1. The provisions of this Schedule are generally expressed in terms of the corresponding items in Schedule 3 to the Customs Tariff Act 1995 (Cth) (Tariff Act), and the interpretation of the provisions of this Schedule, including the product coverage of subheadings of this Schedule, shall be governed by the Tariff Act. To the extent that provisions of this Schedule are identical to the corresponding provisions of the Tariff Act, the provisions of this Schedule shall have the same meaning as the corresponding provisions of the Tariff Act.

2. The base rates of duty set out in this Schedule reflect Australia's Most-Favoured-Nation (MFN) rates of duty in effect on 1 January 2017.

3. The following staging categories shall apply to the elimination or reduction of customs duties by Australia pursuant to Article 2.4.2:

1. customs duties on originating goods provided for in the items in staging category EIF shall be eliminated entirely, and these goods shall be duty-free on the date of entry into force of this Agreement;
2. customs duties on originating goods provided for in the items in staging category B3 shall be eliminated in three annual stages and these goods shall be duty-free from 1 January of year 3;
3. customs duties on originating goods provided for in the items in staging category B4 shall be eliminated in four annual stages and these goods shall be duty-free from 1 January of year 4;
4. the ad valorem component of the customs duties on originating goods provided for in the items in staging category AU-R1 shall be eliminated on the date of entry into force of this Agreement. The non-ad valorem component of the customs duty on these goods shall be maintained.

4. The annual stages referred to in paragraph 3 for the elimination or reduction of customs duties shall be equal, annual stages.