Canada-U.S. Blog Trade Lawyers Cyndee Todgham Cherniak and Susan K. Ross

Tag Archives: origin

Where Do Your Goods Originate?

Posted in Aerospace & Defence, Agriculture, Antidumping, Border Security, Buy America, Corporate Counsel, Cross-border deals, Cross-border trade, Customs Law, Exports, FCPA/Anti-Corruption, Government Procurement, Imports Restrictions, Legal Developments, origin, Trade Agreeements, Trade Remedies

Originally published by the Journal of Commerce in April 2018 The brewing trade war between the U.S. and China serves as a reminder to international traders that knowing where your goods are made and being able to prove it are two very different issues.  At a time when it remains common place for U.S. Customs… Continue Reading

What We Have is a Failure to Communicate: Computer Programmers Should Not be Expected to Know Customs and Trade Compliance

Posted in AMPs, Corporate Counsel, Cross-border deals, Cross-border trade, Customs Law, Export Controls & Economic Sanctions, Exports, GST/HST, Imports Restrictions, origin, Sales Taxes, tariff classification, Tax, valuation

This is a common problem – too common.  The people in the company responsible for customs and trade compliance do not work closely with the computer programmers as software is being developed — and mistakes are made.  The computer programmer does his or her job in preparing the code, but does not have any knowledge… Continue Reading

Schrödinger’s Cat: Can Goods Be Subject to Customs Duties and Not Subject Customs Duties At the Same Time?: Look in the Box before Shipping

Posted in Customs Law, NAFTA, origin

Anyone who watches “The Big Bang Theory” knows about Schrödinger’s cat.  The cat was both thought to be dead and thought to be not dead at the same time.  There is a similar paradox for Canadian companies who sell to the United States and/or China.  Canadian goods may be thought to be not subject to… Continue Reading

Ask Questions Before You Market Access into Canada?

Posted in AMPs, Canada's Federal Government, Corporate Counsel, Cross-border trade, Customs Law, GST/HST, origin, Sales Taxes, tariff classification, valuation

Many U.S. and foreign companies that sell goods on Internet-based retail platforms (both in-house platforms and Amazon-type platforms) should ask more questions as they access Canada’s consumer market.  Often, the first question asked by the foreign company is how to access the Canadian market (as they see dollar signs).  After they foreign company figures out… Continue Reading

The Origin Verification Process In CETA Is Different From What Canadian Businesses Are Used To

Posted in Canada's Federal Government, Canada-EU CETA, Cross-border trade, Customs Law, NAFTA, origin

Canadian businesses are used to the North American Free Trade Agreement (“NAFTA”) customs procedures for verifying certificates of origin that effectively state that exported goods are “made in Canada”. The NAFTA origin verification procedures have been adopted in most other Canadian free trade agreements. Under NAFTA, United States Customs and Border Protection (“US CBP”) officers… Continue Reading

Do You Know The Canadian Marking And Labelling Rules For Importing Textile Products Into Canada?

Posted in Canada's Federal Government, Cross-border trade, Customs Law, origin

There are several pieces of Canadian legislation that prescribe marking and labelling requirements for textile products that are imported into Canada.  While it is difficult to provide specific requirements without detailed information about the product, and certain exemptions may be available, the manufacturer, importer, target market, etc, the following marking/labelling requirements may apply: 1) Country… Continue Reading

Non-Resident Importers Having Difficulties Dealing With The CBSA

Posted in Canada's Federal Government, Corporate Counsel, Cross-border deals, Cross-border trade, Customs Law, GST/HST, origin, tariff classification, valuation

Last week, I was informed by four different U.S. non-resident importers (or their representatives) that the non-resident companies were frustrated in their dealings with the Canada Border Services Agency (“CBSA”) – to the point that they may cease selling to Canadian customers.  While some of the complaints were more connected with customs brokers, many of the complaints… Continue Reading

EU-Origin Cosmetics Become Duty-Free Upon Provisional Implementation of CETA

Posted in Canada's Federal Government, Canada-EU CETA, Cross-border trade, Customs Law, origin, tariff classification

On the date of provisional implementation of the Canada-European Union Comprehensive Economic and Trade Agreement (the “Canada-EU CETA”) (June 1 or July 1, 2017), EU-origin cosmetics will become duty free immediately.  Cosmetics are in Chapter 33 of the Harmonized Commodity Description and Coding System.  Canada committed in its Annex 2-A to immediately eliminate customs duties and… Continue Reading

Are You Ready for CETA?: 20 Questions That Canadian Importers Should Be Asking

Posted in Canada's Federal Government, Canada-EU CETA, Corporate Counsel, Cross-border trade, Customs Law, Imports Restrictions, origin, tariff classification, Trade Agreeements, valuation

The Canada-European Union Comprehensive Economic and Trade Agreement (“Canada-EU CETA”) is a free trade agreement between Canada and the 28 countries of the European Union.  The Canada-EU CETA is Canada’s largest free trade agreement since NAFTA.   There are opportunities for Canadian importers to save the customs duties on goods that they are currently importing… Continue Reading

Free Trade Does Not Mean A Free Pass

Posted in Customs Law, origin

Canada has entered into free trade agreements (and has active free trade agreements) with a number of countries, including the United States, Mexico, Israel, Chile, Jordan, Iceland, Norway, Sweden, Lichtenstein, Peru, Colombia, Panama, Honduras, Costa Rica and South Korea.  Under these free trade agreements, the duties on certain goods have reduced to 0%.  Importers claim… Continue Reading

Undervaluation of Goods Can Lead to Criminal Charges And Conviction In Canada

Posted in AMPs, Criminal Law, Cross-border deals, Cross-border trade, Customs Law, Legal Developments, origin, tariff classification, valuation

On August 5, 2016, the Canada Border Services Agency (“CBSA”) posted on the CBSA web-site a News Release entitled “Dartmouth store owner charged for falsifying documents and undervaluing shipments”. This News Release should cause Canadian business owners who import goods and/or general counsel of companies that import goods to ask important questions: “Is my import… Continue Reading

What Are The Pros And Cons Of Being A Non-Resident Importer Into Canada?

Posted in Cross-border trade, Customs Law, GST/HST, Imports Restrictions, Intellectual Property, origin, Sales Taxes, tariff classification, valuation

The Internet enables foreign companies to market and sell to Canadian consumers without setting up in Canada.  A common question of foreign sellers with opportunities to sell to Canadians is “Should I sell into Canada as a non-resident importer?” Before answering this question, we must go back to the basics. What is an importer?  The… Continue Reading

What Is A “Blanket Authorization” And Why Does It Matter?

Posted in Customs Law, origin, tariff classification, Uncategorized, valuation

According to the Canadian International Trade Tribunal (“CITT”) in Worldpac Canada v. President of the Canada Border Services Agency, AP-2014-021 (Order and Reasons released on February 18, 2016 and posted on the CITT website on March 8, 2016), a “blanket authorization” is a “mechanism involving a specific process by which an importer can apply to… Continue Reading

How To Prove Origin Of Goods To the CBSA

Posted in Cross-border deals, Cross-border trade, Customs Law, origin, Trade Agreeements

On January 21, 2015, “the Canada Border Services Agency (“CBSA”) posted on the CBSA web-site D-Memorandum D11-4-2 “Proof of Origin of Imported Goods” (stated to be published on January 13, 2016).  This policy statement informs importers about what documents the CBSA will accept as proof of origin of goods. Pursuant to section 35.1 of the… Continue Reading

What Are The Canada Border Services Agency’s 2016 Verification Priorities?

Posted in Cross-border trade, Customs Law, origin, tariff classification, valuation

Is your import company going to be audited by the Canada Border Services Agency (“CBSA”) in 2016?  It is hard to predict whether you will be the lucky person to host the CBSA at your business.  The chances increase exponentially if you import one of the goods that the CBSA has listed as a priority. … Continue Reading