PUBLIC LAW 108–78—SEPT. 3, 2003
117 STAT. 955
(A) IN GENERAL.—The regional value-content of a good may be calculated on the basis of the following builddown method: AV–VNM RVC
= ———— × 100 AV
(B) DEFINITIONS.—For purposes of subparagraph (A): (i) The term ‘‘RVC’’ means the regional value-content, expressed as a percentage. (ii) The term ‘‘AV’’ means the adjusted value. (iii) The term ‘‘VNM’’ means the value of nonoriginating materials that are acquired and used by the producer in the production of the good. (3) BUILD-UP METHOD.— (A) IN GENERAL.—The regional value-content of a good may be calculated on the basis of the following buildup method: VOM RVC
= ———— × 100 AV
(B) DEFINITIONS.—For purposes of subparagraph (A): (i) The term ‘‘RVC’’ means the regional value-content, expressed as a percentage. (ii) The term ‘‘AV’’ means the adjusted value. (iii) The term ‘‘VOM’’ means the value of originating materials that are acquired or self-produced and are used by the producer in the production of the good. (e) VALUE OF MATERIALS.— (1) IN GENERAL.—For purposes of calculating the regional value-content of a good under subsection (d), and for purposes of applying the de minimis rules under subsection (b), the value of a material is— (A) in the case of a material imported by the producer of the good, the adjusted value of the material; (B) in the case of a material acquired in the territory in which the good is produced, except for a material to which subparagraph (C) applies, the adjusted value of the material; or (C) in the case of a material that is self-produced, or in a case in which the relationship between the producer of the good and the seller of the material influenced the price actually paid or payable for the material, including a material obtained without charge, the sum of— (i) all expenses incurred in the production of the material, including general expenses; and (ii) an amount for profit. (2) FURTHER ADJUSTMENTS TO THE VALUE OF MATERIALS.— (A) ORIGINATING MATERIALS.—The following expenses, if not included in the value of an originating material calculated under paragraph (1), may be added to the value of the originating material:
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