Common use of Neutral Elements Clause in Contracts

Neutral Elements. 1. In determining whether a good is an originating good, the origin of any neutral elements as defined in paragraph 2 shall be disregarded. 2. Neutral elements are goods used in the production, testing or inspection of another good but not physically incorporated into the good, or goods used in the maintenance of buildings or the operation of equipment associated with the production of a good. These include: (a) fuel, energy, catalysts and solvents; (b) equipment, devices and supplies used for testing or inspecting the goods; (c) gloves, glasses, footwear, clothing, safety equipment and supplies; (d) tools, dies and moulds; (e) spare parts and materials used in the maintenance of equipment and buildings; (f) lubricants, greases, compounding materials and other materials used in production or used to operate equipment and buildings; (g) any other goods that are not incorporated into the good but whose use in the production of the good can reasonably be demonstrated to be a part of that production.

Appears in 4 contracts

Samples: Zealand Free Trade Agreement, Zealand Free Trade Agreement, Zealand Free Trade Agreement

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