De Facto Convergence in Product Specific Rules of Origin and Proof of Origin

This study argues that the international trading community should take stock of the positive developments occurring on rules of origin based on a “de facto” analysis carried out in this study. Using an innovative approach the analysis shows that major FTAs have convergent product specific rules of origin (PSRO) on the majority of PSRO at HS six-digit level as high as 60.3%, equivalent to 54% of dutiable intra-FTA trade. In addition, a recent study has found that similar trend is taking place on proof of origin, another fundamental part of rules of origin. This study advocates that the results of this analysis should be used to hold a series of informed session among WTO members to further discuss the respective areas of convergence and later share it with the wider community as a useful toolbox or compendium of PSROs and proof or origin to facilitate compliance and reduce costs.