Import Control List amended for CUSMA

Summary#

This Order Amending the Import Control List (SOR/2020-69) updates Canada’s import control rules to align with the Canada–United States–Mexico Agreement (CUSMA). It clarifies which textile items (including certain metallized yarn and some curtains/blinds) and certain beef and milk-protein products are eligible for or excluded from tariff preference rules and monitoring. The Order takes effect when section 40 of the Canada–United States–Mexico Agreement Implementation Act comes into force. The Canada Gazette notice was published April 29, 2020.

What it does#

• Changes wording across the Import Control List so eligibility for some tariff preferences is tied to Section C of Annex 6‑A of Chapter 6 of CUSMA.
• Adds a new rule that certain metallized yarn (classified under 5605.00) formed in the United States from fibres obtained outside the free-trade area can be eligible for tariff preference levels.
• Adjusts rules for when fabrics, yarns and made-up textile goods woven, knit, finished, cut or sewn in the United States or Mexico can qualify for tariff preference level benefits.
• Replaces several list items to specify that some beef and veal products (listed by tariff items) do not qualify if they originate outside Chile, CUSMA countries, the EU or other CETA beneficiaries.
• Replaces the rule for certain milk protein substances to exclude those that do not originate in CUSMA countries, the EU, Chile, Costa Rica or Israel, and that are subject to earlier commitments.
• Sets the Order’s coming-into-force condition tied to the implementation of CUSMA (see Summary).

Who's affected#

• Textile and apparel importers and exporters, especially those dealing with metallized yarn and certain curtains/blinds from the United States or goods made in Mexico/US using non‑CURA (non‑CUSMA) fibre.
• Dairy processors and exporters of concentrated milk-protein products that may now be tracked under CUSMA-related export rules.
• Importers/exporters of beef and veal who need to check the origin rules to know if Canadian trade controls apply.
• Customs brokers and logistics firms that handle permits and certificates for preferential tariff access.
• Global Affairs Canada (which administers permits and reporting) and the Canada Border Services Agency (for application at the border).

If it’s unclear whether a specific product or shipment is affected, businesses will need to check the updated Import Control List entries or contact Global Affairs Canada.

Why it matters#

• These changes put Canada’s import controls in line with its new trade commitments under CUSMA. That affects which goods can get lower or duty-free treatment.
• Some businesses may gain new preferential access (and lower duties) if they obtain the necessary permit or certificate. Others may face continued exclusions or new monitoring.
• Practically, affected importers and exporters may need to apply for permits or certificates to claim tariff benefits. That adds small administrative steps but can lead to significant duty savings for eligible shipments.