Valuation
Customs Valuation
Also known as: Customs value, Valor en aduana, Valuation
Process of determining the customs value of imported goods using the six methods of the WTO Valuation Agreement, used to calculate duties and taxes.
What Is Customs Valuation?
Customs valuation is the procedure used to determine the customs value of imported goods. This value serves as the basis for calculating duties (Import General Tax), the customs processing fee (DTA), VAT, and any other applicable taxes. In Mexico, valuation follows the WTO Valuation Agreement (Article VII of GATT 1994) and Articles 64 through 78-C of the Customs Law (Ley Aduanera).
The 6 valuation methods
- Method 1: Transaction Value — price actually paid or payable (used in ~90% of cases).
- Method 2: Transaction Value of Identical Goods.
- Method 3: Transaction Value of Similar Goods.
- Method 4: Deductive Value — selling price in Mexico minus deductions.
- Method 5: Computed Value — cost of production plus producer's profit.
- Method 6: Fall-back Method — reasonable criteria when methods 1-5 do not apply.
Examples
- An importer declares a transaction value of USD 100,000 for a machinery shipment using Method 1, adding international freight as an addition to the price.
- For a donation of goods (no sale), the importer cannot use Method 1 and applies Method 2 (identical goods) to determine the customs value.
Stay MVE compliant
Learn more→Related terms
Documents
Electronic Value Declaration (MVE)
Mandatory electronic document through which the importer declares and signs the customs value of goods imported into Mexico, filed as Format E2 through VUCEM.
ValuationTransaction Value
The price actually paid or payable for imported goods, adjusted as prescribed by the WTO Valuation Agreement. It is the primary method for determining customs value.
CustomsCustoms Declaration (Pedimento)
The official document filed with Mexican customs that covers the entry or exit of goods from Mexico, prepared and submitted by a licensed customs broker.
DocumentsCOVE (Electronic Value Voucher)
Electronic document that certifies the declared value of goods in the customs declaration, transmitted through Mexico's VUCEM system.
