MANILA - officialgazette.gov.phCertificate o{ Eligibility Nos. Toyota/1998/1, Toyota/1998/3 ano}oyota/1998/4 were issued on 28 October t998 in favor of the participating **p.nies in

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MALACANAN PALACE

MANILA

BY THE PRESIDENT OF THE PHILIPPINES .

EXECUTTVE ORDER NO.-lt-

II€IDIFYING THE RATES OF TruTY Oil CERTAIN ITTPORTEDARTICLES AE PrcUDED UHDER THE TARIFF AND CUSTOI'SGODE OF 1978, AS AUENDED, IH ORDER TO INPLEIIENT THEPREFERENNAL TARIFF RATE$ ON CERTAIN PRODT.ICTS

UNDER THE ASEAN INDI STRIAL COOPERATION (AlCOlSCHETE

WHEREAS, the Philipprines is a Confracting Parly to the Basic Agreernenton the ASEAN lnd$trial Cooperation Schenre signed in Sirgapore ofi 27 April1996;

VitrIEREAS, ttw Phiiippines is a participating rcun'ri-y in '.he appro'vedAICO Anangements cf Honda and Toyota, alorq with Malaysia and Thailandand in the approved AICO Arrangement of Philippine Auto Components, lnc.,alorrg with Thailand;

WHEREA6, under the Honda AICO Anangernant, it was agreed ttd thePhilippines (t-londa Cars Philippines, lnc.) will import frorn Mataysia md Thailandcsrtain autornotive cornponents as intermediate parts for the originat equipmentmanufacture (OEM) of Honda Accord, City and Civic passergpf cars. lnexcfrange, Malaysia and Thailand will import hom the Philippines complementarycunpornrrt parts for the OEM of Honda Accord, C*y and Civic passenger cars;

WHEREAS, un&r the Toycta AICO AnarqBment, the Philippines (Toyolalr/totor Philippines Corp.) will import fmm Malaysia and Thailand certainautomo{,ive parts/components as irtermediate producfs for the oridnalequiprnentmanr.rfacture (OEM) of Corolla passsngpr cffs and TUV commorcial vehides forthe transport of persons and goods. ln exchange, Malaysra and Thailand willimport from the Phitippines cornplamentary componerrt parts for ths OEM ofCorolla passengpr cars and TW commercial vehides;

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- WHEREA& under the philippine Auto components, lnc. AtcoAnangement, the phlippiner *rr irJ,Li irlrtrn"ir"nJ il"t;;.y;i" ,.nJi"rr';;;pntiq..nttings (bulbs) for instrurn"nt qtusters. ln return, Thaitand,*ff i*po.t tro*the Philippines instrument crusters

"nJ oi"l r"r ,"t"r"vcre meters;' '-

WHEREAS, AICO Certificate of Eligibility Nos. Honda/1998/3 andHonda/1998/2 were issued on 5 October 199BLnd g October 1ggg, respectivety,,l f?.Yor of the participating companies in the Honda Alco nnangement AlcoCertificate o{ Eligibility Nos. Toyota/1998/1, Toyota/1998/3 ano}oyota/1998/4were issued on 28 October t998 in favor of the participating **p.nies in theToyota AlCo Anangement; AlCo Certificate of eiigioitity t-,1o.-Densollggg/1 wasissued on 4 November 1998 in favor of the participating companies in thePhilippine Auto Components, lnc. AICO err"ng"*;i;-

WHEREAS, in consonance with Articles 5 and 7 of the Basic Agreementof the (Alco) scheme, participating companies in the approved Honda, Toyotaand Philippine Auto components, lnc. Alco Arrangements shall qualify forI - Soa preferential taffi rates to be extended n/ [aalaysia, philipirnes anoThailand as participating countries, effective within 60 diys from ihe date ofissuance of the certificates of Eligibility by the ASEAN secretariat.

Now, THEREFORE, t, JosEpH EJERctro ESTRADA, president of thePhilip-pines. pursuant to the powers vested in rne unde;- Section 402 of the Tarifiand customs code of 197g, as amended, do hereby order:

sEcrloN 1. The articles specificalty tisted in Annex ,A,, hereof, asclassified under section 104 of the Tariff and customs cooe of 1g7g, asamended, shall be accorded the AICO rate of 5% as specified in Column 6thereof.

sEcrloN 2. The Arco rate provided in .Annex A,, shail be accordedto the AlCo entity

in. tv$tav91a _(oriental Assemblers-SonTnd.) effedive from5 october 1998 and to the AlCo "-nlty

in ThaitanJ fHonoa Cars Manufacturing(Thaitand) Co., Ltd.) effective from 9 October 19gg.

sEcTloN 3. The articres specificaily risted in Annex ,,8,, hereof, asclassified under section 1M of the Tariff and custom, cooe of 1978, asamended, shall be accorded the AICO rate of 5% as component parts of Coroltapassenger cars and the AICO rate of 3% as component parts of TUV commercialvehicles as specified in Colurnn 6 thereof.

SEcTloN 4' The AlCo rate provided in Annex "B' shall be accordedto the Alco entity. rn Malaysia (Assembly services, Son. ena.y and to the Alcoentity in Thailand (Toyota Motor Thailand Co., Ltd.) effective 2g October 1g98.

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\ SECTION 5. The articles specifically listed in Annex 'C" hereof, ascla'ssified under Sec{ion 1M of the Tariff aird Customs Code of 1978, as

amended, shalt be accorded the AICO rates as specified in Column 4 thereof

SECTION 8. The AICO rates provided in Annex'C' shall be accorded

to the AICO entity in Thailand (Denso (Thailand) Co. Ltd.) effective 4 November

1998.

SECTION 7. ln the event that any subsequent changes are made inthe basic (MFN) Philippine rate of duty on any of the articles listed in Annexes!\-. "B' and'C' to a rate lofver than the AICO rate prescribed in Column 6 ofAnnexes "n and "8" and in Column 4 Of Annex "C', Such artiCle shallautomatically be accorded the conesponding reduced rate of duty. Effective 1

January 2003, the frnal CEPT rate on the sub.iecl articles shatl apply.

SECTION 8. Upon the effectivity of this Executive Order, the articles

specifically listed in the aforesaid Annexss 'A'. "8" and "C" rr,'fticft are entered or

withdrawn from warehquses in the Philippines for consumption shalt pay the

applicable AICO preferential tariff rates specifred under Soctions 1, 3 and 5hereof, subject to qualification under the Rules of Origin for the CEPT, as

eviciencecj by ihe Certificate of Origin - Form "D'.

SECTION L Any revision/s to the part numbers appearing in Column4 of Annexes "A" and "8" shall be communicated immediately to the Bureau ofCustoms by the Board of lnvestments within five (5) days after receipt of theofficial copy of the revised part numbers from the ASEAN Secretariat.

SECTION 10. This Executive Order shalltake effect immediately.

DONE in the City of Manila, tnis@day of Wn the year of Our Lord,

Nineteen Hundred and Ninety Nine.

By the President:

--t7/r"*--ARONALDO B. ZAMORAExecutive Secretary

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ANNEX'C":

ARTICLES GRANTED PREFERENTIAL TARIFF UNDER THE APPROVED. PHTLIPPINE l0rO COMPONENTS, tNG. AfCO SCHEME ,',

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t.:r

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9029.20 90

9405.40 90

Motorcycle meters

Lighting fittings (bulbs) forinstrument dusters

Thailand(Denso Cl'hailand) Co. Ltd.)

Thailand(Denso (Ihailand) Co. Ltd.)

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