Rules of origin as a new frontier of International trade liberalisation

Abstract

In contemporary international trade we can witness the significant liberalization of international trade regime throught tariff cuts and abolishment of non-tariff barriers. But the preferential trade is not possible without the application of Rules of Origin which testify about product nation-ality and make possible for preferencies to be used. But complex and burdensome rules of origin can pose a barrier to international trade. In the situation when we have more global production chains in international trade the rules of origin regime must be made more liberal. This is enabled through several types of origin cumulation practices. Best example is the PEM Convention in Eu-rope that creates a pan-euromediteranian zone of origin cumulation.