The trade agreement between Israel and the United States allows the Israeli importer and exporter to enjoy full exemption from import duties, subject to compliance with the conditions of origin and the attaching of all the necessary paperwork.
Rules of Origin in Importing and Exporting from the U.S.
In order to receive an exemption or reduction of duties, and to be considered a source product, each product must meet 3 criteria:
- The product comes out entirely in the country of origin: if the product includes imported parts or components, it must be a new product and substantially different from them. The value of the materials produced in the country of origin (added value) is at least 35% of the value of the finished product. This value includes processing and production operations, research, development, engineering, etc. costs.
- Direct transportation from the U.S. to Israel: Shipping through a third country is possible as long as the shipment remains under customs control and is not released.
- Attach a declaration of origin of the exporter on the bill.
The following is the text of the statement:
Specimen Invoice Declaration
I, the undersigned, hereby declare that unless otherwise indicated, the goods
covered by this document fully comply with the rules of origin and the other
provisions of the agreement on the establishment of a free trade area between
the government of israel and the government of the Unites States of America.
The Exporter (wether the exporter is the producer or not)
The Prodecer (is not the exporter)
Tax identification:__________________________
Name:___________________________________
Title:____________________________________
E-mail:__________________________________
Signature:_______________________________