Tax & Trade Blog

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BAKERY GETS ANTI-DUMPING DUTIES RELIEF

CANADIAN REFINED SUGAR SHORTAGE LEADS TO SUCCESSFUL REMISSION!

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Canadian Anti-Dumping Duties (“ADDs”) apply on a variety of goods from numerous countries and are often set at extremely high rates to protect domestic Canadian producers of like goods.

But what happens when Canadian suppliers cannot provide the products needed to maintain manufacturing operations due to industry shortages, and importers are forced to source from countries subject to ADDs?

As discussed here and here, Canada has one of the most protectionist agricultural product sectors in the world. Indeed, we have import restrictions and incredibly high tariffs on many basic groceries like cheese, eggs and poultry – all leading to fuel inflation in Canada today, and continuing disputes with countries like the US and New Zealand over our protectionist approach.

This affects consumer and commercial importers of these products, with our current government enforcing import restrictions through tariff rate quotas (“TRQs”).

On July 20, 2023, the Canada Border Services Agency (“CBSA”) released a notice that it made a preliminary determination of dumping and subsidy in respect of certain wind towers originating in, or exported from, the People’s Republic of China – resulting in the application of provisional duties on imports of those Subject Goods!

Further to CBSA’s determination, on July 21, 2023, the Canadian International Trade Tribunal (“CITT”) released a notice that it is initiating its final inquiry to determine whether the dumping and subsidizing of the Subject Goods has caused, or is threatening to cause, injury to the Canadian domestic industry.

Anyone wishing to participate in the CITT inquiry and hearing must file a Notice by August 4, 2023.

As a boutique Canadian law firm practising in a niche area (we focus on Indirect Tax, Customs and International Trade matters) we often get inquiries from small businesses and even travellers seeking to appeal various tax assessments, customs infractions, seizures and the like.

The most basic question we are asked is “how can I appeal this?”.

On January 16, 2023, the Canadian International Trade Tribunal (“CITT”) issued a notice that it was beginning an expiry review in respect of certain carbon pipe fittings originating in or exported from the Socialist Republic of Vietnam (“Vietnam”). Anyone wanting to participate in the expiry review must file a Notice of Participation with the CITT by January 31, 2023!

Both domestic producers and exporters should consider participating in the expiry review, as current anti-dumping duties (“ADDs”) for goods without a normal value are 159%, and countervailing duties (“CVDs”) are 76,360.47 VND per unit!