The Law on Confirming the DECISION No 1/2023 OF THE JOINT COMMITTEE OF THE REGIONAL CONVENTION ON PAN- EURO-MEDITERRANEAN PREFERENTIAL RULES OF ORIGIN of 7 December 2023 on the amendment of the Regional Convention on pan-Euro-Mediterranean preferential rules of origin [2024/390]

IMPLEMENTATION OF THE REVISED PEM CONVENTION AND THE DECISION 1/2024 OF THE PEM JOINT COMMITTEE FROM 1 JANUARY 2025

On 1 January 2025, the Decision 1/2023 of the PEM Joint Committee on amendments to the PEM Convention (“Official Gazette of the Republic of Serbia-IA”, No. 8/24) shall apply in the Republic of Serbia. On the day of the start of the application of Decision 1/2023 (revised PEM Convention), the PEM Convention and the Transitional rules of origin in force until then shall cease to be valid.

To ensure a smooth transition from the previously valid PEM Convention to the revised PEM Convention, the Decision No. 2/2024 of the PEM Joint Committee shall also apply from 1 January 2025, to include transitional provisions in the revised PEM Convention to preserve trade flows based on the current possibilities for cumulation of origin of goods, until the process of amending all bilateral protocols on origin with reference to the revised PEM Convention is completed. The transitional provisions stipulate that the previously valid PEM Convention shall apply in parallel with the revised PEM Convention, allowing economic operators to choose between two sets of rules of origin under existing supply chains. It is also ensured that for goods that are in transit or at a customs warehouse on 1 January 2025, proofs of origin issued before 1 January 2025 are accepted and, as an additional facilitation, permeability between the previously applicable PEM Convention and the revised PEM Convention for goods from Chapters 1, 3, 16 and 25-97 of the HS system is enabled, which facilitates the application of the preferential trade regime. The said transitional provisions are valid until 31 December 2025, i.e. one year from the date of entry into force of the revised PEM Convention.