Whenever you perform preference determination for a product in SAP GTS, the system checks the preferential agreements to determine if, and under which conditions, this product can be sold as an originating product of the exporting country or — in the case of the EU — country group. These checks can only be performed for products that have a BOM. In SAP GTS, you can also carry out preference determination for configurable materials.
The system stores the preference determination result in the product master. If there are value clauses, it applies the minimum ex-works price established during preference determination. If the change of heading or specific production procedures have been checked successfully, the system applies the smallest possible numerical value field.