Overview

The Tariff Concessions Revocation Instrument 53/2011 is an instrument made under the Customs Act 1901 to address a specific issue regarding tariff concessions. Enacted in 2011, it was introduced to provide a mechanism for revoking Tariff Concession Orders (TCOs) when the conditions for their initial creation no longer apply. The instrument was created in response to a request by Surteco Australia Pty Ltd for the revocation of TCO 0948746, which covers edgebanding, on the basis that Surteco had become a producer of substitutable goods in Australia. The policy objective of the Act is to ensure that tariff concessions are only granted when there are no substitutable goods produced in Australia, thereby protecting domestic industries from unfair competition. The instrument revokes TCO 0948746, effective from the date the revocation request was lodged, which aligns with the requirements of the Customs Act 1901 and ensures that the revocation process does not contravene the prohibitions set out in the Legislative Instruments Act 2003.

Scope and Application

The Tariff Concessions Revocation Instrument 53/2011, made under the Customs Act 1901, addresses the revocation of Tariff Concession Orders (TCOs) which pertain to the application of lower rates of customs duty on specified goods. This legislation applies to the Chief Executive Officer of Customs (CEO), who is responsible for making and revoking TCOs, and to any producers in Australia who may request the revocation of such orders. The geographic reach of the Act is national, as it pertains to the administration of customs duties across Australia. The Act excludes any goods that are already being produced in Australia in the ordinary course of business on the day an application for a TCO is lodged. The revocation of a TCO, as illustrated by Instrument 53/2011, occurs when the CEO is satisfied that a producer in Australia of substitutable goods has requested the revocation and that, if the TCO were not in force, the CEO would not have made the TCO. The application of the Act can be further refined through subordinate instruments, which may provide additional detail or specific conditions for the revocation of TCOs.

Key Provisions

The Tariff Concessions Revocation Instrument 53/2011 operates under the framework provided by sections 269C, 269P, and 269SB of the Customs Act 1901. Section 269C outlines the process for making a Tariff Concession Order (TCO) when certain core criteria are met, including the absence of substitutable goods being produced in Australia at the time the application is lodged. Section 269P further explains the conditions under which a TCO can be revoked, and section 269SB allows a producer in Australia of substitutable goods to request the Chief Executive Officer of Customs (CEO) to revoke a TCO. The revocation process is detailed in subsections 269SC(1) and 269SC(3), which require the CEO to revoke the TCO if satisfied that the requesting party is a producer of substitutable goods and that the TCO would not have been made if it were the day of the original application. Under the Customs Act 1901, Surteco Australia Pty Ltd submitted a request to revoke TCO 0948746, which pertains to edgebanding. The CEO, upon receiving this request, is obliged to consider the request and determine whether the conditions for revocation are met. Specifically, the CEO must ascertain if Surteco Australia Pty Ltd is a producer of substitutable goods and whether the TCO would not have been issued if the request were made on the day the original TCO application was lodged. If both conditions are satisfied, the CEO is mandated to revoke the TCO. Should the CEO decide to revoke the TCO, as in the case of TCO 0948746, the revocation takes effect immediately upon the lodging of the request. This is stipulated under subsection 269SC(6), which provides that the revocation order comes into force on the day the request is made, notwithstanding the general prohibition on retrospective legislative instruments as outlined in section 12 of the Legislative Instruments Act 2003. The Tariff Concessions Revocation Instrument No. 53/2011, which revoked TCO 0948746, was effective from 29 March 2010, the date the request to revoke the TCO was lodged. The Customs Act 1901 also imposes obligations on the CEO to publish a notice in a Gazette as soon as practicable after receiving a request for revocation of a TCO. This notice must include a statement that a request has been lodged and the full particulars of the TCO to which the request relates, as mandated by subsection 269SC(1A). This ensures transparency and provides all stakeholders with timely information regarding the revocation process. Additionally, the Act specifies that the revocation order is subject to the provisions of subsection 269SD(8), which ensures that the revocation takes effect despite the prohibition on certain retrospective legislative instruments, thereby maintaining the integrity of the legislative process while accommodating the specific requirements of the Customs Act.