Customs Flash, general edition, 2011 no. 1
New possibilities for preferential trade between Mercosur and the European Union
On 1 January 2011, the European Commission fundamentally changed the rules of origin of the European Union’s Generalized System of Preferences (GSP). One of the adjustments was the introduction of a new group for regional cumulation: regional group IV, including the Mercosur countries Argentina, Brazil, Paraguay and Uruguay. Before regional cumulation actually could be applied, these countries however still had to transmit the Commission their undertakings to comply with the GSP’s origin rules and to provide administrative corporation for control purposes. Recently, the European Commission officially communicated that Argentina, Brazil, Paraguay and Uruguay have met this obligation and that regional cumulation therefore applies for these countries from 1 January 2011.