The Panama Trade Promotion Agreement (PATPA) went into effect on October 31, 2012. Most Panamanian goods currently enter the United States free of duty and merchandise processing fee (MPF) and virtually all will enter free by the time it is fully implemented in 2028. Information for U.S. Exporters is available through the Department of Commerce at: 2016.export.gov/FTA/index.asp
To learn more about how to claim preference on these goods, select the following:
If you have filled out a certification of origin but cannot substantiate the originating status of the goods therein, you are required to notify all recipients of said certification and the country of export.
This document provides the most relevant information in HTSUS General Notes 35 and 19 CFR Subpart S.
Any claim for preferences under the Panama Trade Promotion Agreement must be supported by a Certificate of Origin attesting to the imported product’s originating status. This link provides a PDF template demonstrating how such a Certificate of Origin can be structured. The template is fillable, and users may elect to use it. Its use, or adherence to its structure, is in no way compulsory. Nevertheless, pursuant to the relevant regulations, all of the data elements specified therein must still be provided upon request to CBP in connection with a claim for preferential tariff treatment.
Data Elements for the Panama TPA Certificate of Origin - 19 CFR 10.2004
As an alternate to the Certification of Origin template, a free-form certification can be used by Panamanian producers and exporters, and US importers, when attesting that their goods meet the requirements of the Panama TPA.
Harmonized Tariff Schedule of the United States (HTSUS) - Panama TPA General Notes 35
A current link to the general note, including the General Rules of Origin, Definitions, Value (including Regional Value Content and De Minimis), Sets, Packing and Packaging Materials, Indirect Materials, Recordkeeping and the all-important Product Specific Rules of Origin.
NOTE: On the USITC link, select the “General Notes; General rules of Interpretation; General Statistical Notes,” link, followed by “General Notes 35”.
Use this tool to learn the duty that your Panamanian goods will pay upon importation into the United States both today and in future years.
The following Panama TPA goods may be subject to a reduced tariff rate quota (TRQ): sugar and dairy. Click here for an overview of quota. Go to the Commodity Graph Report for current fill levels. Go to the TPL Threshold to Fill List to see almost closed and closed quotas.
The reconciliation prototype is an alternate method of submitting on-going, high-volume post-importation Peru TPA claims. Like standard 19 USC 1520(d) claims, they must be made within one-year of importation and all preference program requirements and responsibilities remain in effect.
Additional Resources and Regulations:
Panama TPA Text: The complete text of the agreement.
Panama TPA Regulations: A current link to the e-CFR website including: Import Requirements, Filing a Claim, Regional Value Content (RVC) Certification, Post-Importation Refunds, Rules of Origin, Origin Verifications, Transshipment, and Penalties.
USITC Publication 4349: This publication includes the modifications to the HTSUS, the Duty Phase-Out Schedule and other important information.
Panama TPA Implementation Act: Public Law No. 112-43, 125 Stat. 497 and codified at 19 USC 3805 Note
Presidential Proclamation 8894: This document enacting the Panama TPA was published in the Federal Register on November 5, 2012.