USMCA auto rules of origin require 75% RVC for finished vehicles (net cost) and 70% RVC for passenger vehicle parts. Plus Labor Value Content (40-45% from $16/hour workers) for finished vehicles. Plus Steel and Aluminum Procurement requirements (70% from regional sources).
This guide covers USMCA / CUSMA rules of origin for the Automotive sector. Sector-specific rules determine how goods qualify for preferential treatment.
Qualifying goods are exempt from Section 122 in 2026 – the central commercial advantage.
RVC thresholds for autos
Finished vehicles: 75% net cost. Major parts (engines, transmissions, axles, suspensions): varies 70-75%. Passenger vehicle parts: 70%.
Labor Value Content
40% LVC for passenger vehicles, 45% for heavy trucks. $16/hour workers (indexed in 2025 USD).
Steel and Aluminum Procurement
70% of vehicle’s steel and aluminum must be from regional sources (USMCA partners).
Tracing requirements
Specific traced materials list (engines, transmissions, batteries, etc.) must be qualified separately.
Frequently asked questions
How do I know if my product meets these rules?
Run an RVC analysis or tariff-shift analysis specific to your HS classification. We provide fixed-fee analyses for $4,500-$8,500 per product.
Are these rules the same in Canada (CUSMA)?
Yes. USMCA in the U.S. and CUSMA in Canada are the same agreement. Rules of origin are identical; implementing regulations differ slightly.
What documentation supports qualification?
Bill of materials, supplier certifications, manufacturing process records, RVC calculation worksheets, and Certificate of Origin.
Does USMCA exempt my goods from Section 122?
Yes. USMCA-qualifying goods are exempt from the 15% Section 122 surcharge.
How long does qualification take?
Simple goods: 1-2 weeks. Complex goods (deep BOM, multiple suppliers): 4-12 weeks for full documentation.
Get started
Run a USMCA RVC stress-test for your specific product. $4,500-$8,500 fixed-fee.