The CBSA launches an investigation into the alleged circumvention of trade remedy measures by container chassis from Vietnam

OTTAWA, ON, Nov. 25, 2024 /CNW/ - The Canada Border Services Agency (CBSA) has initiated an investigation into potential circumvention of Canada's trade remedy measures on container chassis. These measures play an essential role in maintaining fair competition for Canadian industries and protecting jobs by countering unfair pricing practices in international trade.

The investigation will examine whether container chassis imported from Vietnam are circumventing a Canadian International Trade Tribunal (CITT) finding on the dumping and subsidizing of container chassis from China. The allegation, made by Max-Atlas International Inc. of Saint-Jean-sur-Richelieu, Quebec, suggests that key components originating in China are being used to assemble or complete these goods in Vietnam, potentially avoiding duties applied under the Special Import Measures Act (SIMA).

Canada's trade remedy system is designed to ensure that imported goods are priced fairly relative to domestic products. Circumvention of these duties undermines this system, creating an uneven playing field for Canadian businesses and workers. The CBSA's investigation will determine whether these imports contravene existing trade protections.

The CBSA will make a decision by May 23, 2025. If it is determined that the imports are circumventing the CITT's finding, the CBSA will inform the CITT who will amend its finding to extend anti-dumping and countervailing duties to the goods.

Currently, there are 158 special import measures in force in Canada, covering a wide variety of industrial and consumer products, from steel products to refined sugar. These measures directly help protect approximately 31,000 Canadian jobs and $11.6 billion in Canadian production.

Quick Facts

• Budget 2022 announced the Government's intention to strengthen Canada's trade remedy system. This included the creation of a trade remedy counselling service within the CBSA to help all Canadians seeking remedy from unfair trade practices. Through its advisory services, the CBSA supported Max-Atlas International Inc. to bring forward this complaint.
• This marks Canada's first anti-circumvention investigation. In 2022, the Government of Canada introduced amendments to strengthen the CBSA's ability to investigate circumvention allegations, ensuring the continued integrity of Canada's trade remedy system. These tools help protect Canadian businesses and workers from unfair practices in global markets.
• The CITT's findings respecting the dumping and subsidizing of container chassis from China were issued on February 18, 2022, in Inquiry No. NQ-2021-005.
• The subject goods are container chassis. For more product information, refer to Container chassis: Measures in force.
• The Canadian market for container chassis has been estimated at $140 million annually.
• A copy of the Statement of Reasons, which provides more details about the investigation, will be available on the CBSA's website within 15 days from the date the investigation is launched. The CBSA will provide updates on its website as the investigation progresses. Consult the schedule under anti-circumvention investigation process for timelines.

Associated Links

• List of anti-circumvention investigations
• Anti-circumvention investigations conducted pursuant to the Special Import Measures Act
• Guidelines for preparing a circumvention complaint
• Anti-dumping and Countervailing
• Canadian International Trade Tribunal

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SOURCE Canada Border Services Agency

Contacts: Media Relations, Canada Border Services Agency, [email protected], 613-957-6500 or 1-877-761-5945