Technical documents

Government memorandums, notices and decisions.

This page lists newly published government memorandums, notices, regulations and decisions. Clicking on a title will open the document (in a new window) as published by the relevant department or agency on its own Web site.

Canada Border Services Agency

• Message from CBSA: List of HS codes for NRCan's regulated energy-using products has been corrected.
• Customs Notice CN12-014 Amendment 11 to the Energy Efficiency Regulations.
• Memorandum D2-1-1 Temporary Importation of Baggage and Conveyances by Non-residents. Memorandum has been updated as a result of legislative changes.
• SIMA - Hot-rolled carbon steel plate originating in or exported from China - Notice of Initiation of Expiry Review.

Canada Revenue Agency

• Federal excise stamp mandatory on tobacco products as of July 1, 2012.

Canadian Food Inspection Agency

• RMD-12-01: Pest Risk Management Document – Importation of Wood Packaging Material from the Continental United States
• Protecting Canadian Livestock From the Schmallenberg Virus. New import measures.
• Use of Trade-Marks in Labelling of Foods Sold in Canada. Act prohibits the labelling, packaging, treating, processing, selling or advertising of any food in a manner that is false, misleading or deceptive to consumers or is likely to create an erroneous impression regarding the product.
• Meat Hygiene Directives: Malaysia, Korea (Republic of)

Canadian International Trade Tribunal

• Appeal No. AP-2011-027 Aluminart Products Ltd. Whether certain aluminum parts and products are subject to anti-dumping duties and whether the CBSA improperly relied upon "zeroing" when assessing the anti-dumping duties.
• Appeal No. AP-2011-018 HBC Imports c/o Zellers Inc. Tariff classification of a Snow Boogie® Astra Sled.

European Union

• Taxation: More efficient cooperation in collecting excise duties.

United States

• U.S. Census Bureau: Who Imported and Who Exported in 2010?
• U.S. ITA Request for Comment - Subsidy programs provided by countries exporting softwood lumber and softwood lumber products to the United States. [PDF]
• USDA Public Health Information System (PHIS) - Import Component. On May 29, 2012, PHIS will replace the existing Automated Import Information System (AIIS) and the Performance Based Inspection System (PBIS). All FSIS import regions are scheduled to begin using PHIS on this date.
• USDA FSIS Notice 30-12 (pdf) FSIS Verification testing on imported beef manufacturing trimmings.
• USDA Recently Revised Export Requirements & Plant Lists. Export Requirements for Canada. (Apr 27, 2012)
• U.S. CBP CSMS# 12-000153 - Harmonized System Update 1204 - Changes to the 2012 Harmonized Tariff Schedule of the US.
• U.S. CBP new/updated informed compliance publications:
  - Ball Bearings - 04/20/2012
  - Internal Combustion Piston Engines - 04/20/2012
  - Classification of Cooking Ranges, Stoves and Ovens - 04/20/2012

Global air freight demand up slightly in March

The International Air Transport Association's (IATA) global traffic results for March show that freight demand climbed 0.3% compared to the same month last year.

According to IATA, cargo demand was affected by the timing of the Chinese New Year. Compared to February 2012, March air cargo demand was significantly stronger by 2.2%.

Air freight markets are now showing signs of renewed expansion. Freight Tonne Kilometers (FTKs) were over 4% higher in March than they were in the fourth quarter of 2011.

Middle Eastern carriers had a 15.1% rise in demand, the healthiest performance among the regions, with about four percentage points of that rise attributable to Arab Spring-related traffic suppression last year.

North American airlines' freight demand rose 1.6% year-on-year. Latin American carriers' traffic climbed 4.9%, while African carriers saw a 3.9% rise compared to the year-ago period.

Asia-Pacific and European airlines saw their freight traffic decline 3.1% and 1.9%, respectively, compared to a year ago.

EDC forecasts strong growth for Ontario and Quebec exports this year and next

Ontario's international export growth is forecast to lead the country with a 9% gain this year and a further 9% gain in 2013, according to Export Development Canada's (EDC) Global Export Forecast.

The three key exporting sectors for Ontario are industrial goods (chemicals, plastics, fertilizers, ores, metals, etc.), accounting for 36% of the province's total exports; motor vehicles and parts, accounting for 32%; and machinery/equipment, accounting for 13%.

"Resurgent U.S. growth will be a huge driver of Ontario export growth this year and next. Double-digit gains in the auto sector, industrial goods and forestry products are all traceable to economic revival south of the border," said Peter Hall, EDC's Chief Economist. "Growth is being further augmented by fast-growing sales into emerging markets, a steadily rising share of Ontario's international sales."

Quebec's international export are forecast to grow by 7% this year and in 2013, the province's first four-year growth pattern since 2000, according to EDC's forecast.

"There is finally some real momentum in Quebec's international exports after years of flat growth and declines prior to 2011," said Mr. Hall.

"Quebec's export growth picture over the next two years will be driven by a variety of factors, including strong prices and demand for commodities, higher aircraft deliveries, and the slowly-developing rebound in the U.S. housing market."

The three key exporting sectors for Quebec are industrial goods (chemicals, plastics, fertilizers, ores, metals, etc.), accounting for 39% of the province's total exports; machinery/equipment, accounting for 13% , and transportation, accounting for 12%.

WTO continues to grow, despite Doha Round pessimism

In spite of the pessimistic opinions created by the stalled Doha Round negotiations, the World Trade Organization (WTO) remains the beacon of stability for international trade and new members join every year.

On April 29, the WTO welcomed Montenegro as its 154th member. Montenegro applied for WTO membership on December 10, 2004. On March 30, 2012, the country informed the WTO it had accepted its membership package. This is the final step in the accession process.

The WTO will also welcome Samoa, as its 155th member, on May 10. Samoa applied for WTO membership on 15 April 1998. On 10 April 2012, Samoa informed the WTO it had accepted its membership package.

WTO Director-General Pascal Lamy said: "The accession chapter is now closed. The membership path is now fully open. I look forward to working with Montenegro and Samoa to help them become full and active members of the global trading system."

Under WTO rules, a country becomes a member 30 days after national ratification.

Self clearance customs kiosks to be installed at Montreal Trudeau airport

The Federal Government announced the expansion of the Automated Border Clearance (ABC) pilot project, which has been in operation at Vancouver International Airport since early 2010.

ABC is an innovative concept that uses self-serve, automated technology to process Canadian travellers returning to Canada. The self-serve kiosks are easy to use and do not require pre-registration by travellers or payment of any membership fees.

Building off the success in Vancouver, the pilot project will be moved to full program status and expanded to other international airports across Canada starting with Montréal's Pierre Elliott Trudeau International Airport in June 2012.

To use the kiosk, the travellers place their passport or permanent resident card in the document reader, insert their completed E311 Declaration Card in the kiosk and follow the instructions on the screen. Once the transaction is completed a transaction receipt is issued. The traveller reports to a Border Services Officer for verification of their identity and visual authentication of their passport or permanent resident card.

Link: Automated Border Clearance

Technical documents

Government memorandums, notices and decisions.

This page lists newly published government memorandums, notices, regulations and decisions. Clicking on a title will open the document (in a new window) as published by the relevant department or agency on its own Web site.

Canada Border Services Agency

• CBSA investigates the dumping of certain liquid dielectric transformers from Korea.
• SIMA - Certain stainless steel sinks from China. Notice of Final Determinations.
• SIMA - Certain Potassium Silicate Solids. Notice of Termination of Investigations.
• Memorandum D9-1-9 False Description of Geographical Origin of Goods and Goods With Trade Marks - Tariff Item No. 9897.00.00. Terminology has been updated to reflect changes in the CBSA's organizational structure.
• Memorandum D17-1-4 Release of Commercial Goods. Multiple revisions, see memorandum.
• Message from CBSA - Changes to the list of HS codes subject to requirements of Natural Resources Canada (NRCan) concerning energy-using products regulated under the Amendment 11 to the Energy Efficiency Regulations.

Department of Foreign Affairs and International Trade

• CFIA will create an importer licensing regime - Imported Food Sector Regulatory Proposal.
• United States Confirms BSE Case -This finding will not affect trade between the US and Canada.
• Policy on the Use of External Laboratories for Export Testing. This policy outlines the standards that an external laboratory must meet in order to be approved by the CFIA to perform testing of animal samples for export certification purposes.
• Directive D-95-13 February 24, 2012 (5th Revision) Seed Potato Certification Program - Submission/Refund of Fees for Field Inspection. Revised to update the review date, as well as minor administrative changes. Information has been added to clarify the fees to be charged for separate farm units.
• Directive D-97-12 July 6, 2011 (5th Revision) Seed potato certification program - Bacterial ring rot testing program for field grown seed potatoes. Changes made during this revision were administrative in nature as a result of regular periodic review.
• Appendix 1 "Sampling time for stems: days after planting (DAP) before sampling, for some potato varieties grown in Canada" of Directive D-97-12 "Seed potato certification program - Bacterial ring rot testing program for field grown seed potatoes" has been revised.

Transport Canada

• Child Car Seat Cross Border Shopping - What Parents and Caregivers Should Know. Cross border shopping may be tempting, but when it comes to buying a child's car seat or booster seat for use in Canada, Transport Canada and Health Canada warn consumers against it.

Canadian International Trade Tribunal

• Expiry Review No. RR-2012-001 Hot-rolled carbon steel plate originating in or exported from China.
• Preliminary Injury Inquiry No. PI-2012-001 Liquid dielectric transformers originating in or exported from the Republic of Korea
• Appeal No. AP-2010-006 Komatsu International (Canada) Inc. Classification of rubber hydraulic hose assemblies.
• Appeal No. AP-2011-020 Canadian Tire Corporation Limited. Classification of a trampoline with a safety enclosure for use by children.

North American Plant Protection Organization

• DRAFT RSPM 37 "Phytosanitary measures to facilitate the trade of Christmas trees". Country Consultation, April 10 to July 10, 2012. North American Plant Protection Organization (NAPPO)

European Union

• The transatlantic trade dispute on "hormones" in beef comes to an end (pdf). Adoption of European tariff quota will finally bring to an end the long-lasting trade dispute between the EU, the USA and Canada on the use of "hormones" in beef within the framework of the World Trade Organisation (WTO).

United States

• U.S. CBP announces IPR Interim Final Rule. Document amends, on an interim basis, the U.S. regulations pertaining to importations of merchandise bearing recorded trademarks or recorded trade names.
• U.S. CBP new/updated informed compliance publications:
  - Cane and Beet Sugar (Quota, Classification & Entry)
  - Classification and Marking of Watches and Clocks
  - Eyewear Frames and Eyewear
• U.S. ITA Antidumping review- Citric Acid and Certain Citrate Salts From Canada: Final Results of Antidumping Duty Administrative Review - International Trade Administration [PDF]
• U.S. FDA strengthens international collaboration to ensure quality, safety of imported products. New report presents FDA's focus on global cooperation for product safety.

All food importers may soon have to be licensed

The Canadian Food Inspection Agency (CFIA) announced last Friday that it plans to develop new regulations that would require food importers to be licensed and have measures in place to keep unsafe food out of the Canadian marketplace.

The proposed regulations would include a range of tools and streamlined processes to help importers, particularly small enterprises, transition to the new requirements. A user fee is being proposed to recover the cost of issuing the import licences.

The CFIA welcomes input from all levels of industry and the public as it develops the new regulations.

Link: Imported Food Sector Regulatory Proposal

Canada eases economic sanctions against Burma

Changes to the Government of Canada's unilateral economic sanctions on Burma were announced this week. The sanctions - known as the Special Economic Measures (Burma) Regulations, or the Burma Regulations - were imposed in 2007 in response to human rights violations in that country.

Prohibitions on imports, exports and investment have for the most part been removed, as have those related to technical data and financial transactions. 

However, a few prohibitions remain: trade in arms and related material is still forbidden, along with technical and financial assistance related to military activities.

An asset freeze and prohibition on transactions also remain in place against designated individuals and entities. The list of designated persons will be reviewed and updated over the coming weeks in light of changes that have taken place in the Burmese power structure since the list was created.

The Burma Regulations were not the only economic sanctions in place against Burma. In 1997, Burma was added to the Area Control List, requiring that all those wishing to export from Canada to Burma obtain an export permit under the Export and Import Permits Act. As of today, Burma is removed from this list. However, permit requirements for items included on Canada's Export Control List remain in effect.

Inauguration of new border facilities in Prescott, Ontario

Federal officials celebrated this week the official opening of the recently modernized port of entry in Prescott, Ontario.

Recently completed, the project includes two commercial processing lanes, a new commercial building and a warehouse for processing and examining commercial shipments. In addition, a fourth primary inspection lane and a new, bigger traveller building were added enabling the Canada Border Services Agency (CBSA) to provide better service.

The construction of Prescott's new facility was necessary in order to maintain a smooth operation for its growing popularity. It is equipped with four Inspection Lanes and two Commercial Inspection Lanes.

The new buildings, both roughly twice as large as the former buildings, and the additional processing lanes in both commercial and traveller streams will enable the CBSA to provide better service to all its stakeholders, especially at peak times.

Close to 275,000 vehicles and over 560,000 travellers a year will enter Canada at this facility.

Tribunal to review expiry of anti-dumping duties on hot-rolled carbon steel plate from China

The Canadian International Trade Tribunal today initiated an expiry review of its orders made on January 9, 2008, concerning the dumping of hot-rolled carbon steel plate from China. Anti-dumping duties have been applied to importations of these goods since 1997. The Canada Border Services Agency will determine, on August 23, 2012, if there is a likelihood of resumed or continued dumping. In the event of a positive determination, the Tribunal will determine, on January 8, 2013, whether the continued or resumed dumping is likely to result in injury or retardation to Canadian industry.

Any interested person, association or government that wishes to participate in the Tribunal's expiry review may do so by filing a Notice of Participation.

Link: Expiry Review No. RR-2012-001 Hot-rolled carbon steel plate originating in or exported from China.

Investigation on possible dumping of liquid dielectric transformers from Korea

The Canada Border Services Agency (CBSA) announced yesterday that it initiated an investigation into the alleged injurious dumping of liquid dielectric transformers having a top power handling capacity equal to or exceeding 60,000 kilovolt amperes (60 megavolt amperes), whether assembled or unassembled, complete or incomplete, originating in or exported from the Republic of Korea.

Liquid dielectric transformers are capital goods that are made to order from a customer's particular needs. They are used to increase, maintain or decrease electric voltage in high voltage transmission and distribution systems.

The investigation follows a complaint filed by two Canadian manufacturers, one in Varennes, Québec, and the other in Winnipeg, Manitoba. The complainants allege that the dumping of these goods is harming Canadian production.

Dumping occurs when goods are sold to importers in Canada at prices that are less than their selling prices in the exporter's domestic market or at unprofitable prices.

The Canadian International Trade Tribunal will hold a preliminary inquiry to determine whether the imports are harming Canadian producers and will issue a decision by June 22, 2012. While the Tribunal is examining the question of injury, the CBSA will investigate whether the imports are being dumped and will make a preliminary decision by July 23, 2012.

If the Tribunal determines that an unusually large increase in harmful imports has occurred prior to the CBSA's decision, and that the retroactive application of anti-dumping duty is therefore justified, duty could be levied on the goods brought into Canada as of April 23, 2012.

Link: Preliminary Injury Inquiry No. PI-2012-001 Liquid dielectric transformers originating in or exported from the Republic of Korea.

Technical documents

Government memorandums, notices and decisions.


This page lists newly published government memorandums, notices, regulations and decisions. Clicking on a title will open the document (in a new window) as published by the relevant department or agency on its own Web site.

Canada Border Services Agency

• ACI/eManifest Highway Electronic Commerce Client Requirements Document - eManifest Portal
• eManifest - Several dates added to the following webinars:
  - eManifest Portal Demonstration.
  - Attention Highway Carriers: eManifest may apply to you.
• Memorandum D17-1-8 Release Prior to Payment Privilege. Revised to update the contact information to reflect the organizational changes of the CBSA.
• Customs Notice CN12-013 Changes to the Import Requirements for Non-restricted Firearms.

Department of Foreign Affairs and International Trade

• PM announces expansion of the Canada-Chile Free Trade Agreement.

Canadian Food Inspection Agency

• Directive D-06-04 (3rd revision) October 21, 2011 Seed Potato Quality Management Program (SPQMP). See directive for list of revisions.

Canadian International Trade Tribunal

• Appeal No. AP-2011-013 KSB Pumps Inc.. Classification of Amaprop® submersible mixers for handling municipal or industrial waste water and sludges, as well as for use in biogas applications.
• Interim Review No. RD-2011-004 Mattress innerspring units from China. Tribunal continues the finding without amendment. Reasons issued.

European Union

• EU Rules of origin: European Commission publishes guidelines on printing requirements for certificates.

Canada and Chile expand free trade agreement

An expanded Canada-Chile Free Trade Agreement that will broaden cooperation between the two countries was officially signed in Santiago this week. The announcement was made during Prime Minister Harper's visit to Chile.

The original Canada-Chile Free Trade Agreement (CCFTA) covered trade in goods and services, as well as the bilateral investment relationship, but did not include provisions on financial services.

The amended agreement will include a financial services chapter to ensure that Canadian financial institutions enjoy preferential access to the Chilean market and can compete on a level playing field vis-à-vis their competitors.

The updated agreement will also modernize the dispute settlement procedures and update technical provisions in government procurement and customs procedures.

Since its launch in 1997, the CCFTA has brought benefits to both countries. Two-way merchandise trade has more than tripled, reaching more than $2.7 billion in 2011.

No actual details of the new expanded agreement were released.

Will highway carriers be ready for eManifest deadline?

In six little months from now, on November 1, 2012, highway carriers that do not comply with the eManifest requirement to electronically transmit cargo and conveyance data ahead of arrival at the border will be denied entry and will face zero-rated (non-monetary) penalties.

Subsequently, on May 1, 2013, highway carriers that do not comply with the requirements will be denied entry to Canada and face monetary penalties.

To help everyone prepare for the eManifest requirements, the Canada Border Services Agency (CBSA) keeps adding dates for its live eManifest highway carrier presentations. Each presentation is hosted by a CBSA representative and followed by a question and answer period.

The following presentations will be held several times, throughout May and June:

• Attention Highway Carriers: eManifest may apply to you
• eManifest Portal Demonstration

CBSA will also provide, on request, copies of its presentations.

To find out more and to register follow this link to the CBSA website.

Transportation accidents continued their downwards trend in 2011

Air, marine, pipeline and rail accidents and incidents in Canada continued their downwards trend in 2011 according to the Transportation Safety Board of Canada's (TSB) preliminary transportation occurrence statistics.

Overall in 2011, 7.9 transportation occurrences were reported to the TSB each day-down from 8.4 in 2010. Of the 2,882 total occurrences reported, 121 resulted in fatalities.

The encouraging trend in the rail sector continued in 2011, with fatalities reaching a five-year low of 71. Notable strides have also been made in the number of crossing accidents and non main track derailments. The pipeline industry reported 5 accidents, the lowest number since 2005. The number of incidents rose slightly to 165.

This past year also saw a significant decline in marine occurrences reported to the TSB, with accidents falling 23% from the 2006-2010 average of 420, and incidents decreasing to 221 from the five year average of 251.

In the aviation sector, 932 occurrences were reported to the TSB, representing an 18% decrease over the 2006-2010 average of 1,135 occurrences. Overall, aircraft accident rates in Canada have continued to improve, with 5.7 accidents per 100,000 flying hours, down from the five-year rate of 6.2.

World trade growth expected to slow in 2012 according to WTO

World trade growth will continue to slow this year, improving by a modest 3.7% in 2012 according to economists from the World Trade Organization (WTO). They attribute the slowdown to the global economy losing momentum due to a number of shocks, including the European sovereign debt crisis.

World trade expanded by 5.0% in 2011, a sharp deceleration from the 2010 rebound of 13.8%. This significant braking of trade expansion had been forecast by the WTO for 2011.

"More than three years have passed since the trade collapse of 2008-09, but the world economy and trade remain fragile. The further slowing of trade expected in 2012 shows that the downside risks remain high. We are not yet out of the woods," WTO Director General Pascal Lamy said.

The present trade forecast assumes global output growth of 2.1% in 2012 at market exchange rates, down from 2.4% in 2011, based on a consensus of economic forecasters. However, there are severe downside risks for growth that could have even greater negative consequences for trade if they came to pass. These include a steeper than expected downturn in Europe, financial contagion related to the sovereign debt crisis, rapidly rising oil prices, and geopolitical risks.

Recent production data suggest that the European Union may already be in recession, and even China's dynamic economy appears to be growing more slowly in 2012. Economic prospects have improved in the United States and Japan as labour market conditions improve in the former and business orders pick up in the latter, but these positives will only partly make up for the earlier negatives.

Technical documents

Government memorandums, notices and decisions.

This page lists newly published government memorandums, notices, regulations and decisions. Clicking on a title will open the document (in a new window) as published by the relevant department or agency on its own Web site.

Canada Border Services Agency

• Message from CBSA re: Change to UN dangerous goods code.
• Customs Notice CN12-012 Amendment 11 to the Energy Efficiency Regulations
  - Temporary instructions for reporting NRCan 5 data elements (pdf)
• Customs Notice CN12-011 Steel and Steel Products - Elimination of Individual Permits
• Customs Notice CN12-010 Closure and Licence Opportunity (Fredericton, NB)
• Customs Notice CN12-009 Highway Sufferance Warehouse Closure (Richmond, Quebec)
• The New CBSA Integrated Stamp. The new CBSA Integrated Stamp will be used by frontline operational staff to control the entry and exit of travellers and goods into Canada at all points of service in Canada.

Department of Foreign Affairs and International Trade

• Export Controls Handbook.
• Handbook of Export and Import Commodity Codes - 2012 List of Chapters with Changes for 2012 - Section E Textiles and Apparel Imported Products  (4 April 2012)

Canadian Food Inspection Agency

• UPDATE: Implementation of ISPM 15 between Canada and the U.S. (Wood packaging)
• Changes to Non-safety Food Packaging Regulations and development of a Self-assessment Labelling Tool.

Canadian International Trade Tribunal

• Inquiry No. NQ-2011-001 Pup joints from China. Findings issued. The dumping and subsidizing of pup joints are threatening to cause injury to the domestic industry.

European Union

• European Commission Guidelines for goods in transit to provide clarifications with regard to goods in transit through the territory of the EU.

United States

• U.S. CBP Six Month Transition Period in Effect for ACE e-Manifest: Rail and Sea (pdf) Effective September 29, 2012, ACE will be the only CBP-approved EDI for transmitting required advance information for ocean and rail cargo to CBP.
• U.S. CBP Port Huron to add additional processing lanes.
• U.S. CBP CSMS# 12-000125 - Document Image System (DIS) Information Notice.

Four percent drop in exports narrows Canadian trade surplus

Statistics Canada reports that the country's merchandise exports declined 3.9% in February as imports edged up 0.2%. As a result, Canada's trade surplus decreased from $1.9 billion in January to $292 million in February.

Exports declined to $39.6 billion, as exports of energy products fell 6.9% to $10.7 billion and exports of automotive products declined 11.9% to $5.4 billion. Exports of agricultural and fishing products decreased 4.7% to $3.6 billion, led by lower exports of canola, which fell 25.1%.

Imports increased slightly, to $39.3 billion in February, as a gain in imports of energy products was partially offset by a decline in automotive products.

Exports to the United States decreased 3.8% to $29.3 billion. Lower exports of crude petroleum were the largest contributor to the decline. Imports from the United States edged up 0.4% to $24.5 billion. Consequently, Canada's trade surplus with the United States decreased from $6.1 billion in January to $4.8 billion in February.

Exports to countries other than the United States fell 4.0% to $10.3 billion. Imports from countries other than the United States declined 0.2% to $14.9 billion. As a result, Canada's trade deficit with countries other than the United States increased from $4.1 billion in January to $4.5 billion in February.

New Energy Efficiency Regulations now in force on imports of five new products

An amendment to the Energy Efficiency Regulations, which became effective on April 12, 2012, introduced new minimum energy performance standards - and the associated reporting and compliance requirements - for five new products.

The Canada Border Services Agency and Natural Resources Canada (NRCan) published guidance documents concerning the importation of the newly affected products:

• Customs Notice CN12-012 Amendment 11 to the Energy Efficiency Regulations

• Temporary instructions for reporting NRCan 5 data elements (pdf)

The products which are subject to the new rules are:

• Standby for electronic products such as compact audio products, television and TV combination units and video products;
• External power supplies;
• Digital TV adaptors;
• Electric boilers;
• Single package vertical air-conditioners and heat pumps.

The amendment to the regulations will also expand the scope of some products such as electric motors, dry-type transformers and large air conditioners.

The Energy Efficiency Regulations apply, among other things, to dealers who import regulated energy-using products into Canada for sale or lease.

(This article is an update of the information which we published here at the beginning of this year)

New rules to be announced for wood packaging moving between Canada and the U.S.

In a short notice emailed to trade this week the Canadian Food Inspection Agency (CFIA) reminded exporters and importers of the impending changes to the rules concerning wood packaging moving between Canada and the U.S.

Authorities on both sides of the border are moving forward to remove the current exemption from phytosanitary measures for wood packaging being shipped between the two countries.

In its notice the CFIA states that "Canada and the United States continue to work on implementing the International Standard for Phytosanitary Measures (ISPM) 15, the standard that affects treating packaging material made of wood. The date for full implementation has not been confirmed. Once the date has been confirmed by Canada and the United States, industry will be informed and a phase-in period of up to 18 months will begin."

The new standard will require wood packaging moving between the two countries to be heat-treated or fumigated with methyl bromide and marked accordingly, the same standard which currently applies for wood packaging from any other country.

Tribunal finds dumping of tubing pup joints from China threatens Canadian industry

The Canadian International Trade Tribunal announced that it had found that the dumping and subsidizing of pup joints from China that are tubing pup joints are threatening to cause injury to the domestic tubing pup joints industry, even though they have not caused injury; and

The Tribunal also announced that it had found that the dumping and subsidization of pup joints from China that are casing pup joints, if any, have not caused injury or retardation and are not threatening to cause injury to the domestic casing pup joints industry.

Anti-dumping and countervailing duties will therefore be collected by the Canada Border Services Agency on tubing pup joints from China.

The initial investigation into the dumping and subsidizing of the subject goods began in September 2011, following a complaint from a manufacturer from Alberta.

Link: CITT Inquiry No. NQ-2011-001

Technical documents

Government memorandums, notices and decisions.

This page lists newly published government memorandums, notices, regulations and decisions. Clicking on a title will open the document (in a new window) as published by the relevant department or agency on its own Web site.

Canada Border Services Agency

• SIMA - Bicycles and Frames Taiwan and China. Notice of Expiry Review
• SIMA - Certain Potassium Silicate Solids. Notice of Extension of Investigations
• Message from CBSA re: Easter Weekend.
• Tariff Amendments T2012-1 Chapters Affected: Chapter 27

Department of Foreign Affairs and International Trade

• Consultation regarding the Automatic Firearms Country Control List (AFCCL). Consultation regarding the possible addition of Austria, India, Ireland, Kuwait, and Switzerland to the Automatic Firearms Country Control List (AFCCL)
• EICB Imports: Textiles and clothing - NAFTA Tariff Preference Level Utilization. Updated April 2.

Canadian Food Inspection Agency

• The CFIA's new Complaints and Appeals Office is Operational.
• Meat Hygiene Directives: MHD 2012-16 United States, MHD 2012-12 Mexico
• Message from CFIA re: Easter Weekend.

United States

• U.S. CBP: Things commercial carriers (i.e. truckers) should know before transporting cargo from Canada or Mexico into the United States.
• U.S. CBP and Trade Gear Up for Simplified Entry Pilot. Simplified Entry provides importers with the chance to file earlier in the process with a streamlined filing, which can be amended – a first-time feature for the Trade.
• U.S. CBP makes move to ACE for Sea and Rail Manifest - AMS to be Phased out in Six Months for Sea and Rail Manifest.
• U.S. CBP Air Cargo Advance Screening (ACAS) Pilot Strategic Plan (pdf)
• U.S. CBP issues updated Bonded Warehouse Manual.
• U.S. CBP CSMS# 12-000116 - Six Month Transition Period in Effect for ACE e-Manifest: Rail and Sea
• USDA FSIS Notice 25-12 (pdf) Pasteurized Egg Products Imported in Bulk Containers from Canada.

U.S. share of Canada's international trade continues to decline

In its Annual review of Canadian international merchandise trade for 2011 Statistics Canada reports that the United States' overall share of Canada's international trade continues to decline.

Export levels to the United States in 2011 were just below those recorded a decade earlier, while exports to the United Kingdom and China grew more than four-fold from 2002 to 2011. As a result, the share of exports to the United States has declined whereas the respective shares of exports to the United Kingdom and China have more than tripled.

Nevertheless, exports to the United States increased to $330.1 billion in 2011, up 10.4% from 2010. Gains were led by crude petroleum exports, which rose 32.3% to a record $68.4 billion. The United States accounted for 73.7% of total exports in 2011, down from 87.1% in 2002.

The first reason for the U.S. relative decline, exports to China amounted to $16.8 billion, up 26.9% from 2010. Exports of iron ores and concentrates recorded the largest gains. Wood pulp and similar pulp remained the top export for a second consecutive year.

A second reason, exports to the United Kingdom increased 14.8% in 2011 to a record high of $18.8 billion. Precious metals and alloys, which represented over 60% of Canadian exports to the United Kingdom in 2011, led the gains.

A similar tendency is reflected in imports. Between 2002 and 2011, the share of goods imported from the United States declined from 62.6% to 49.5%. In contrast, China's share of imports has shown the largest gains, increasing from 4.6% in 2002 to 10.8% in 2011.

The value of imports from the United States increased 8.6% from 2010 to $220.8 billion. Gains were led by imports of fuel oils, and other petroleum and coal products, both reaching record highs.

China remained Canada's second-largest source of imports for the 10th consecutive year. Imports from China amounted to $48.2 billion in 2011, an 8.1% increase from 2010. Electronic computers and other telecommunications and related equipment, including cellular telephones, have driven the growth of imports from China over the past decade.

Mexico remained the third-largest source of imports for the Canadian market in 2011, at $24.6 billion, up 11.1% from 2010. Automotive products, mainly motor vehicle parts, except engines, led the rise.

(Source: Statistics Canada)

International air cargo volume remained flat in February

According to the International Air Transport Association's (IATA) traffic results for February 2012 international air cargo volume remained flat in February.

The 5.2% rise in February cargo demand compared to the same month in the previous year represents a distortion by the occurrence of Chinese New Year in January which pushed some deliveries into February. When comparing to January 2012 levels and cargo demand declined by 1.2%.

Cargo growth was led by Middle East carriers with an 18.2% increase in demand which was matched exactly with an 18.2% increase in capacity. The largest volume contributor to February's growth, however, was the Asia-Pacific region which posted a 10.2% year-on-year gain.

European and North American carriers saw year-on-year declines in cargo traffic of 1.4% and 0.3% respectively. Latin American airlines saw the most significant decline with a 3.6% fall compared to previous-year levels.

African carriers posted growth of 3.2%% over the previous year demand levels but on very small volumes.

Budget announces major change to Canada's trade remedy system

Last week's budget announced a major change to Canada's trade remedy system, which is designed to protect domestic industries from foreign goods that are dumped or subsidized.

Under the current system the Canada Border Services Agency (CBSA), upon receiving a complaint from Canadian business, must first determine that there is evidence that the goods are being dumped and subsidized, and that there is a reasonable indication that the dumping and subsidizing are causing injury or are threatening to cause injury to Canadian industry.

The Canadian International Trade Tribunal (CITT) must then determine if the dumping or subsidizing is indeed causing damage, or threatening to cause damage to Canadian industry.

The CBSA must then determine the exact margin of dumping and/or the exact amount of subsidy in order to calculate the anti-dumping and countervailing duties.

In the 2012 Budget the Government announced that it will introduce legislation to consolidate Canada's trade remedy investigation functions into one organization, under the CITT. The CBSA will no longer be involved, except for collecting duties.

The Government argues that this restructuring will create efficiencies and cut red tape, making it less cumbersome for Canadian businesses to take action against unfair trade, and will result in cost savings.