special import measures act
No Dumping !
What you need to know about the Special Import Measures Act
By Sarah B . Hood
In the domain of import-export , knowledge is king . To overlook a single requirement can have dire consequences . Consider Canada ’ s Special
Import Measures Act ( SIMA ), designed to protect Canadian producers from unscrupulous underselling by international concerns .
“ I know of a case where a company quite innocently wasn ’ t paying anti-dumping duty ,” said David Bucholtz , VP and chief compliance officer with Pacific Customs Brokers Ltd . “ Customs did an audit , and they had to pay back dump duty for about four years , to the tune of about $ 390,000 . And since this is for product that you ’ ve already sold , you can ’ t recover the cost . In some cases , it may put companies out of business .”
But for importers who understand how SIMA works , this type of situation will never pose a threat , and in fact , it offers valuable protection to Canadian producers of goods of all kinds .
“ The Government of Canada is committed to maintaining an effective trade remedy system to ensure that domestic producers have access to the appropriate tools to respond to unfair trade ,” said Paul Duchesne , deputy spokesperson and manager of media relations at Finance Canada . SIMA falls under the jurisdiction of the Minister of Finance . “ Trade remedy investigations are jointly administered by the Canada Border Services Agency ( CBSA ), which investigates whether dumping and / or subsidization is occurring , and the Canadian International Trade Tribunal ( CITT ), which investigates whether the dumping and / or subsidization has resulted in injury or threat of injury to the domestic industry ,” said Duchesne .
SIMA sets out a framework for trade remedy investigations and the imposition of anti-dumping and countervailing duties .
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SUPPLY CHAIN CANADA • QUARTER 4 2016 • 21