Modis procurement inquiry; steel plate order

Summary#

The Canadian International Trade Tribunal published two notices in the March 21, 2020 Canada Gazette: it opened an inquiry after a complaint by Modis Canada Inc., and it continued a previous finding in an expiry review of certain steel products. The inquiry concerns a Shared Services Canada procurement and the steel order covers specific dimensions and countries of origin for hot-rolled carbon and high-strength low-alloy plate.

What it does#

• The Tribunal decided on March 6, 2020 to conduct an inquiry into a complaint by Modis Canada Inc. (file PR-2019-065) about a procurement by Shared Services Canada (solicitation R000047001) for information technology architecture services. Modis alleges its bid was improperly evaluated.
• The Tribunal issued an order on March 13, 2020 continuing its finding in Expiry Review No. RR-2019-001 for hot-rolled carbon steel plate and high-strength low-alloy steel plate. The covered products are:
  • Plate not further manufactured than hot-rolled (heat-treated or not), cut lengths only.
  • Widths from 24 inches (±610 mm) to 152 inches (±3,860 mm).
  • Thicknesses from 0.187 inches (±4.75 mm) up to and including 3.0 inches (76.2 mm).
  • Excludes plate for pipe/tube manufacture (skelp), plate in coil form, and floor plate.
  • Applies to plate originating in or exported from Brazil, Denmark, Indonesia, Italy, Japan and Korea.
• The Gazette notice does not describe in detail what practical measures (for example, duties or trade relief) follow from the continued finding.

Who's affected#

• Modis Canada Inc. and other companies that bid on solicitation R000047001 for IT architecture services from Shared Services Canada.
• Importers, exporters and domestic producers of the specified hot-rolled carbon steel plate and high-strength low-alloy plate.
• Businesses that buy or use these specific steel plates, and traders dealing with the listed countries of origin.
• The notice does not name other specific companies or industries beyond those groups.

Why it matters#

• The procurement inquiry could delay the award or continuation of the SSC IT contract and could change which bidder wins or how contracts are evaluated.
• The continued finding in the expiry review keeps the Tribunal’s previous determination about those steel products active. That can affect trade and supply for the covered plate sizes and origins — for example through ongoing reviews, trade remedies, or market certainty — though the Gazette item does not spell out specific economic consequences.