The Canadian International Trade Tribunal (CITT) has issued its awaited
ruling in the steel safeguard inquiry.
This concerns the importation into Canada of
seven categories of steel products
which were assigned an import quota in October 2018, where imports beyond the quota were subject to 25% tariff surtax.
It has been determined that safeguard measures were warranted for the following two steel product categories:
- Heavy steel plate (other than goods originating in Korea, Panama, Peru, Colombia and Honduras); and
- Stainless steel wire (other than goods originating in Korea, Panama, Peru, Colombia and Honduras).
The Minister of Finance and Cabinet only have a few weeks before the provisional duties expire (April 28, 2019) to decide whether to impose “definitive” long-term safeguard measures (i.e. for a period of three years) and, if so, how such measures should be implemented.
With respect to the other five product categories, the Tribunal concluded that safeguard measures are not warranted:
- Concrete reinforcing bar
- Energy tubular products
- Hot-rolled sheet
- Pre-painted steel
- Wire rod
It is reasonable to expect that the provisional safeguard measures will be discontinued and a process will be established for the prompt refund of import surtaxes that have been paid by importers during the provisional period.
For more information, please call Brian Rowe, Director – Customs Compliance & Regulatory Affairs at (905) 882-4880, ext. 213.
