Tariff Relief for Cookware Parts and Wheels
Order Amending the Schedule to the Customs Tariff, 2021–1: SOR/2021-88
This Order removes or lowers customs duties on specific imported manufacturing inputs: stainless steel parts used to make cookware and forged wheels used to produce wheel sets. The changes reduce the MFN duty to zero for the listed parts (creating tariff item 7323.93.10 and amending 8607.19.21) and took effect on registration.
- Published
- May 12, 2021
- Department
- Unavailable
- Section
- Order Amending the Schedule to the Customs Tariff, 2021 – 1
- Comment deadline
- Unavailable
- Effective date
- April 23, 2021
- Publication part
- Part II
Summary
Summary#
The document is the Order Amending the Schedule to the Customs Tariff, 2021 – 1 (SOR/2021-88). It removes or lowers customs duties on a small set of imported manufacturing inputs — mainly stainless steel parts for cookware and a type of forged wheel used in wheel-set production. The order took effect when it was registered on April 23, 2021 and was published in the Canada Gazette on May 12, 2021.
What it does#
- Repeals the old tariff item and adds new tariff lines to clarify and separate certain goods.
- Adds tariff item 7323.93.10 for “stainless steel parts for use in the manufacture of cookware” and sets the most-favoured-nation duty rate for those parts to Free.
- Keeps a residual line 7323.93.90 (Other) with a most-favoured-nation duty rate of 6.5% for other stainless steel goods in that group.
- Amends the description of tariff item 8607.19.21 to explicitly include forged wheels for use in the manufacture or production of wheel sets.
- Ensures preferential trade agreement rates do not exceed the most-favoured-nation rates and that the Canada Border Services Agency will administer the change.
Who's affected#
- Importers and manufacturers that bring in the specified parts, especially:
- companies that import stainless steel parts for cookware (cookware makers and their suppliers);
- companies that import forged wheels used to make wheel sets (rail and wheelset producers and suppliers).
- Canada Border Services Agency (CBSA), which handles customs duties and will notify importers about the change.
- The general public is unlikely to notice direct effects. The order was targeted and not expected to affect domestic producers in a large way according to the government documents.
Why it matters#
- Removing duties on these specific inputs lowers costs for the importing businesses. That can help their competitiveness at home and abroad.
- The government estimates the annual duties foregone at about $1.2 million, which is the rough fiscal cost of the change.
- For consumers, any effect would be indirect: lower input costs might lead to lower prices or improved margins for manufacturers over time.
Key topics
Source: Canada Gazette