Staging

(4) If ``J'' appears in the column ``CCFTA Staging Category'' of Schedule I in relation to goods entitled to the Chile Tariff, the goods are entitled to the rate set out with respect to those goods in the ``Chile Tariff'' column, unless that Tariff provides for a reduction of the rate of customs duty, in which case the reduced rates shall apply as provided.

Rounding amounts

(5) If a specific rate of customs duty applicable by virtue of subsection (3) contains a fraction of one tenth of a cent, the rate shall be rounded downward to the nearest one tenth of a cent.

Rounding amounts

(6) If a percentage rate of customs duty applicable to goods by virtue of subsection (3) contains a fraction of one tenth of one per cent, the rate shall be rounded downward to the nearest one tenth of one per cent.

Reduction of rate

25.5 (1) For the purpose of giving effect to paragraphs X, XI and XII in the portion of the Tariff Schedule of Canada referred to in Annex C-02.2 of the Canada-Chile Free Trade Agreement entitled ``Tariff Elimina tion - Staging Category Descriptions'', the Governor in Council, on the recommendation of the Minister of Finance, may by order reduce, for the period and subject to the conditions that are specified in the order, the rate of customs duty shown in the column ``Chile Tariff'' in relation to goods where ``X'' appears in the ``CCFTA Staging Category'' column of Schedule I.

Increase of rate

(2) For the purpose of giving effect to paragraph 4 of Article C-14 of the Canada- Chile Free Trade Agreement with respect to any agricultural goods, the Governor in Coun cil, on the recommendation of the Minister of Finance, may by order increase, for the period and subject to the conditions that are specified in the order, the rate of customs duty with respect to those goods, but the rate may not exceed the Most-Favoured-Nation Tariff rate that is in effect on the effective date of the order.

Period and revocation of order

(3) An order made under subsection (2)

    (a) remains in effect, subject to this section, for the period that is specified in the order; and

    (b) may, notwithstanding any other provi sion of this section, be amended or revoked at any time by the Governor in Council on the recommendation of the Minister of Finance, unless, before that time, a resolu tion praying that the order be revoked has been adopted by both Houses of Parliament under subsection (4).

Resolution of Parliament revoking order

(4) If a resolution praying that an order made under subsection (2) be revoked is adopted by both Houses of Parliament, the order ceases to have effect on the day that the resolution is adopted or, if the adopted resolu tion specifies a day on which the order ceases to have effect, on that specified day.

Notice in Canada Gazette

(5) If an order ceases to have effect under subsection (4), the Minister of Finance shall publish a notice to that effect in the Canada Gazette.

Ceases to be in force

(6) This section ceases to be in force on December 31, 2002.

Extension of Chile Tariff

25.6 Notwithstanding any other provision of this Act and for the purpose of giving effect to Appendix 5.1 of Annex C-00-B of the Canada-Chile Free Trade Agreement, the Minister of Finance may, by order, extend the benefit of the Chile Tariff to any imported goods under the conditions that are specified in the order.

Conditions

25.7 Goods that originate in Chile are entitled to the benefit of the Chile Tariff only if

    (a) proof of origin of the goods is given in accordance with the Customs Act; and

    (b) the goods are entitled, in accordance with any regulations made under paragraph 13(2)(b), to the benefit of that tariff treat ment.

Tariff Rate Quota

Limits on reduction of duty

25.8 (1) The Governor in Council may, on the recommendation of the Minister of Fi nance, by order, specify limits on the quantity of goods of tariff item No. 0703.10.92, or on the aggregate quantity of goods of tariff item No. 0810.10.11 and of goods of tariff item No. 0810.10.92, that are entitled to the benefit of the Chile Tariff, and the limits shall apply during the periods that may be specified in the order.

Ceases to be in force

(2) This section ceases to be in force on December 31, 2002.

1996, c. 33, s. 44

52. Section 33 of the Act is replaced by the following:

Goods in transit

33. If, before the date on which an order made under paragraph 23(1)(b), 27(1)(b), 28(1)(b), 36(1)(b) or 38(1)(b), section 49 or 52, paragraph 54(1)(a) or subsection 59(2), 59.1(1), (8) or (11), 60.1(1), 60.11(2), 60.12(1), 60.13(2), 60.4(1) or 60.41(1) be comes effective, goods were in transit to Canada, the goods are entitled to the benefit of the tariff treatment that was applicable to those goods before that date if the order specifies that the tariff treatment shall apply to those goods.

1996, c. 33, s. 46

53. The heading before section 59.1 of the Act is replaced by the following:

Global Emergency Measures

1993, c. 44, s. 126; 1994, c. 47, s. 81(3), par. 89(a)(F), 90(a)(F)

54. (1) Subsections 59.1(3) and (3.1) of the Act are replaced by the following:

Free trade partner emergency measures

(3) An order under subsection (1) may be made applicable to goods of any kind im ported from a free trade partner only if it appears to the satisfaction of the Governor in Council, on the basis of a report under section 20 or 29 of the Canadian International Trade Tribunal Act or a report of the Minister of Finance, that

    (a) the quantity of those goods represents a substantial share of total imports of goods of the same kind;

    (b) in the case of goods imported from a NAFTA country, the quantity of those goods, alone or, in exceptional circum stances, together with the quantity of goods of the same kind imported from each other NAFTA country, contributes importantly to serious injury or threat of serious injury to domestic producers of like or directly competitive goods; and

    (c) in the case of goods imported from any other free trade partner, the quantity of those goods contributes importantly to serious injury or threat of serious injury to domestic producers of like or directly competitive goods.

Prohibition against further orders

(3.1) Subject to subsection (3.2), an order may be made under subsection (1) with respect to goods that have already been the subject of an order made under that subsection or subsection 5(3) of the Export and Import Permits Act only if, after the expiration of the order and any related orders made under subsection (8) or (11) of this section or subsection 5(3.2) or (4.1) of the Export and Import Permits Act, there has elapsed a period equal to the greater of two years and the total period during which the order or orders were in effect.

1993, c. 44, s. 126; 1994, c. 47, s. 81(5), par. 89(b)(F)

(2) Subsections 59.1(6) and (7) of the Act are replaced by the following:

Duration of order

(6) If an order that applies to goods imported from a free trade partner by virtue of subsection (3) is made under subsection (1) on the basis of a report of the Minister of Finance, the order ceases to have effect with respect to those goods on the expiration of the two hundredth day after the day on which the order is made, except that it remains in effect for the period, not exceeding four years, that is specified in the order if, before the order so ceases to have effect, the Canadian Interna tional Trade Tribunal reports to the Governor in Council under the Canadian International Trade Tribunal Act that

    (a) the quantity of those goods as described in the report of the Minister of Finance is substantial in comparison with the quantity of goods of the same kind imported from other countries;

    (b) in the case of goods imported from a NAFTA country, the quantity of those goods, alone or, in exceptional circum stances, together with the quantity of goods of the same kind imported from each other NAFTA country, contributes importantly to the serious injury or threat of serious injury to domestic producers of like or directly competitive goods; and

    (c) in the case of goods imported from any other free trade partner, the quantity of those goods contributes importantly to the serious injury or threat of serious injury to domestic producers of like or directly competitive goods.

Revocation

(7) If an order that applies to goods imported from a free trade partner by virtue of subsection (3) is made under subsection (1) on the basis of a report of the Minister of Finance, that order shall be revoked by the Governor in Council if the Governor in Council is satisfied on the basis of a report of the Canadian International Trade Tribunal, made under the Canadian International Trade Tribunal Act, that the quantity of those goods is not substantial in comparison with the quantity of goods of the same kind imported from other countries or

    (a) in the case of goods imported from a NAFTA country, that the quantity of those goods, alone or, in exceptional circum stances, together with the quantity of goods of the same kind imported from each other NAFTA country, does not contribute impor tantly to the serious injury or threat of serious injury to domestic producers of like or directly competitive goods; and

    (b) in the case of goods imported from any other free trade partner, that the quantity of those goods does not contribute importantly to the serious injury or threat of serious injury to domestic producers of like or directly competitive goods.

1994, c. 47, s. 81(6)

(3) The portion of subsection 59.1(8) of the Act before paragraph (a) is replaced by the following:

Extension order

(8) If, at any time before the expiration of an order with respect to any goods made under this subsection, subsection (1) or (11) of this section or subsection 5(3), (3.2) or (4.1) of the Export and Import Permits Act, it appears to the satisfaction of the Governor in Council, as a result of an inquiry made by the Canadian International Trade Tribunal under section 30.07 of the Canadian International Trade Tribunal Act, that

1994, c. 47, s. 81(6)

(4) Subsection 59.1(8.3) of the Act is replaced by the following:

Exception

(8.3) Notwithstanding subsection (8), an extension order under that subsection may be made applicable to goods of any kind im ported from a free trade partner only if it appears to the satisfaction of the Governor in Council, on the basis of a report under the Canadian International Trade Tribunal Act, that

    (a) the quantity of those goods represents a substantial share of total imports of goods of the same kind;

    (b) in the case of goods imported from a NAFTA country, the quantity of those goods, alone or, in exceptional circum stances, together with the quantity of goods of the same kind imported from each other NAFTA country, contributes importantly to the serious injury or threat of serious injury to domestic producers of like or directly competitive goods; and

    (c) in the case of goods imported from any other free trade partner, the quantity of those goods contributes importantly to the serious injury or threat of serious injury to domestic producers of like or directly competitive goods.

1994, c. 47, s. 81(6)

(5) Paragraph 59.1(8.4)(a) of the Act is replaced by the following:

    (a) remains in effect, subject to this section, for the period that is specified in the order, but the total of the specified period and the periods during which the goods were sub ject to related orders made under subsection (1), (8) or (11) of this section or subsection 5(3), (3.2) or (4.1) of the Export and Import Permits Act shall not exceed eight years; and

1993, c. 44, s. 126; 1994, c. 47, s. 81(6)

(6) Subsections 59.1(11) to (14) of the Act are replaced by the following:

Surtax on goods imported from a free trade partner

(11) If an order has been made under subsection (1) or (8) imposing a surtax that does not apply to goods imported from a free trade partner by virtue of subsection (3) or (8.3) and the Governor in Council is satisfied (on the recommendation of the Minister of Finance made as a result of an inquiry by the Canadian International Trade Tribunal) that there has been a surge of those goods on or after the coming into force of the order and that, as a result of that surge, the effectiveness of the imposition of the surtax is being undermined, the Governor in Council may, by order, make any goods of that kind that are imported from that free trade partner, when imported into Canada or any region or part of Canada specified in the order during the period that the order is in effect, subject to a surtax at

    (a) a rate specified in the order; or

    (b) at a rate specified in the order that varies from time to time as the quantity of those goods imported into Canada or that region or part of Canada during a period specified in the order equals or exceeds totals speci fied in the order.

The rate specified may not exceed the rate that, in the opinion of the Governor in Coun cil, is sufficient to prevent the undermining of the order made under subsection (1) or (8).

Rate

(12) The rate of a surtax imposed under subsection (1), (8) or (11) on goods imported from a free trade partner need not be the same rate as that imposed under subsection (1) or (8) on goods of the same kind imported from any other country, but it shall in no case exceed the rate of surtax imposed under either of those subsections on goods of the same kind im ported from any other country.

Limitation

(13) If the Governor in Council makes an order under subsection (1) or (8) that applies to goods imported from a free trade partner by virtue of subsection (3) or (8.3) or makes an order under subsection (11), the Governor in Council shall, in respect of goods imported from a free trade partner, be guided by subparagraph 5(b) of Article 802 of the North American Free Trade Agreement, subpara graph 5(b) of Article F-02 of the Canada-Chile Free Trade Agreement or subparagraph 5(b) of Article 4.6 of the Canada-Israel Free Trade Agreement, as the case may be.

Definitions

(14) The definitions in this subsection apply in this section.

``contribute importantly''
« contribuer de manière importante »

``contribute importantly'', in respect of goods imported from a NAFTA country or from Chile, means to be an important cause, but not necessarily the most important cause;

``surge''
« augmenta-
tion subite
»

``surge'', in respect of goods imported from a NAFTA country or from Chile, has the meaning given that word by Article 805 of the North American Free Trade Agreement or Article F-05 of the Canada-Chile Free Trade Agreement, as the case may be.

1993, c. 44, s. 126

(7) Subsection 59.1(18) of the Act is repealed.

1996, c. 33, s. 47

55. Section 59.11 of the Act and the heading before it are repealed.

1996, c. 33, s. 47

56. Section 59.2 of the Act is replaced by the following:

Revocation or amendment of surtax order

59.2 If at any time it appears to the satisfaction of the Governor in Council, as a result of a mid-term review by the Canadian International Trade Tribunal under section 19.02 of the Canadian International Trade Tribunal Act, that an order imposing or extending the application of a surtax under section 59.1 should be revoked or amended, the Governor in Council may, on the recom mendation of the Minister of Finance, by order, revoke or amend the order.

R.S., c. 47, (4th Supp.), s. 52 (Sch., items 3(4), (5), (6)); 1988, c. 65, s. 96

57. Section 60 of the Act and the heading before it are repealed.

58. The Act is amended by adding the following after section 60.12: