Part 2, Volume 158 #22
Highlights
- The Canadian government has introduced several regulatory amendments across various sectors.
- Enhancements to air cargo security regulations aim to identify high-risk cargo before flights to Canada.
- A surtax on Chinese steel and aluminum products is imposed to protect Canadian industries.
- Customs regulations are updated to streamline e-commerce importation processes.
- The list of entities of concern under the Criminal Code is updated to address security threats.
- Minor amendments are made to the Migratory Birds Regulations for consistency.
- Designations for deputy heads in federal public administration are updated.
- The Canada Water Agency is established to improve freshwater management.
- Public Service Superannuation Regulations are amended for clarity in pension transfer values.
- Quebec Fishery Regulations are updated to modernize Atlantic salmon sport fishing management.
- An individual is removed from Canada’s sanctions list against Russia.
- Specifications for timber dimension measuring devices are established to ensure accuracy and prevent fraud.
Canada Enhances Air Cargo Security with New Pre-load Targeting Program
The Canadian government has amended the Canadian Aviation Security Regulations to enhance air cargo security. These amendments establish a Pre-load Air Cargo Targeting (PACT) program, requiring air carriers to submit advance cargo information before loading cargo onto flights bound for Canada. This initiative aims to identify high-risk cargo and apply necessary mitigation measures, aligning with international security standards.
The amendments mandate air carriers to provide specific cargo details, including shipper and consignee information, cargo description, weight, and air waybill number, before loading. The program excludes mail and passenger baggage. Air carriers must also submit flight information post-departure. The PACT program uses an automated system to assess risks, and air carriers are prohibited from transporting cargo without confirmation of receipt from Transport Canada (TC). If a threat is detected, TC can issue a “Do Not Load” notice.
The amendments were developed following extensive consultations with stakeholders, including air carriers and international partners, to ensure alignment with global practices. The program is expected to enhance aviation security by preventing potential threats from entering Canadian airspace. The amendments also introduce administrative monetary penalties for non-compliance, with fines up to $25,000 for certain violations.
The implementation of the PACT program involves costs for both the government and industry, with the government incurring costs for administration and IT maintenance, and air carriers facing costs for data submission and compliance. Despite these costs, the program is expected to provide significant security benefits by reducing the risk of terrorist attacks involving air cargo. The amendments will come into force on April 1, 2025, with ongoing efforts to support industry compliance and ensure a smooth transition to the new requirements. [Source]
Canada Imposes 25 Percent Surtax on Chinese Steel and Aluminum Imports
The Canadian government has amended the China Surtax Order to impose a 25% surtax on steel and aluminum products originating from China, effective October 22, 2024. This measure is in response to China’s non-market policies and practices, such as pervasive subsidization and lax environmental standards, which have led to overcapacity and unfairly low prices in global markets. The surtax aims to protect Canadian industries and workers by leveling the playing field and aligning with similar actions taken by the United States and Mexico. The surtax is expected to increase the cost of Chinese imports, potentially leading importers to source from other markets or pass costs onto consumers. The measure is intended to support the competitiveness of Canada’s steel and aluminum sectors and is expected to have positive environmental impacts by reducing imports of carbon-intensive Chinese products. The Canada Border Services Agency will implement the surtax, and goods in transit to Canada on the effective date will be exempt. The government plans to review the measure within a year of its implementation. [Source]
Canada Increases Low-Value Shipment Threshold to Streamline E-Commerce Imports
The Canadian government has amended regulations under the Customs Act to increase the low-value shipment threshold from Can$2,500 to Can$3,300, aligning with the Canada-United States-Mexico Agreement (CUSMA) for express shipments. This change, effective retroactively from July 1, 2020, aims to address the challenges posed by the rise of e-commerce, such as customs clearance delays and administrative burdens. The amendments also simplify proof of origin requirements for low-value commercial goods, allowing a commercial invoice to suffice instead of a written statement when claiming preferential tariff treatment under Canada’s free trade agreements. These changes were initially announced in April 2020 and have been administered provisionally by the Canada Border Services Agency (CBSA). The amendments are expected to benefit Canadian businesses, consumers, and the trade community by streamlining the importation process. Consultations with various stakeholders, including industry associations and government agencies, showed support for these changes. The amendments are technical and have no significant impact on the environment, gender-specific issues, or small businesses. The CBSA has updated relevant policies and web content to reflect these regulatory changes. [Source]
Criminal Code Entity List Update for Enhanced Security Measures
The regulations amend the list of entities established under the Criminal Code, which involves updating the list of organizations recognized as entities of concern. This process is part of ongoing efforts to address security threats and ensure that the list reflects current intelligence and assessments. The amendments are based on evaluations of the entities’ activities and their potential impact on national and international security. The changes aim to enhance the effectiveness of measures designed to prevent and respond to threats posed by these entities. [Source]
Amendment to Migratory Birds Regulations Aligns English and French Versions
A minor technical amendment was made to the Migratory Birds Regulations, 2022, to address a discrepancy between the French and English versions. The amendment corrects the English version to specify that in Provincial Wildlife Management Units 88 to 95, the daily bag limit for ducks is six, with no more than one Barrow’s Goldeneye and no more than three American Black Ducks allowed, aligning it with the French version. This change does not affect administrative costs or impose any burden on businesses, and it does not impact small businesses in Canada. [Source]
Designation of Deputy Heads for Canadian Federal Entities
The National Security and Intelligence Review Agency Act Deputy Heads of the Federal Public Administration Order designates specific individuals as deputy heads for various portions of the federal public administration in Canada. The order lists positions and their corresponding federal entities, such as the Chief Administrator for the Administrative Tribunals Support Service of Canada and the President for the Atlantic Canada Opportunities Agency. It repeals a previous order related to the Canadian Security Intelligence Service Act. The order specifies that it comes into force on October 15, 2024, or on the day it is made if after that date. The schedule provides a detailed list of federal entities and their designated deputy heads, covering a wide range of agencies, corporations, and commissions across the Canadian government. [Source]
Customs Act Amendments for Importer Liability Effective 2026
Section 307 of the Budget Implementation Act, 2022, No. 1, will come into force on January 1, 2026. This section amends subsections 17(3) and 17(4) of the Customs Act to define the term “importer of record” and assign joint liability for the payment of duties and taxes on imported goods. The Canada Border Services Agency (CBSA) will be able to collect customs duties more effectively, providing clarity and predictability for trade partners and consumers regarding e-commerce importations. The delayed implementation date allows time for importers and intermediaries to adjust and for the CBSA to develop industry guidance. Consultations with stakeholders in 2022 and 2023 indicated that a deferred implementation would alleviate pressures related to the CBSA Assessment and Revenue Management initiative. Comprehensive policy guidelines will be issued by the CBSA before the amendments take effect. [Source]
Canada Water Agency Act Implementation Date Set
The Governor General in Council, on the recommendation of the Minister of the Environment, has set October 15, 2024, as the date when the Canada Water Agency Act and certain provisions of the Fall Economic Statement Implementation Act, 2023, will come into force. The Canada Water Agency Act, part of the Fall Economic Statement Implementation Act, 2023, received royal assent on June 20, 2024. This Act establishes the Canada Water Agency as a standalone entity, transitioning it from its initial status as a branch within the Department of the Environment. The Agency’s mandate is to enhance freshwater management in Canada by leading and coordinating efforts across federal, provincial, territorial, and Indigenous levels to address freshwater challenges and opportunities. It will also review the Canada Water Act and implement the Freshwater Action Plan, focusing on key water bodies across Canada. The Agency will assist the Minister of the Environment in managing freshwater resources and will be part of the core public service under the Financial Administration Act. Extensive consultations were conducted from 2020 to 2023 with Canadians, Indigenous communities, and provincial and territorial representatives to shape the Agency’s priorities and structure. [Source]
Clarification of Valuation Day Definition in Public Service Pension Regulations
The amendments to the Public Service Superannuation Regulations address the definition of “valuation day” for calculating transfer values when public service pension plan members end their participation without immediate pension entitlement. Previously, two definitions existed due to an oversight when regulations were updated in 2016. The amendments remove the outdated definition to prevent confusion and ensure clarity. The valuation day is now defined as the day the transfer value is paid. This change does not incur costs or require procedural adjustments and benefits plan members by providing certainty in the valuation process. The amendments were supported by the Public Service Pension Advisory Committee and do not impact businesses, the environment, or gender-based considerations. [Source]
Quebec Fishery Regulations Modernized for Atlantic Salmon Sport Fishing
The amendments to the Quebec Fishery Regulations aim to modernize the management of Atlantic salmon sport fishing, clarify prohibitions, and improve regulatory coherence. The changes include updating the definition of “Minister” to allow the Quebec Minister of Agriculture, Fisheries and Food to issue assistant fisher licenses, and redefining “sport fishing” to focus on recreational purposes. The regulations now allow for variation orders to adjust fishing gear and equipment, and prohibit the possession of fish caught in violation of the regulations. Atlantic salmon tagging and registration procedures have been updated to accommodate online license purchases, ensuring tags remain legible and unaltered. The amendments also address the possession and use of bait fish, prohibiting their use in certain areas and allowing self-harvest under specific conditions. The changes aim to enhance enforcement, protect resources, and provide flexibility for fishers, with minimal additional costs expected. The amendments were developed in consultation with key stakeholders and Indigenous communities, and are enforced by existing processes, with penalties for violations. [Source]
Canada Removes Denis Kamyshev from Russia Sanctions List
The Canadian government has amended the Special Economic Measures (Russia) Regulations to remove an individual, Denis Valentinovich Kamyshev, from the list of sanctioned persons. This decision was made after the Minister of Foreign Affairs received evidence indicating there were no reasonable grounds to maintain his listing. The sanctions, initially imposed in response to Russia’s actions in Ukraine, aim to freeze assets and prohibit dealings with listed individuals and entities. The delisting process is part of Canada’s commitment to a fair and transparent sanctions framework, allowing individuals to apply for removal if they no longer meet the criteria. The amendment will lift restrictions on Kamyshev, allowing him to travel to Canada and engage in business with Canadians. This change is not expected to impact Canadian businesses or security objectives significantly. The amendment reflects ongoing international efforts to support Ukraine and respond to Russia’s military actions. [Source]
Guidelines for Timber Dimension Measuring Devices
The Specifications Relating to Timber Dimension Measuring Devices establish guidelines for devices that measure the dimensions of logs, including length and diameter. These specifications define key terms and set performance standards, such as limits of error and the ability to function under various influence factors like temperature and humidity. The devices must be designed to prevent fraud, allow for examination and testing, and ensure accurate measurement. They must also have features like software identification, error handling, and the ability to display measurement registrations clearly. Devices should not calculate or register a log’s area or volume, and they must provide error messages if measurements fall outside specified limits. Information about each log measured must be recorded and stored, especially when customers are not present. The specifications also cover installation and use, ensuring devices are used in a manner that maintains accuracy and prevents fraud. These guidelines replace previous terms and conditions, allowing manufacturers to apply for permanent approval of their devices. Stakeholders have supported this transition, which aims to provide certainty in the marketplace without imposing additional costs. [Source]