Manufacturing of chemicals is a Qualifying Activity under the 'Manufacturing of goods or materials' category. Forensic focus is on the 'Transformation' threshold; simple blending, dilution, or repackaging of chemical precursors may be reclassified as Trading, potentially disqualifying the 0% rate if conducted with non-Free Zone persons.
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Legal Reference
Ministerial Decision No. 229 of 2025, Article 2(1)(a)
Audit Red Flag
Artificial characterization of 'Trading' (Excluded Activity) as 'Manufacturing' (Qualifying Activity) where no substantial chemical transformation or molecular change occurs.