IMPORTANT!! – Provisional Safeguards on Certain Steel Imports

Effective October 25 2018, import permits and quota restrictions will apply to the import of certain steel goods except for the exclusions listed below:

– The Order does not apply to goods originating in and imported from the U.S., Chile, and Israel or another CIFTA beneficiary. For goods originating in and imported from Mexico, this Order only applies to energy tubular products and wire rod.

– Additionally, the Order does not apply to goods originating in and imported from developing countries which are beneficiaries to the General Preferential Tariff (GPT) with one exception: concrete reinforcing bar originating in and imported from Vietnam are not exempt.

Note: Goods eligible for these exemptions must both originate in and be imported from the same country.

Customs Notice 18-17 – Provisional Safeguard Measures Imposed on the Importation of Certain Steel Goods

Provisional Safeguards on Certain Steel Imports – Product Definition and HS Classification

A 25% safeguard surtax is applicable to imported goods for which a permit has not been obtained and that exceed the tariff rate quota (TRQ) for each class of goods set out in the Order.

Importers may request shipment-specific import permits (specific permits) from Global Affairs Canada, which will be valid for 14 days. Goods for which an importer obtained a specific permit, valid at the time of accounting, are exempt from the applicable safeguard surtax.  Imports of goods that do not have a specific permit, or are in excess of the quantity of an import permit at the time of accounting, are subject to the safeguard surtax.

As per the Export and Import Permits Act (EIPA), only a resident of Canada may apply for an import permit.

Shipment-specific permits are issued on demand for shipments of steel goods under the TRQs covered by this Notice. Importers may apply for an import permit up to five days in advance of the shipment’s arrival.

If a shipment specific permit HAS NOT been obtained, the safeguard surtax will apply to all goods including those released from a Customs Bonded Warehouse or Sufferance Warehouse on or after October 25, 2018 when the Order comes into force.

To obtain shipment specific permit(s), an importer must have an EIPA file number issued by Global Affairs Canada.  While it is unknown how many importers may need to be issued EIPA numbers, it is recommended that importers confirm they have been issued an EIPA file number by Global Affairs Canada and if required apply in advance of the shipments arrival.

Notice to Importers - Item 82 – Steel Goods

Obtaining an EIPA Number (Applying for an Import Permit)

Import Controls and Import Permits

Frequently Asked Questions – Steel Goods Tariff Rate Quotas