Customs at destination uses the certificate, alongside the HS code that classifies the goods, to apply the tariff rate, trade-agreement treatment, and any import restrictions tied to origin. For the forwarder the document drives duty cost: whether the consignee clears at standard rates or qualifies for reduced duty under a trade agreement depends on the certificate being issued by a recognized body and presented at clearance. When the goods qualify for preferential treatment under a trade agreement, the certificate backs the claim to reduced tariffs or exemptions; otherwise it simply attests where the goods were produced or manufactured.
Glossary
Certificate of Origin
An official document, issued by an authorized body such as a chamber of commerce, certifying the country in which exported goods were produced or manufactured.