CARM: What all importers need to know about CARM

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Canada-UK Trade Continuity Agreement

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The United Kingdom Trade Continuity Remission Order (the Remission Order) extends Comprehensive Economic and Trade Agreement (CETA) benefits to the UK until the Canada-United Kingdom Trade Continuity Agreement (CUKTCA) takes effect, even though the UK is no longer part of the European Union (EU) due to the BREXIT transition ending December 31, 2020.

Importers should obtain documentation from UK exporters to identify goods meeting the current CETA Rules of Origin in order to ensure CETA rates of duty apply at time of import to Canada after January 1, 2021.  The Remission Order is also extended to CETA qualifying EU origin goods being exported from the United Kingdom.

This Remission Order replicates the tariff benefits that would have applied to eligible imports from the UK and certain associated territories under the CUKTCA as the tariffs and rules of origin are equivalent under the two agreements.  The CETA is referenced because those preferential tariffs and rules of origin already exist in domestic law and the new CUKTCA agreement will mirror the CETA Rules of Origin.

For more information on the CETA and the associated rules of origin, please consult the CETA Rules of Origin Regulations and Memorandum D11-5-15 Canada–European Union Comprehensive Economic and Trade Agreement (CETA) Rules of Origin.

For more information, contact Brian Rowe, Director – Customs Compliance & Regulatory Affairs.

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