candis, Author at Carson International

April 15, 2020

Trump Administration Eases PPE Export Ban with Canada, Mexico Exemptions

The Trump administration has eased a ban on exports of PPE, with the list of exemptions growing after lawyers laid out the shortcomings of the rules.

Exports to Canada, Mexico and U.S. entities such as military bases abroad are among the exemptions. It also singles out shipments by 3M, which President Trump had originally blocked from sending N95 masks to Canada and Latin America. The decision was reversed last week after reaching a production agreement with the company.

The previous rule overlooked instances where multinational firms might need to ship PPE to overseas offices or military bases, showcasing the dangers of regulating trade in vital medical supplies unilaterally by anecdote, rather than after careful review and consultations with key trading partners.

The focus of the ban is on “commercial quantities,” which is defined as shipments valued at US$2,500 and containing more than 10,000 units of gloves, masks and other covered materials.

As this issue continues to evolve, please do not hesitate to reach out to Carson for guidance around PPE shipments at this time.

Get in touch:

Tyler Carson, President, tyler@carson.ca
Dave Pentland, VP, dwpentland@carson.ca
Matt Earish, COO, matt@carson.ca

April 14, 2020

COVID-19: Tariff Classification and Other Information to Import Medical Supplies

In light of COVID-19, CBSA has issued Custom Notice CN20-12 providing guidelines to the commercial importing industry on tariff classifications for medical supplies.

Click here to read Customs Notice 20-12.

Provided by the World Customs Organization, the list of medical supplies for COVID-19 based on tariff classification includes diagnostic test kits, face and eye protection, gloves, protective garments and the like, disinfectants/sterilization products, medical devices, thermometers, wipes, medical consumables, soap, toilet paper, and other toiletries.

Medical supplies required for COVID-19 may qualify for duty and tax relief upon importation. For further information, please review Customs Notice 20-08.

CBSA requests that importers also add the term “URGENT – COVID-19” as the goods description in release information submitted to the CBSA for all medical devices being imported to Canada for COVID-19.

For guidance around tariff classification for medical supplies, please do not hesitate to reach out to Carson.

Get in touch:

Tyler Carson, President, tyler@carson.ca
Dave Pentland, VP, dwpentland@carson.ca
Matt Earish, COO, matt@carson.ca

April 8, 2020

US Tariff Payment Deferrals Rejected as “Too Complicated”

The Trump administration has decided not to postpone tariff payments as part of its response to the pandemic, National Economic Council Director Larry Kudlow said on Friday. Appearing on Bloomberg TV , Kudlow said the administration had decided that temporarily suspending most-favoured-nation tariff payments would be “too complicated” and would send “the wrong signal in terms of the president’s trade policy,” Bloomberg reported.

April 8, 2020

COVID-19 — What Relief Is Available For You?

As we collectively continue to navigate our present reality under the impacts of COVID-19, Carson continues to be committed to supporting our clients through consistent business operations, and a client-centric approach. COVID-19 has challenged our organization to be agile and responsive as we navigate this new landscape. Like many of you, our team is working remotely to do our part to help #flattenthecurve.

Both Canadian and US Governments are responding to the pandemic with supports in an effort to lessen the impact to businesses. It is important to understand what relief is available for your business, and how you can take advantage of government programs to help safeguard you throughout this process.

Click here to learn more about Canada’s COVID-19 Economic Response Plan.

Click here to learn more about the United States’ COVID-19 Response to COVID-19.

We recognize this as uncharted territory for both large and small businesses, and are committed to helping our clients in any way we can, while remaining a cornerstone in your supply chain.

With new information coming out daily regarding government responses to COVID-19 and its impacts, we want to ensure you that we are here to help you navigate this climate. Please do not hesitate to reach out at any time with questions you may have about government responses, and to learn how Carson is mobilizing to support clients.

Get in touch:

Tyler Carson, President, tyler@carson.ca
Dave Pentland, VP, dwpentland@carson.ca
Matt Earish, COO, matt@carson.ca

April 8, 2020

CUSMA — What You Need to Know About The Newest Free Trade Agreement

After almost three years of discussion between Canada, Mexico, and the United States, a deal was struck in the ongoing CUSMA negotiations. The new agreement was ratified by all three governments, however, all three governments must give their notice of readiness to comply with the new measures. Both Canada and Mexico have given their notice, while the United States has yet to send a similar notice to the other two partners. With the current COVID-19 pandemic impacting countries across the globe, the United States has now placed CUSMA at a lower priority.

If the United States provides their notice by the end of April, the earliest the new agreement could take effect is July 1, 2020.

In anticipation of CUSMA coming into effect, here is how CUSMA will impact your import and export activity:

Low Value Shipments (LVS)
The Government of Canada has raised the threshold for Low Value Shipments to $3,300 CAD. This allows for expedient release of shipments under this program. Click here to learn more .
Requirement for Formal Certificate
Under the previous NAFTA agreement, you were required to complete the formal NAFTA Certificate of Origin form. CUSMA aligns with recent agreements like CETA with the European Union and allows importers and exporters to provide a statement of origin.
De-Minimis
During negotiations, the Government of Canada moved to increase the De-Minimis threshold to allow Canadian importers to import goods without any duty or tax implications. The De-Minimis threshold is as follows:
- Canada – $150 CAD for Duties and $40 CAD for Taxes
- Mexico – $117 USD for Duties and $50 USD for Taxes
- United States – $800 USD for Duties and Taxes

To review the full agreement, click here . We will share all future information about the new CUSMA agreement as they become available. Carson is committed to supporting our clients throughout this process to ensure compliance, and are happy to answer any questions you may have. Please do not hesitate to reach out to the team at Carson at any time.

Get in touch:

Tyler Carson, President, tyler@carson.ca
Dave Pentland, VP, dwpentland@carson.ca
Matt Earish, COO, matt@carson.ca

April 8, 2020

WCO and WTO Join Forces to Minimize Disruptions to Cross-Border Trade in Goods

The heads of the World Customs Organization (WCO) and the World Trade Organization (WTO) issued a joint statement on 6 April pledging to work together to facilitate trade in essential goods such as medical supplies, food, and energy.

WCO Secretary General Dr. Kunio Mikuriya and WTO Director-General Roberto Azevêdo said the two organizations would work closely together to minimize disruption to cross-border trade in goods – in particular those essential to combat the COVID-19 pandemic – while safeguarding public health.

They also pledged to establish a coordinated approach to support initiatives that facilitate cross-border trade so that essential goods can quickly reach those most in need, including in least developed and land-locked countries. WCO and WTO members have already been invited to increase transparency by sharing information on new trade and trade-related measures introduced in response to the COVID-19 pandemic.

“As COVID-19 continues to spread globally and governments consider new measures to protect the health and well-being of their citizens, we urge Members to ensure that any new border action is targeted, proportionate, transparent and non-discriminatory,” they declared.

Click here to read the full text of the joint statement is available on the World Customs Organization website.