Full Cumulation Implementing full cumulation under the AANZFTA Upgrade simplifies rules of origin requirements. It allows materials and processing from any AANZFTA country to count toward a product’s origin status. This added flexibility helps businesses, especially micro, small, and medium-sized enterprises (MSMES), qualify more easily for preferential tariffs and compete more effectively across the region.
Project: Implementation of Full Cumulation under the AANZFTA Upgrade Agreement Commenced: October 2023 Regional or National: Regional - benefits all ASEAN Member States (AMS) Partner: AANZFTA Sub-Committee on Rules of Origin (SC-ROO) Status: Completed Objectives This project supported the Sub-Committee on Rules of Origin (SC-ROO) to: Develop clear, practical guidelines for implementing full cumulation under the upgraded AANZFTA. Identify capacity-building needs to help ASEAN Member States apply the new rule consistently. By doing so, the project aimed to strengthen regulatory consistency and equip governments with actionable policy options to implement the agreement effectively. Outcomes Insights from a Full Cumulation Workshop held on 30 November and 1 December 2023 in Kuala Lumpur, Malaysia helped identify challenges AMS faced in adopting full cumulation. Recognising that the diversity of the region means a single approach would not work for all, the project’s scope was expanded to refine the guidelines based on feedback from AANZFTA countries. The revised guidelines clarified technical details, while recommendations were developed to fill gaps not covered by the agreement and provide in-country training support. This ensured a shared understanding of full cumulation and outlined targeted capacity-building efforts to help AMS implement it effectively. See How Full Cumulation Connects to AANZFTA’s Rules of Origin Explore More RT4D Projects and Their Impact
