Tax & Trade Blog

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CBSA INVESTIGATING "PET" RESIN AGAIN

POLYETHYLENE TEREPHTHALATE ("PET") RESIN FROM CHINA & PAKISTAN

On March 19, 2025, the Canada Border Services Agency (“CBSA”) issued a Notice of Initiation of Investigation under the Special Import Measures Act (“SIMA”) in respect of the alleged dumping polyethylene terephthalate (“PET”) resin originating in or exported from the People’s Republic of China and the Islamic Republic of Pakistan, and the subsidizing of PET resin originating in or exported from China.   This investigation was prompted by a manufacturer of similar goods in Quebec.

The goods under investigation are more specifically described as: 

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TAXATION OF THE INDIGENOUS: COMPLICATED!

MYRIAD OF CANADIAN TAX & DUTY LAWS & OUR INDIGENOUS PEOPLES

One of the more complicated areas of tax and trade law in Canada lies in the intersection of these rules with Canada’s Indigenous Peoples, and their historic rights under sections 87 to 89 of the Indian Act (“the Act”).  A recent case from the Canadian International Trade Tribunal (“CITT”) underscores that point in the context of import obligations.

The Indian Act & Customs Duties

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TARIFF WAR - ROUND 2

CANADA IMPOSES TARIFFS ON US STEEL AND ALUMINUM

The trade war between Canada and the United States (“US”) has taken a further turn for the worse. On March 12, 2025, President Trump imposed 25 percent tariffs on Canadian steel and aluminum products. Canada has now retaliated in kind, enacting the United States Surtax Order (Steel and Aluminum 2025) , which targets a wide list of US steel and aluminum products with a 25 percent surtax (the “Steel & Aluminum Surtax”). Businesses seeking to understand the scope of the Steel & Aluminum Surtax and mitigate its effects will require assistance from experienced International Trade counsel.

A Brief Review

President Trump, through an executive order on February 11, 2025, previously announced that 25 percent tariffs would be imposed on Canadian steel and aluminum products. 

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TARIFF RELIEF 101

CANADA'S REMISSION PROCESS MAY LESSEN BURDEN FOR BUSINESSES

Despite the fact that President Trump agreed to a further moratorium on his Trump Tariffs on Canadian goods until April 2, 2025, Canada’s initial round of Retaliatory Tariffs STILL remains in effect! (?)

Businesses affected by Canada’s Retaliatory Tariffs are likely seeking relief from their financial effects and the Canadian government has outlined a remission process that may provide such relief. 

Understanding what a remission order is and how one can request remission from Canadian imposed tariffs may provide businesses with a financial lifeline in the current climate of a turbulent trade war.

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CANADA INVESTIGATING US RENEWABLE DIESEL

CANADA BORDER SERVICES AGENCY INITIATES ANTI-DUMPING INVESTIGATION

On March 6, 2025, Canada announced the start of an anti-dumping investigation on "Renewable Diesel” (A.K.A. hydrogenation-derived renewable diesel or “HDRD”), originating in or exported from the United States of America (the "Renewable Diesel”).

Producers of "Renewable Diesel” – as well as large commodities traders involved in the movement of these goods from the US into the Canadian market-place – will want to get involved quickly in both the CBSA and CITT investigative processes.

This report reviews what that is the case, while providing some background on the mechanics of the expected investigation.