9 May 2023
Among the changes are two key ones: first, the enhanced role of organized labour in the trade remedy process and, second, the expanded authority of Canadian trade agencies to combat circumvention of anti-dumping and countervailing (AD/CV) duty orders by foreign exporters trying to get evade Canadian duties on their shipments. [...] In response to this, along with other factors, the 2022 federal budget announced the government’s intention “to strengthen and improve access to Canada’s trade remedy system.” The laws were amended, first, to allow unions to qualify as complainants in launching trade actions and, second, to require the CITT to specifically take account of the impact of dumped or subsidized imports on workers in af. [...] The enshrining of labour’s rights in law is one of the most important developments in Canadian trade remedies over the last decade. [...] The second key development is increased authority for governmental agencies to combat the circumvention of AD/CV orders, which is a frequent tactic of exporters in shifting their production to countries not covered by those orders and then exporting the same goods to Canada. [...] In an era of intense international competition and new imperatives towards supply chain consolidation, the question is what other changes might be made given the 2022 budget pledge “to strengthen and improve access to Canada’s trade remedy system.” Businesses need to keep abreast of these developments to assess the potential impact – and risk – of these and future changes to the trade remedy syste.