NAFTA AND ISRAEL

NAFTA (North America Free Trade Agreement) is a free trade zone made up of Canada, Mexico and the United States.

NAFTA products are not covered under the US-Israel Free Trade Area (FTA) Agreement. However, Israel has Free Trade Agreements with both Canada and Mexico.

Transshipments between and through NAFTA countries to Israel qualify for free trade area treatment under the US-Israel, Canada-Israel or Mexico-Israel Certificates of Origin as described below.

If you have any questions, please contact us with details and we can help determine if your export qualifies for FTA treatment.

MEXICO OR CANADA TO US TO ISRAEL

A)  Mexican or Canadian goods which are directly shipped from the US to Israel and remain under US customs control prior to being exported to Israel may be entitled to preference under the Israel-Mexico or Israel-Canada FTA if the following conditions are fulfilled: 

• US customs signed and stamped a Non-Manipulation Certificate for the goods in question
• The bill of lading shows that the goods are transported directly from US to Israel

B)  Goods originating in Canada or Mexico which entered commerce in the US (and did not stay under US customs control) and are exported directly to Israel from the US may also be entitled to preference, if the following conditions are fulfilled:

• Israel-Canada FTA:  The goods did not undergo any processing or the goods underwent minor processing operations as provided in the FTA. The goods are to be accompanied with a declaration of Minor Processing and a Certificate of Origin under the Israel-Canada FTA. This process must comply with the relevant Israeli internal guidelines.
• Mexico-Canada FTA:  The goods did not undergo any processing or the goods underwent No-Qualifying Operations as provided in the FTA. The goods are to be accompanied with a declaration of Non-Qualifying Operations and a Certificate of Origin under the Israel-Mexico FTA. This process must comply with the relevant Israeli internal guidelines. 

Source: State of Israel Ministry of Finance