On May 31, 2018, the Department of Finance posted on its website a “Notice of intent to impose countermeasures action against the United States in response to tariffs on Canadian steel and aluminum products,” announced by the United States and scheduled to take effect at 12:01 a.m. on June 1, 2018. In response to these measures, Canada intends to impose surtaxes or similar trade-restrictive countermeasures against up to C$16.6 billion in imports of steel, aluminum, and other products from the US, representing the value of 2017 Canadian exports affected by the US measures. The Government is also considering whether additional measures may be required.

Scope of the countermeasures

The products subject to countermeasures will be drawn from those listed in Tables 1 and 2 in the Notice. Goods selected from Table 1 will be subject to a 25 per cent surtax or similar trade-restrictive measures. Goods selected from Table 2 will be subject to a 10 per cent surtax or similar trade-restrictive measures.

These countermeasures will only apply to goods originating from the US, which shall be considered as those goods eligible to be marked as a good of the US in accordance with the Determination of Country of Origin for the Purposes of Marking Goods (NAFTA Countries) Regulations.

These countermeasures will take effect on July 1, 2018 and will remain in place until the US eliminates its trade-restrictive measures against Canada. The countermeasures will not apply to US goods that are in transit to Canada on the day on which these countermeasures come into force.

The list of products outlined at the heading, subheading or tariff item level in Tables 1 and 2 should be read in conjunction with the Schedule to Canada’s Customs Tariff.

Comments

Written comments should be provided no later than June 15, 2018. Submissions, at a minimum, should include the following information:

  1. Canadian company/industry association name, address, telephone number, and contact person.
  2. Relevant eight-digit tariff item(s) and description of the goods of particular interest.
  3. Reasons for the expressed support for, or concern with, the proposed countermeasures, including detailed information substantiating any expected beneficial or adverse impact.
  4. If concern is expressed with respect to the proposed countermeasures for one or more eight-digit tariff item(s), please provide views on ways to alleviate such concerns.
  5. Please identify if information provided in the submissions is commercially sensitive.

Comments and general inquiries should be sent to the following address: International Trade Policy Division (U.S. 232 Retaliation Consultations), Department of Finance, James Michael Flaherty Building, 14th Floor, 90 Elgin Street, Ottawa, Ontario K1A 0G5, 613-369-4024 (fax), (fin.tariff-tarif.fin@canada.ca).