Order Amending the Import Control List (Miscellaneous Program): SOR/2022-72
Canada Gazette, Part II, Volume 156, Number 8
Registration
SOR/2022-72 March 28, 2022
EXPORT AND IMPORT PERMITS ACT
P.C. 2022-270 March 25, 2022
Her Excellency the Governor General in Council, on the recommendation of the Minister of Foreign Affairs, pursuant to section 6footnote a of the Export and Import Permits Act footnote b, makes the annexed Order Amending the Import Control List (Miscellaneous Program).
Order Amending the Import Control List (Miscellaneous Program)
Amendment
1 Item 82 of the Import Control List footnote 1 is repealed.
Coming into Force
2 This Order comes into force on October 25, 2021, but if it is registered after that day, it comes into force on the day on which it is registered.
REGULATORY IMPACT ANALYSIS STATEMENT
(This statement is not part of the Order.)
Issues
Global overcapacity in the production of steel and the imposition by certain countries of restrictions and substantive tariffs on steel imports raised the risk of considerable trade diversion of foreign steel products into Canada. Increases in steel imports had been causing or threatened to cause significant injury to Canadian steel producers and was evidenced through various factors, such as decreasing sales, production, market shares and profitability.
In October 2018, in order to remedy the threat of serious injury to domestic steel producers caused by increased imports, the Government of Canada imposed provisional safeguards on seven categories of steel goods through the Order Imposing a Surtax on the Importation of Certain Steel Goods (the Surtax Order). The steel product categories subject to provisional safeguards at that time included heavy plate, concrete reinforcing bar (rebar), energy tubulars, hot-rolled sheet, pre-painted steel, stainless steel wire and wire rod. At the same time, the Government of Canada also directed the Canadian International Trade Tribunal (the Tribunal) to inquire into whether longer-term final safeguards were warranted and, if so, to recommend appropriate remedies.
On April 3, 2019, the Tribunal issued its findings and concluded that final safeguards were warranted on imports of heavy plate and stainless steel wire. Accordingly, the Tribunal recommended the imposition of final safeguard measures in the form of tariff-rate quotas in order to remedy the threat of serious injury caused by imports of those products. Effective May 13, 2019, the Order Amending the Order Imposing a Surtax on the Importation of Certain Steel Goods (Final Safeguards) amended the Surtax Order with the purpose of imposing a surtax on the importation of heavy plate and stainless steel wire that exceeded the volume determined by the Tribunal to be non-injurious to domestic producers.
Item 82, steel goods classified under certain tariff items, was added to the Import Control List on October 25, 2018, and amended on May 13, 2019, in order for Global Affairs Canada to facilitate the administration of the provisional and final safeguard tariff rate quotas pursuant to the orders.
On March 26, 2021, the Tribunal issued its notice of expiry for the safeguard measures on the steel goods covered by the final safeguards. The notice of expiry explained that the remaining steel safeguard measures were set to expire after October 24, 2021, and provided domestic producers until April 12, 2021, to file an extension request. On April 13, 2021, the Tribunal confirmed that it had not received any requests for extension and, as such, could not commence an extension inquiry. As a result, the steel safeguard measures expired on October 25, 2021.
Objective
The amendment has the following objective:
- To repeal a regulatory provision that has no application as of October 25, 2021.
Description and rationale
The purpose of the Order Amending the Import Control List (Miscellaneous Program) is to repeal item 82 of the Import Control List as soon as possible. As there will be no further requirement for Global Affairs Canada to administer the steel safeguard tariff rate quotas, item 82 on the Import Control List will no longer be required.
One-for-one rule and small business lens
The one-for-one rule does not apply to this amendment, as there is no change in administrative costs or burden to businesses.
Analysis under the small business lens determined that the Order Amending the Import Control List (Miscellaneous Program) will not impact small businesses in Canada.
Contact
Anh Nguyen
Non-Supply Managed Trade Controls
Global Affairs Canada
Ottawa, Ontario
K1A 0G2
Telephone: 343‑203‑7031
Email: steel-acier@international.gc.ca