Canada Customs Tariff Changes Planned for January 1, 2012Plan Ahead Your Related Responsibilities Today
On January 1, 2012, amendments to the Canada Customs Tariff will take effect, which will follow a number of amendments to the existing Harmonized System (HS) of the World Customs Organization (WCO). Other changes to the existing Canada Customs Tariff are being undertaken by Finance Canada and Statistics Canada. Although details regarding these changes to the Canadian Tariff have not been published by the Government to date, UPS advises importers to plan ahead in order to ensure that the movement of their goods and their duty free privileges will not be hindered by HS commodity code issues.
Changes adopted by the WCO Council:
The HS 2012 includes 220 sets of amendments to the six-digit level that are
divided as follows:
These amendments specifically include but are not limited to:
Source: Canada Border Services Agency; World Customs Organization
Changes Prepared by Finance Canada
As currently provisioned in the 2011 Federal Budget, the Government of Canada aims to simplify the Customs Tariff by initiating changes that are intended to:
These changes are expected to be revenue-neutral.
Source: Department of Finance Canada; Government of Canada
Amendments by Statistics Canada
Finally, Statistics Canada is reportedly planning to reduce the number of detailed
10-digit HS classification codes that are used to report commodities for statistical
purposes by January 2012. According to reports, the agency is
proposing to discontinue the 10-digit numbers that have reported import trade values of less than $4 million annually in each of the last three years. The reported purpose of this initiative is to improve efficiency, maintain data quality and reduce response burden.
January 1 is approaching fast and changes to the 2012 Tariff will add to your year-end peak season actions. As an importer, you will need to plan ahead the actions that will be required to ensure that the movement of your goods is not disrupted and your duty free rights not undermined.
These actions specifically include:
UPS can help
UPS can help verify and update your commodity database. If you are interested, please contact a UPS representative.
 The Rotterdam Convention on the Prior Informed Consent Procedure for Certain Hazardous Chemicals and Pesticides in International Trade covers pesticides and industrial chemicals that have been banned or severely restricted for health or environmental reasons by the Parties and creates a legally binding obligation for parties to implement the Prior Informed Consent procedure. Canada is a party to the Convention, which entered into force on February 24, 2004. Source: Health Canada
 Signed on September 16, 1987 and amended several times, the Montreal Protocol on Substances that Deplete the Ozone Layer is an international treaty designed to protect the ozone layer by phasing out the production and importation of ozone-depleting substances (ODS). Source: Environment Canada
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