Bill C-81

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R.S., c. E-19	Export and Import Permits Act
1988, c. 65, s. 116; 1993, c. 44, s. 146	*70. (1) The definitions ``Free Trade Agreement'' and ``goods imported from a NAFTA country'' in section 2 of the Export and Import Permits Act* are repealed.**
	(2) Section 2 of the Act is amended by adding the following in alphabetical order:
``CCFTA'' « ALÉCC »	``CCFTA'' has the same meaning as ``Agree ment'' in subsection 2(1) of the Canada- Chile Free Trade Agreement Implementa tion Act;
``Chile'' « Chili »	``Chile'' has the same meaning as in subsec tion 2(1) of the Customs Tariff;
``free trade partner'' « partenaire de libre- échange »	``free trade partner'' means
	(a) a NAFTA country,
	(b) Chile, or
	(c) Israel or another CIFTA beneficiary;
	(3) Section 2 of the Act is renumbered as subsection 2(1) and is amended by adding the following:
Goods imported from a NAFTA country or from Chile	(2) For the purposes of this Act, goods are imported from a NAFTA country or from Chile if they are shipped directly to Canada from the NAFTA country or from Chile, as the case may be, within the meaning of sections 17 and 18 of the Customs Tariff.
1996, c. 33, s. 58	71. The definitions ``contribute impor tantly'' and ``surge'' in subsection 4.2(1) of the Act are replaced by the following:
``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 NAFTA or Article F-05 of CCFTA, as the case may be;
1988, c. 65, s. 117(1); 1993, c. 44, s. 147(1); 1994, c. 47, s. 103; 1996, c. 33, s. 59(1), (2)	72. (1) Subsections 5(3.1) to (4.92) of the Act are replaced by the following:
Prohibition against further orders	(3.1) No order may be made under subsec tion (3) with respect to goods that have already been the subject of an order under that subsection or subsection 59.1(1) of the Cus toms Tariff unless, after the expiration of the order and any related orders made under subsection (3.2) or (4.1) of this section or subsection 59.1(8) or (11) of the Customs Tariff, 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.
Extension order	(3.2) The Governor in Council may, on the recommendation of the Minister, make an extension order including on the Import Control List any goods with respect to which an order has been made under this subsection or subsection (3) or (4.1) of this section or subsection 59.1(1), (8) or (11) of the Customs Tariff if, at any time before the expiration of the order, 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
	(a) an order continues to be necessary to prevent or remedy serious injury to domes tic producers of like or directly competitive goods; and
	(b) there is evidence that the domestic producers are adjusting, as determined in accordance with any regulations made under paragraph 40(b) of the Canadian International Trade Tribunal Act.
Period and revocation of extension orders	(3.3) Every extension order made under subsection (3.2) shall, subject to this section, remain in effect for the period that is specified in the order, but the total of the specified period and the periods during which the goods were previously subject to any related orders made under subsection (3), (3.2) or (4.1) of this section or subsection 59.1(1), (8) or (11) of the Customs Tariff shall not exceed eight years.
Exception for goods imported from a free trade partner	(4) Notwithstanding subsections (3) and (3.2), an order made under those subsections may apply to goods imported from a free trade partner only if it appears to the satisfaction of the Governor in Council, on a report of the Minister made on the basis of an inquiry under section 20, 26 or 30.07 of the Canadian International Trade Tribunal Act, that
	(a) the quantity of those goods represents a substantial share of the quantity of goods of the same kind imported into Canada from all 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.
New order with respect to goods imported from a free trade partner	(4.1) If an order has been made under subsection (3) or (3.2) that does not, by virtue of subsection (4), apply to goods imported from a free trade partner and it appears to the satisfaction of the Governor in Council, on a report of the Minister made on the basis of an inquiry under section 30.01 or 30.011 of the Canadian International Trade Tribunal Act, that
	(a) there has been a surge of like goods imported from that free trade partner on or after the coming into force of the order, and
	(b) as a result of the surge, the effectiveness of the order is being undermined,
	any goods of the same kind imported into Can ada from that free trade partner may, by order of the Governor in Council, be included on the Import Control List for the purpose of limiting their importation to prevent the undermining of the effectiveness of the order made under subsection (3) or (3.2).
Order to specify	(4.2) An order made under subsection (3) or (3.2) must state whether it applies to goods imported from a free trade partner.
Addition to Import Control List	(4.3) If at any time it appears to the satisfaction of the Governor in Council that it is advisable to collect information with re spect to goods imported from a free trade partner, the Governor in Council may, by order, include those goods on the Import Control List in order to facilitate the collection of that information if those goods are goods
	(a) to which an order made under subsec tion (3) or (3.2) does not apply by virtue of subsection (4); or
	(b) to which an order made under subsec tion 59.1(1) or (8) of the Customs Tariff does not apply by virtue of subsection 59.1(3) or (8.3) of that Act.
Revocation or amendment of inclusion order	(4.4) If at any time it appears to the satisfaction of the Governor in Council that an order including any goods on the Import Control List under subsection (3), (3.2) or (4.1) should be revoked or amended, the Governor in Council may, on the recommen dation of the Minister, by order, revoke the order or amend it.
1996, c. 33, s. 59(3)	(2) Subsection 5(6) of the Act is replaced by the following:
Addition to Import Control List	(6) If for the purpose of facilitating the implementation of action taken under sections 42 to 44, paragraph 59(2)(d), section 59.1 or subsection 62(1) or 68(1) of the Customs Tariff, the Governor in Council considers it necessary to control the importation of any goods or collect information with respect to their importation, the Governor in Council may, by order, include those goods on the Import Control List for that purpose.
1988, c. 65, s. 117(2); 1993, c. 44, s. 147(3); 1994, c. 47, s. 103(7); 1996, c. 33, s. 59(4)	(3) Subsections 5(7.1) to (9) of the Act are replaced by the following:
Goods imported from a free trade partner	(8) If goods imported from a free trade partner are included on the Import Control List by order of the Governor in Council under subsection (4.1) or (4.3), the goods are deemed to be removed from that List on the earlier of
	(a) the day specified in the order, and
	(b) the day on which
	(i) in the case of an order under subsec tion (4.1) or under subsection (4.3) in respect of goods referred to in paragraph (4.3)(a), goods of the same kind imported from any other country that were in cluded on that List by an order made under subsection (3) are removed from that List, and
	(ii) in the case of an order under subsec tion (4.3) in respect of goods referred to in paragraph (4.3)(b), the order under subsection 59.1(1) or (8) of the Customs Tariff that applies to goods of the same kind imported from any other country ceases to have effect.
1988, c. 65, s. 118; 1993, c. 44, s. 148	73. Sections 5.11 and 5.2 of the Act are replaced by the following:
Addition to Export Control List or Import Control List	5.2 (1) If at any time it appears to the satisfaction of the Governor in Council that it is advisable to collect information with re spect to the exportation or importation of any goods in respect of which a specified quantity is eligible each year for the rate of duty provided for in the Schedules to Annex 302.2 of NAFTA in accordance with Appendix 6 of Annex 300-B of NAFTA or for the rate of duty provided for in the Schedules to Annex C-02.2 of CCFTA in accordance with Appendix 5.1 of Annex C-00-B of CCFTA, as the case may be, the Governor in Council may, by order and without reference to that quantity, include those goods on the Export Control List or the Import Control List, or on both, in order to facilitate the collection of that information.
Addition to Import Control List	(2) If at any time it appears to the satisfac tion of the Governor in Council that, for the purposes of implementing NAFTA or CCFTA, it is advisable to collect information with respect to the importation into Canada of any goods listed in Appendix 1.1 of Annex 300-B of NAFTA or in Appendix 1.1 of Annex C-00-B of CCFTA, as the case may be, the Governor in Council may, by order, include those goods on the Import Control List in order to facilitate the collection of that information.
Addition to Import Control List	(3) If at any time it appears to the satisfac tion of the Governor in Council that it is advisable to collect information with respect to the importation of any goods in respect of which a specified quantity is eligible for a benefit of any reduction of customs duty under subsection 25.8(1) or 60.3(3) of the Customs Tariff, the Governor in Council may, by order and without reference to that quantity, include those goods on the Import Control List in order to facilitate the collection of that information.
1993, c. 44, s. 149	74. Section 6.1 of the Act is replaced by the following:
Definition of ``originating goods''	6.1 (1) In this section, ``originating goods'' means goods that are entitled
	(a) under subsection 25.2(5.1) of the Cus toms Tariff to the benefit of the United States Tariff or the Mexico Tariff; or
	(b) under section 25.7 of the Customs Tariff to the benefit of the Chile Tariff.
When Minister may take measures	(2) If at any time it appears to the satisfac tion of the Minister that any goods that are referred to in paragraph (a) or (b) and are not originating goods are being imported from a NAFTA country or from Chile, as the case may be, in such increased quantities, mea sured in absolute terms or relative to the domestic market, and under such conditions as to cause serious damage or actual threat of serious damage to domestic producers of like or directly competitive goods, the Minister may take the measures set out
	(a) in the case of goods listed in Appendix 1.1 of Annex 300-B of NAFTA that are imported from a NAFTA country, in section 5 of that Annex in relation to those goods; and
	(b) in the case of goods listed in Appendix 1.1 of Annex C-00-B of CCFTA that are imported from Chile, in section 4 of that Annex in relation to those goods.
Factors to be considered	(3) In determining whether the conditions referred to in subsection (2) exist, the Minister shall have regard to paragraph 2 of section 4 of Annex 300-B of NAFTA or paragraph 2 of section 3 of Annex C-00-B of CCFTA, as the case may be.
1988, c. 65, s. 119; 1993, c. 44, s. 150; 1994, c. 47, s. 108(2); 1996, c. 33, s. 60	75. Subsections 8(2) to (4) of the Act are replaced by the following:
Import permits	(2) Notwithstanding subsection (1) and any regulation made under section 12 that is not compatible with the purpose of this subsec tion, if goods are included on the Import Control List solely for the purpose of collect ing information pursuant to subsection 5(4.3), (5) or (6), the Minister shall issue to any resident of Canada applying therefor a permit to import those goods, subject only to com pliance with and the application of any regulations made under section 12 that it is reasonably necessary to comply with or apply in order to achieve that purpose.
Goods imported from a free trade partner	(3) If an order has been made under subsection 5(3) or (3.2) that applies, by virtue of subsection 5(4), to goods imported from a free trade partner, or an order has been made under subsection 5(4.1), the Minister shall, in determining whether to issue a permit under this section, be guided by subparagraph 5(b) of Article 802 of NAFTA, subparagraph 5(b) of Article F-02 of CCFTA or subparagraph 5(b) of Article 4.6 of CIFTA, as the case may be.



1993, c. 44, s. 151	76. Section 8.2 of the Act is replaced by the following:
Minister to issue permit	8.2 Notwithstanding section 7, subsection 8(1) and any regulation made pursuant to section 12 that is not compatible with the purpose of this section, if goods are included on the Export Control List or the Import Control List solely for the purpose described in subsection 5.2(1), (2) or (3), the Minister shall issue to any resident of Canada applying therefor a permit to export or import, as the case may be, those goods, subject only to compliance with and the application of such regulations made under section 12 as it is reasonably necessary to comply with or apply in order to achieve that purpose.
1988, c. 65, s. 121; 1993, c. 44, s. 152	77. Sections 9.01 and 9.1 of the Act are replaced by the following:
Minister may issue certificate	9.1 The Minister may, for the purpose of implementing an intergovernmental arrange ment with a NAFTA country respecting the administration of Appendix 6 to Annex 300-B of NAFTA, or with Chile respecting the administration of Appendix 5.1 to Annex C-00-B of CCFTA, issue a certificate with respect to an exportation of goods to the NAFTA country or to Chile, as the case may be, stating the specific quantity of those goods that
	(a) in the case of an exportation of goods to the NAFTA country, on importation into the NAFTA country is eligible for the rate of duty provided for in the Schedules to Annex 302.2 of NAFTA in accordance with Ap pendix 6 to Annex 300-B of NAFTA; and
	(b) in the case of an exportation of goods to Chile, on importation into Chile is eligible for the rate of duty provided for in the Schedules to Annex C-02.2 of CCFTA in accordance with Appendix 5.1 to Annex C-00-B of CCFTA.
1996, c. 33, s. 61(1)	78. (1) The portion of subsection 10(2) of the Act before paragraph (a) is replaced by the following:
Alteration of permits, etc.	(2) If a permit has been issued under this Act to any person for the exportation or importa tion of goods that have been included on the Export Control List or the Import Control List solely for the purpose described in subsection 5(4.3), (5) or (6), 5.1(1) or 5.2(1), (2) or (3), and
1996, c. 33, s. 61(2)	(2) Paragraph 10(2)(c) of the Act is replaced by the following:
	(c) the goods have, subsequent to the issuance of the permit, been included on the Export Control List or the Import Control List for a purpose other than that described in subsection 5(4.3), (5) or (6), 5.1(1) or 5.2(1), (2) or (3),

Bill C-81

Export and Import Permits Act