(KM36, Fuel tank 77100-27230 Malaysia
CM36) assembly
commercial
vehicle Suspension 20 20 20 20 20 10 3
System

Absorber
assembly,
shock, FR 48500-27060 Malaysia

Absorber
assembly,
shock, RR 48531-27130 Malaysia

Electrical 20 20 20 20 20 10 3
Parts

Alternator 27020-13020 Malaysia
assembly

Starter 28100-13020 Malaysia
assembly

Regulator
assembly
generator 27700-13080 Malaysia

Wiper motor 85110-95717 Malaysia
assembly

Steering Link 20 20 20 20 20 10 3
System:

Link assembly,

steering gear 45500-0W04 Malaysia

(Models
EE100,
EE101, Panel, FR, Floor 58111-12260 Thailand
AE10)
Passenger
Car
Panel, CTR, 58211-12340 Thailand
Floor 58211-12350

Panel, RR, 58311-12210 Thailand
Floor

Electrical Parts 30 30 20 20 20 10 3

Alternator  27060-10100 Thailand
assembly   27060-15050
with regulator 27060-15180

Starter assembly 28100-10030 Thailand

28100-16071
28100-16041

19020-16250

FR, seat,
inner   73230-12140 Malaysia

(Models
KF40,
KF50,
CF50)    Distributor 19180-13410 Thailand
Motor assembly
Vehicles
for the Alternator 27020-13020 Malaysia
Transport assembly
of Goods
Starter assembly 28100-13071 Malaysia

Regulator 27700-36020 Malaysia
assembly
generator

Wiper motor  85110-90P00 Malaysia
assembly

Suspension 50 10 10 10 10 10 5 1.5
System

Electrical 50 10 10 10 10 10 5 1.5
Parts

Steering Link 50 10 10 10 10 10 5 1.5
System

Electrical Parts 50 15 15 10 10 10 5 1.5

Suspension 50 15 15 10 10 10 5 1.5
System

Steering Link 50 15 15 10 10 10 5 1.5
System

Convenient and 50 15 15 10 10 10 5 1.5
accessory
equipment

Since 19.07.98.