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threshold value calculation ?

former_member209864
Participant
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Dear Gts gurus,

I know the value of threshold in Gts, but not able to understand how threashold calculation done.

I know we need to maintain some percentage in Gts system but that percentage how calculates on net price of item in feeder system to compare threshold?

Accepted Solutions (1)

Accepted Solutions (1)

lozanov-a
Participant
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Hello Amith,

i guess you talk about a threshold in the context of US re export calculation of value of US origin components. Please confirm and if it is this area , i could share what i know

kr

Assen

former_member209864
Participant
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Yes, plz tell me value is calculated ...plz

lozanov-a
Participant
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HI Amith,

let me share what i recall from this process - it was a while;

the calculation is done based on material prices, this is to say, generally Moving average price for components (standard price for the finished goods if you want to do a simulation.)

You have transferred also the BOM, the prices for all the materials in the BOM - then, you have to maintain the materials master in GTS with the Legal regulation in the Tab US reexport;
After, you can simulate the calculation by exploding the BOM (optional)

so, i would say, start by transferring the material prices and the BOM.

Once; the master data is set up - when you do your sales order, the system will do the check in GTS using the sales price and checking if the US origin components reach the threshold value which is 25 % for non sensitive countries and 10% for sensitive countries -

Let me know if this helps

KInd regards

Assen

former_member209864
Participant
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Dear assean thank you so much for you post

I know value will be calculated material price after that compares threshold value 25 percent what ever we maintain.

Give one example calculation formula

Sales order material value is 1000 us dollars

Now maintained 25 percent... So how calculation will be happened?

lozanov-a
Participant
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HI Amith,

sales price = 1000 eur

value of components with US content based on BOM in gts

and material price of the component> 250 euro - us re export legal reg relevant

< 250 eur- not relevant.

i think so.

Kind regards

Assen

former_member209864
Participant
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Dear Assen,

Thank you so much for your update on this post.

Example below given.

I attached the screen short which one is explained by some one  about US RE Export.

But I could not understand 25000 euros coming from where ???

Because 104000 is sales order value ....

Confused on this.please help me to understand on this point from real time point of view.

I understand the clear picture of US-Reexport process,how to control the sales order with threshold value if sales order is more than that.

lozanov-a
Participant
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HI Amith

yes, i would say so.

i suppose that you have maintained the product master of the components .

kind regards

Assen

venu_ch8
Active Contributor
former_member209864
Participant
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Dear All,

Anyone please let me know how 25000 EUR came.

kul_vaibhav
Active Participant
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Hi Amith,

This value if extracted from the "Price & Values tab" of the components of the finished product.

I hope it helps.

regards,

Kul Vaibhav

former_member209864
Participant
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Dear Vaibhav,

Thanks a lot

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