Common use of Staging Clause in Contracts

Staging. In addition to the staging categories listed in paragraph 1 of Annex 2-A, this Schedule contains staging category ▇-▇, ▇-▇, A and B-2 : (a) customs duties on originating goods provided for in the items in staging category “S-2” shall remain at base rates before 1 January 2021, and be reduced to zero to five percent not later than 1 January 2021; (b) customs duties on originating goods provided for in the items in staging category “S-3” shall remain at base rates before 1 January 2017, and be reduced to 20 percent not later than 1 January 2017 and remain at the reduced rate before 1 January 2021, and be reduced to zero to five percent not later than 1 January 2021; (c) customs duties on originating goods provided for in the items in staging category “A” shall remain at base rates before 1 January 2021 and be reduced to not more than 50 percent not later than 1 January 2021; and (d) customs duties on originating goods provided for in the items in staging category “B-2” shall remain at base rates before 1 January 2021, and be reduced not less than by 20 percent of the Korea-ASEAN FTA’s applied MFN customs duty rates7 not later than 1 January 20218. 7 “Korea-ASEAN FTA’s applied MFN customs duty rates” means Viet Nam’s applied rates as of 1 January 2005. 8 For greater certainty, if the reduced customs duty rate in this subparagraph is higher than the base rate, the 1. This Appendix shall apply to TRQs provided for in this Agreement and set out modifications to the HSK that reflect the TRQs that Korea shall apply to certain originating goods under this Agreement. In particular, originating goods of Viet Nam included under this Appendix shall be subject to the rates of duty as set out in this Appendix in lieu of the rates of duty specified in Chapters 1 through 97 of the HSK. Notwithstanding any other provision of the HSK, originating goods of Viet Nam in the quantities described in this Appendix shall be permitted entry into the territory of Korea as provided for in this Appendix. Furthermore, any quantity of originating goods imported from Viet Nam under a TRQ provided for in this Appendix shall not be counted toward the in-quota amount of any TRQ provided for such goods elsewhere in the HSK. (a) The aggregate quantity of originating goods of Viet Nam described in subparagraph (c) that shall be permitted to enter free of customs duties in a particular year is specified below: Year Quantity (Metric Tons) 1 10,000 2 11,000 3 12,100 4 13,310 5 14,641 6 15,000 After year six, the in-quota quantity shall remain the same as the quantity of year six; (b) Customs duties on goods entered in aggregate quantities in excess of the quantities listed in subparagraph (a) shall be treated in accordance with staging category “E” as described in subparagraph 1(h) of Annex 2-A.; and (c) Subparagraphs (a) and (b) shall apply to the following HSK provisions: 0306161090, 0306169090, 0306171090, ▇▇▇▇▇▇▇▇▇▇, 0306261000, 0306271000, and 1605219000.

Staging. In addition to the staging categories listed in paragraph 1 of Annex 2-A, this Schedule contains staging category ▇categories 15-▇A, ▇-▇PR-8, A PR-15, PR-35 and B-2 PR-50: (a) customs duties on originating goods provided for in the items in staging category “S-2category“15-A” shall remain at base rates before during years one through 10. Beginning on January 1 January 2021of the year 11, customs duties shall be removed in five equal annual stages, and such goods shall be reduced to zero to five percent not later than duty-free, effective January 1 January 2021of year 15; (b) customs duties on originating goods provided for in the items in staging category “S-3PR-8” shall be reduced by eight percent of the base rate in five equal annual stages beginning on the date this Agreement enters into force, and such goods shall remain at 92 percent of the base rates before rate, effective January 1 January 2017, and be reduced to 20 percent not later than 1 January 2017 and remain at the reduced rate before 1 January 2021, and be reduced to zero to five percent not later than 1 January 2021of year five; (c) customs duties on originating goods provided for in the items in staging category “APR-15” shall be reduced by 15 percent of the base rate in five equal annual stages beginning on the date this Agreement enters into force, and such goods shall remain at 85 percent of the base rates before rate, effective January 1 January 2021 and be reduced to not more than 50 percent not later than 1 January 2021; andof year five; (d) customs duties on originating goods provided for in the items in staging category “B-2PR-35” shall be reduced by 35 percent of the base rate in five equal annual stages beginning on the date this Agreement enters into force, and such goods shall remain at base rates before 1 January 2021, and be reduced not less than by 20 65 percent of the Korea-ASEAN FTA’s applied MFN customs duty rates7 not later than 1 January 20218. 7 “Korea-ASEAN FTA’s applied MFN customs duty rates” means Viet Nam’s applied rates as of 1 January 2005. 8 For greater certainty, if the reduced customs duty rate in this subparagraph is higher than the base rate, theeffective January 1 of year five; and (e) customs duties on originating goods provided for in the items in staging category “PR-50” shall be reduced by 50 percent of the base rate in five equal annual stages beginning on the date this Agreement enters into force, and such goods shall remain at 50 percent of the base rate, effective January 1 of year five. 1. This Appendix shall apply to TRQs provided for in this Agreement and set out modifications Relation to the HSK that reflect Harmonized Tariff Schedule of Korea (HSK). The provisions of this Schedule are generally expressed in terms of the TRQs that Korea shall apply to certain originating goods under HSK, and the interpretation of the provisions of this Agreement. In particularSchedule, originating goods including the product coverage of Viet Nam included under subheadings of this Appendix Schedule, shall be subject to governed by the rates of duty as set out in this Appendix in lieu of the rates of duty specified in Chapters 1 through 97 General Notes, Section Notes, and Chapter Notes of the HSK. Notwithstanding any other provision To the extent that provisions of this Schedule are identical to the corresponding provisions of the HSK, originating goods the provisions of Viet Nam in this Schedule shall have the quantities described in this Appendix shall be permitted entry into same meaning as the territory corresponding provisions of Korea as provided for in this Appendix. Furthermore, any quantity of originating goods imported from Viet Nam under a TRQ provided for in this Appendix shall not be counted toward the in-quota amount of any TRQ provided for such goods elsewhere in the HSK. (a) The aggregate quantity of originating goods of Viet Nam described in subparagraph (c) that shall be permitted to enter free of customs duties in a particular year is specified below: Year Quantity (Metric Tons) 1 10,000 2 11,000 3 12,100 4 13,310 5 14,641 6 15,000 After year six, the in-quota quantity shall remain the same as the quantity of year six; (b) Customs duties on goods entered in aggregate quantities in excess of the quantities listed in subparagraph (a) shall be treated in accordance with staging category “E” as described in subparagraph 1(h) of Annex 2-A.; and (c) Subparagraphs (a) and (b) shall apply to the following HSK provisions: 0306161090, 0306169090, 0306171090, ▇▇▇▇▇▇▇▇▇▇, 0306261000, 0306271000, and 1605219000.