Canadian Government Announces New Measures To Address Circumvention

The Canadian government last week announced new efforts to establish an aluminum import monitoring regime and to strengthen the current steel import monitoring system.

For aluminum, the country will add certain imports to the nation’s Import Control List (ICL). As The Canadian Press reported, the announcement means that importers will have to report details about the products they bring into the country and will be subject to penalties if they report inaccurate or fraudulent information. Specifically, beginning September 1, 2019 aluminum importers will be required to cite the GIP on CBSA import declarations in order to import the products into Canada. The Canadian government said this system will allow all parties to “have access to more timely aluminum import data – making it easier to quickly identify whether global oversupply of aluminum is making its way to Canada.”

To strengthen the steel monitoring system, Global Affairs Canada will now be able to ask certain importers to submit detailed reports on their imports of steel to help identify any possible errors in import data and to determine the source of any inconsistencies in a targeted manner. The aluminum GIP will also be equipped with such a requirement.

The Canadian government noted its actions are the result of consultations with the steel and aluminum industries, workers and will “build on steps taken by the government to address unfair trade, including legislative and regulatory amendments introduced in April 2018 to enhance the effectiveness of Canada’s trade remedy system, as well as additional funding for the CBSA to strengthen its trade investigations and enforcement capacity.”