FTA: Content Maintenance Procedures - Sets/Kits

To address the logic around sets set forth in USMCA (and other FTAs), we create client-configured local rules based on the specific HS within the rule that the set applies to using several attributes thus allowing you to identify both the good and the material items that are subject to the set or kit provisions. The ‘set_flag’ field on a BOM identifies that good should have the set logic applied. Then, the ‘set_good’ attribute tells whether the item is considered an essential character item in the set. This allows us to apply the specific provisions around the amount of non-originating value allowed within the set to confer compliance - typically no more than 10 or 15% non-originating content depending on the agreement. However, the BOM Worksheet currently does not identify that the set logic was applied other than in the rule name of the Rule that it was run against. This logic is offered upon request.

Further, we cannot currently handle Set logic for certain other agreements (like EFTA-INDONESIA) where it requires each set component to be analyzed as its own finished good, then the individual results analyzed together as a Set as an automated, single-threaded process. Each set item must be analyzed individually first, then the results consolidated into a Set BOM and reanalyzed as a multi-step manually manipulated process currently.