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Decree No. 4,172, Of 21 March 2002

Original Language Title: Decreto nº 4.172, de 21 de Março de 2002

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DECREE NO. 4,172, OF March 21, 2002.

Disposes on the execution of the Twenty-Sixth Additional Protocol to the Economic Supplementation Agreement no 18, between the Governments of the Federative Republic of Brazil, the Argentine Republic, the Republic of Paraguay and the Eastern Republic of Uruguay, December 29, 2000, as per Rectification Act of August 8, 2001.

THE PRESIDENT OF THE REPUBLIC, in the use of the assignment that confers him the art. 84, inciso IV, of the Constitution,

Considering that the Treaty of Montevideo of 1980, which created the Latin American Integration Association (ALADI), signed by Brazil on August 12, 1980 and approved by the National Congress, by Legislative Decree no 66, of November 16, 1981, provides for the modality of Economic Supplementation Agreement;

Whereas, based on the Treaty of Montevideo of 1980, the Complementation Agreement Economic no 18 was firmed by the Governments of the Federative Republic of Brazil, the Argentine Republic, the Republic of Paraguay and the Eastern Republic of Uruguay, in Montevideo on November 29, 1991 and incorporated into the legal Brazilian through the Decree no 550, of May 27, 1992;

Considering that it was signed, on December 29, 2000, in Montevideo, the Twenty-Sixth Additional Protocol to the Complementation Agreement Economic no 18, incorporated into the Brazilian legal planning by means of Decree No. 3,804, of April 24, 2001;

Considering that it was published on August 8, 2001 Ata of rectification of the cited Twenty-Sixth Additional Protocol to the Economic Supplementation Agreement no 18;

DECRETA:

Art. 1o The Rectification Act of August 8, 2001 of the Twenty-Sixth Additional Protocol to the Agreement of Economic Complementation no 18, between the Governments of the Federative Republic of Brazil, the Argentine Republic, the Republic of Paraguay and the Eastern Republic of Uruguay, of December 29, 2000, apensa by copy to the present Decree, will performed and fulfilled as entirely as it contains.

Art. 2o This Decree takes effect on the date of its publication.

Brasilia, March 21, 2002; 181o of Independence and 114o of the Republic.

FERNANDO HENRIQUE CARDOSO

Celso Lafer

This text does not replace the one published in the D.O.U. 3/22/2002

Rectification Act of the Twenty-Sixth Additional Protocol to the Agreement of Economic Complement N ° 18

In the city of Montevideo, at the eight days of the month of August two thousand and one, the General Secretariat, in use of the faculties that entitle it to Resolution 30 of the Committee of Representatives, as the depositary of the Agreements and Protocols subscribed to by the Governments of the Association's member states, and of compliance with the established in its Article Third, makes the record:

First.- That noted the lack of concordance between the texts, in the Portuguese and Spanish versions, of the Twenty-Sixth Additional Protocol to the Economic Supplementation Agreement No. 18, signed in twenty-nine of December 2000.

Second.- That this lack of concordance consists in that in the version in Portuguese Figure an Article 14, concerning the entry into force of the mentioned Protocol, which is not listed in the Spanish version.

Third.-Which consulted the Permanent Representations of Argentina, Brazil, Paraguay and Uruguay, it was agreed that the correct version of the Twenty-Sixth Additional Protocol to the Economic Supplementation Agreement No. 18 is the version in Spanish (note SGA-COM-200/01, dated July 13, 2001, and note 487/01, of August 3, 2001, of the Permanent Representation of Uruguay, in the exercise of the Pro Tempore Presidency of MERCOSUR).

Room.-By virtue of the exposed, and given that the amendment counts on the annuence of the signatory countries, this General Secretariat proceeded to cross page 3 of the Portuguese version of the Twenty-Sixth Additional Protocol to the Economic Supplementation Agreement No. 18 the following text: " Article 14.-The this Protocol shall enter into force thirty days after the General Secretariat communicates to the Countries Signatories of the Agreement the receipt of the last notification regarding the compliance of the Incorporation trays to their respective legal planning internal. "

And for the record, this General Secretariat lavish the present Retifition Act at the place and date indicated.

Economic Supplementation Agreement No. 18,

Celebrated between Argentina, Brazil, Paraguay and Uruguay

Twenty-Sixth Additional Protocol

The Plenipotentiaries of the Argentine Republic, of the Federative Republic of Brazil, of the Republic of Paraguay and the Eastern Republic of the Uruguay, accredited by their respective Governments second powers that have been bestowed in good and due form, deposited timely in the General Secretariat of the Latin American Integration Association (ALADI),

Having in view Decision No. 69/00 of the Common Market Council.

Considering That it is expedient to draw up a special import regime of MERCOSUR,

Concome in:

Article 1º.-This standard applies to the special import customs arrangements adopted unilaterally by the Signatory Countries, which entail the complete or partial suspension of the customs duties engraving the temporary or permanent import of goods and which are not aimed at the improvement and further re-export of the resulting goods to third countries. In the case of the special customs areas, this Protocol only applies under Articles 10 and 11.

Article 2º.-The Countries Signatories commit to completely eliminate, in 1the of January 2006, the special import customs arrangements mentioned in the previous article and the benefits granted to the amparo of these schemes, excepted the special customs areas.

Article 3º.-Until the date mentioned in the previous article, the Signatory Countries will be able to apply for compliance with the MERCOSUR Origin Scheme for all intrazone trade.

For the purpose of applying the special schemes defined in Article 1º, the CCM should agree on a reduced list, composed of a maximum of 25 (twenty five) items of NCM, by country signatory, to look at the conditions that will regine their intrazone trade. To draw up such a list, the Signatory Countries will submit, before February 28, 2001, an enumeration of products to be incorporated to the same, with the relevant background and arguments about the difficulties caused. The CCM will have a 30-day deadline to agree the said list.

To agree the conditions cited in the preceding paragraph, the CCM will have 60 days from the date of drafting the list. When for some of the listed products it has not been possible to agree special conditions, these should comply with the regional aggregate value requirement of 60% as the only limitation for their intra-MERCOSUR trade.

Article 4º.-The products that have been drawn up using the mechanisms provided for in Article 2º will benefit from free trade within the framework of MERCOSUR until 1º January 2006, provided that, as provided for in the previous article, comply with the MERCOSUR Origin Scheme.

Article 5º.-Until the date stated in Article 2º, the limitations mentioned in Article 12 of the Thirteenth Additional Protocol to the Agreement for the concessions of the schemes of "draw-back" or temporary admission set out in Article 7º of the said Protocol.

Article 6º.-Revoga-If CMC Decision No. 21/98.

Article 7º.-The Signatory Countries will submit information on characteristics, nature and legal basis of each of the special import customs arrangements covered by the constant definition of Art. 1º. Similarly, the Signatory Countries will interchange periodically, by means of the Trade Commission, statistics on the effective use of these mechanisms. These data should include statistics on imported goods, identifying the corresponding NCM position and its value in dollars and quantities.

The statistical information will be updated once completed the period of year 2000 and, thereafter, in an annual manner. The first exchange of information should contain the data corresponding to the year 2000 and is due to take place before June 30, 2001.

Article 8º.-The Countries Signatories deemed to be impaired by the schemes mentioned in Article 1º will be able to request, by means of the GMC, changes from them to the Signatory Countries that apply them. These will give appropriate consideration to the solicitations and seek to carry out the requested modifications, respected the contractual relationships established. Should it not be possible to introduce the requested modification or another of equivalent effect, the signatory country applicator will present detailed justification in substantive terms, and not merely legal-formal, for the non-service of the solicitation.

Article 9º.-It is prohibited to apply, in a one-sided manner, of the special import customs regimes defined in Article 1º that were not in force on June 30, 2000.

The import customs arrangements prevailing on the date mentioned that, by internal legal provision of a signatory country, have disposal scheduled before 1o of January 2006 may be extended until such a time limit.

Article 10.-It shall be extended, until June 30, 2001, the establishment of the conditions for the marketing in MERCOSUR of the products of special customs areas, as provided for in Article 4º, letter (c), of the CMC Decision No. 31/00.

Article 11.-Trade negotiations between MERCOSUR and third countries or blocs will not exclude a priori the products produced in the free zones of any nature or special customs areas existing in the Signatory Countries. The specific conditions with respect to each case will be defined by the GMC.

Article 12.-The Signatory Countries will be able to establish Common Special Import Regimes For MERCOSUR, including with definitive internation in the territory from any of the Signatory Countries, from the joint identification of sectors or products to be contemplated with specific trade policies. Such schemes will be established by the GMC from CCM proposals.

Article 13.-The Countries Signatories should appropriate their national legislations to the provisions of this Protocol.

The General Secretariat of ALADI shall be a depositary of this Protocol, of which it will send duly certified copies to the signatory Governments.

In faith of what, the respective Plenipotentiaries sign the present Protocol in the city of Montevideo, at the twenty-nine days of the month of December two thousand, in an original in the Portuguese and Spanish languages, being both texts being equally valid. (a.) By the Government of the Argentine Republic: Carlos Onis Vigil; By the Government of the Federative Republic of Brazil: José Artur Denot Medeiros; By the Government of the Republic of Paraguay: José María Casal; By the Government of the Eastern Republic of Uruguay: Elbio Rosselli Frieri