Trade Clippings December 2020

  • 11 janvier 2021

Toutes nos excuses : disponible uniquement en anglais

Dear Members of the CBA International Law Section, here are the international trade and investment articles and publications of interest for the month of December 2020.This month’s edition has been prepared by Ewa Gosal. Ewa is the Secretary of the Section Executive.

The Section would like to look back on 2020 and highlight two important anniversaries that took place: the 25th anniversary of the Word Trade Organization (WTO) and the 125th anniversary of the Trade Commissioner Services (TCS).


The WTO was established on January 1, 1995, succeeding the General Agreement on Tariffs and Trade (GATT) which regulated world trade since 1948.

To commemorate its 25th anniversary, the WTO hosted a series of discussions that provided an opportunity to reflect on and take stock of its achievements as well as the challenges facing the organization.


Since Canada's first trade commissioner, John Short Larke, arrived in Australia on January 8, 1895, the TCS have evolved into a network of more than 1,000 trade commissioners in over 160 offices worldwide and across Canada, serving more than 14,000 active Canadian firms.


Canada blocks Chinese Arctic gold mine takeover, citing national security Global News (December 22, 2020)

Canadian officials have rejected Shandong Gold Mining’s bid to acquire Canada’s TMAC Resources, the companies said, with the Chinese miner adding that the sale was blocked on national security grounds.

Canada Not Ready To Give Up Its Seat? CBSA Launches Investigations Concerning Imports Of Certain Upholstered Domestic Seating Products Tereposky & DeRose (December 22, 2020)

On December 21, 2020, the Canada Border Services Agency (CBSA) initiated investigations concerning the alleged injurious dumping and subsidizing of certain upholstered domestic seating imported from China and Vietnam. The investigation has been commenced under the Special Import Measures Act (SIMA), which helps to protect Canadian industries from injury caused by the dumping and subsidizing of imported goods. The investigations were initiated further to a complaint filed by Palliser Furniture Ltd. (Winnipeg, Manitoba).

Canada appoints Chairperson of Canadian International Trade Tribunal Mirage (December 19,

2020)On December 19, 2020, Deputy Prime Minister and Minister of Finance, Chrystia Freeland, announced that Frédéric Seppey will be appointed Chairperson of the Canadian International Trade Tribunal (CITT) for a term beginning January 4, 2021. Mr. Seppey will replace Jean Bédard.

The CBSA launches investigations into grinding media from India CNW Group (December 17, 2020)

The Canada Border Services Agency (CBSA) announced today that it is launching investigations to determine whether certain grinding media originating in or exported from India is being sold at unfair prices in Canada and whether it is being subsidized.

Who’s Milking The New NAFTA? USTR Challenges Canada’s Dairy Quotas Under The CUSMA/USMCA Tereposky & DeRose (December 11, 2020)

In a statement issued on December 9, 2020, the U.S. Trade Representative (USTR) announced that the United States has made a formal request for consultations to address Canada’s import limits on a variety of dairy products. This request for dispute settlement consultations is the first enforcement action taken under the Canada-United States-Mexico Agreement (CUSMA), which entered into force on July 1, 2020. (See “Farewell to the NAFTA and Welcome to the USMCA/CUSMA/T-MEC”).


Minister Ng introduces legislation in House of Commons to implement Canada-United Kingdom Trade Continuity Agreement GAC (December 9, 2020)

On December 9, 2020, the Honourable Mary Ng, Minister of Small Business, Export Promotion and International Trade, introduced Bill C-18, An Act to implement the Canada-United Kingdom Trade Continuity Agreement (Canada-UK TCA), in the House of Commons.

Minister Ng announces tabling of Ottawa Group’s Trade and Health Initiative at WTO General Council GAC (December 17, 2020)

On December 17, 2020, the Honourable Mary Ng announced that the Canada-led Ottawa Group Trade and Health Initiative was presented to the WTO General Council for discussion, in Canada’s continued response to the global health impact and unprecedented economic challenges caused by the COVID-19 pandemic.

Canada announces steps to ensure stability for Canada-United Kingdom trade in goods GAC (December 22, 2020)

On December 22, 2020, the Honourable Chrystia Freeland, Deputy Prime Minister and Minister of Finance, and the Honourable Mary Ng welcomed the signing of a memorandum of understanding (MOU) between Canada and the United Kingdom, which lays out commitments each country will take to ensure continued preferential tariff treatment for goods from the date CETA ceases to apply to the United Kingdom until the Canada-United Kingdom Trade Continuity Agreement (Canada-UK TCA) is ratified and implemented.


International Trade Inclusivity: The CPTPP and Indigenous International Trade and Investment Asia Pacific Foundation of Canada (December 17, 2020)

The Comprehensive & Progressive Agreement for Trans-Pacific Partnership (CPTPP) includes a general reference to Indigenous peoples in the preamble, and there is specific, yet limited, mention of Indigenous groups in Australia, Canada, and New Zealand in other parts of the agreement.

This analysis of Indigenous international economic participation and general situations in Canada, Japan, New Zealand, Chile, and Malaysia aims to capture some of the economic, rights and laws, and cultural diversity within CPTPP members.

Bills don’t protect farmers, strong trade agreements do The Western Producer (December 17, 2020)

Supply management should not need bills of the House of Commons to defend it against further quota erosion due to trade skirmishes. Hard negotiations at the international trade tables are where Canadian agriculture should be protected.

A recently introduced private member’s bill, Bill 216, that would put supply managed agriculture off-limits in future trade negotiations, potentially heightens the threat to the sector.

Free trade or tariffs? How the Biden Administration will affect Canadian, global trade Canadian Accountant (December 17, 2020)

Joe Biden’s triumph over incumbent Donald Trump in the 2020 presidential election should go a long way towards restoring the traditional close alliance between Canada and the United States. But certain economic tensions will still persist, even after Biden is sworn into office on January 20, 2021, warn experts.

The Canada-United Kingdom Trade Continuity Agreement: Deepening Ties Between Canada and the U.K. Bennett Jones (December 17, 2020)

Canada and the United Kingdom agreed on a transitional trade continuity agreement on November 21, 2020. The full text of the Canada-United Kingdom Trade Continuity Agreement (TCA) was signed by Canada and the U.K. on December 9, 2020.

Once the TCA comes into force, the agreement will ensure that the terms, including all the tariff provisions, of the Canada-European Union Comprehensive Economic and Trade Agreement (CETA) continue to apply with respect to U.K./Canada economic and trade relations. The TCA will provide predictability for businesses in Canada and the U.K. as the two countries work towards negotiating a new comprehensive free trade agreement.

Opinion: 2021 trade priorities: Make CUSMA work and fix the WTO Financial Post (December 15, 2020)

Even with a new team in the White House in 2021 and a return to a healthy and respectful bilateral relationship, trade differences with our American friends will not disappear. And in addition to some tough Canada-U.S. files, there are other trade issues confronting the Canadian government, notably in respect of China, but including at the World Trade Organization, as well. All of this will require careful handling as we enter the new year.

Meat Inspection - Some Interprovincial Trade Barriers Are Fully Justifiable Gowling WLG (December 14, 2020)

In June 2020, the Canadian Food Inspection Agency allowed temporarily, by Ministerial Exemption, meat not from federal plants to move interprovincially upon the application of a province that proves it has a shortage of meat (turns out no province actually exercised this option). If we can do it for emergencies, critics argued, why can't we just permanently get rid of this unnecessary internal trade barrier? Why can't we have one system of meat inspection in Canada?

Now Is The Time For Canadian Companies To "Do Diligence" On Their Supply Chains Gowling WLG (December 7, 2020)

Now that Canada has banned the importation of goods made with forced labour, potential supply chain risks have increased for many Canadian businesses in terms of both probability and severity. As we have seen so often during the COVID-19 pandemic, global supply chains can be extremely challenging to map, to monitor and to manage.

Keeping the CPTPP as a Spare Tire: The New and Different Automotive Rules of Origin Under the CUSMA and the CPTPP McMillan (December 2020)

The less stringent CPTPP rules of origin may allow some Canadian and Mexican vehicle and parts manufacturers to sidestep the CUSMA requirements for vehicles or parts shipped directly between Canada and Mexico. Given the importance of the US market, most manufacturers will be incentivized to organize their operations to meet (and demonstrate compliance with) the more rigorous CUSMA rules of origin. However, manufacturers may decide that in some cases meeting the easier CPTPP rules and paying tariffs on shipments into the US is a preferable option.


Global: COVID-19: Government Intervention Schemes Guide Baker McKenzie (December 13, 2020)
Countries around the globe are facing unprecedented and rapid change due to the COVID-19 pandemic. This Government Intervention Schemes Guide provides a summary of key government intervention measures across jurisdictions around the globe in relation to: Foreign Investment Restrictions, Debt, Equity, Taxation, EU State Aid Approvals (where relevant).

Brexit: Summary information for Canadian companies TCS (December 24, 2020)

After the transition period ends, the terms of trade between Canada and the UK will be governed by the Canada-United Kingdom Trade Continuity Agreement (Canada-UK TCA). Once in force, the Canada-UK TCA will ensure that Canadian firms will see little to no change in the terms by which they trade with the UK. Until the Canada-UK TCA is ratified and implemented, Canada and the United Kingdom have signed a memorandum of understanding (MOU), which lays out commitments each country will take to ensure continued preferential tariff treatment for goods from the date CETA ceases to apply to the United Kingdom. TCS will continue to update this web page as more details of the UK-EU future trade relationship and the potential impacts on Canadian firms become known.

Protectionism: A New Era Gowling WLG (Autumn/Winter 2020)

New protectionist measures are continuing to populate the global trading environment. Businesses and markets now face a range of issues including the trade war between the US and China, an increase in populism and nationalism, cross border data flows, digitalisation, a limited access to capital, and, of course, the COVID-19 pandemic.

In its latest whitepaper, Gowling WLG explores:

  • the countries with the highest and lowest levels of restrictive measures;
  • the countries most affected by protectionist trade policy;
  • how the US and China are driving protectionist policy globally;
  • access to capital and the increasing of populism internationally;
  • emerging frontiers and how technology is at the heart of trade wars; and
  • actions and next steps for businesses in 2021 and beyond.