Free Trade Agreement between the Southern African Customs Union and the States of the European Free Trade Association

The free trade agreement between Southern African Customs Union ("SACU") and the European Free Trade Association States ("EFTA") came into force in May 2008.

It provides for the reduction and elimination of border tariffs for most industrial products across HS sectors 25 through 97 including most energy products and their constituents, including : 

• Electric motors, turbines and generators; 
• Mechanical equipment including pumps, appliances, and other advanced machinery; 
• Electric accumulators, transformers, capacitors, batteries; 
• Motor vehicles; 
• Mineral ore, slag and ash; 
• Mineral fuels, oils and other products; 
• Metals and their articles e.g. iron and steel; 
• Semiconductors devices and photovoltaic cells; 

Rule of origins apply to qualify for preferential tariff treatment, with conditions to confer originating status including the following: 

• For mineral ores, slag and ash, it includes manufacturing of any materials except that of the product 
• For most of the remaining products listed above, it includes i. manufacturing from non-originating materials except the product itself or ii. value of all the manufacturing materials used does not exceed 50 % of the ex-works price of the product

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