The whole area of rules of origin...determining originating materials is done through different methodologies. You have a regional value content; you can have what is called value cost; or you can have net cost. It's beyond me to get into a huge amount of detail on this.
But whether we can use the existing net cost methodology with averaging, for instance, is one area where clearly it's being considered, I believe, based on what we've read in the agreement in principle document. But again, the devil is always in the details. As Madam Ambassador mentioned, those technical details are now being worked out between the negotiating teams. Sometimes a small detail can make or break whether or not you get a benefit. So we are making ourselves available to the negotiating team to the extent they can share that information with us, to help them in turn put in place or get agreement on the necessary details to ensure, basically, that we are able to benefit from this.
We have high expectations for this agreement. We think it really sets the standard, going forward, in many different respects. We want to take advantage of all the benefits that could accrue through the various provisions. For instance, under the 100,000-unit derogation, how is the allocation framework actually going to be allocated? That is another example of some of the details we would like to see. Obviously we want an allocation framework that's going to be fair for everybody. We want an allocation framework that's going to be reflective of growing markets. What is the market going to be in Europe four or five years out, or until such time as the U.S.-EU agreement comes forward?
We want to be able to take advantage. If that allocation derogation, or derogation—whatever you want to call it—as a quota is insufficient, should that be changed? Should there be a mechanism to change it or adjust it as we go forward?
These are all the things that ultimately we don't know because we haven't seen the text. We're optimistic, but I think even the negotiators will say that until we actually get that final text, it's very difficult for them go to out to industry, whether it's our industry or any other industry, to say, “Here it is, and we think that it's very beneficial to you”.
So we're just looking for the opportunity to go through those details and make sure that we as a country and an industry and a sector can benefit from that.