The Canadian government has announced that it will be making
significant changes to its export and technology transfer controls
to bring them into line with its international obligations. The
changes to Canada's Export Control List include additions,
modifications and removals of a range of goods, services and
technology that are set to come into force on December 5, 2014.
Canadian companies engaged in cross-border activities should be
carefully reviewing their trade control procedures governing the
transfer of goods, technology, software and services to ensure that
they are consistent with these latest changes.
Canada strictly controls the transfer of goods, technology,
software and services identified on its Export Control List and in
the Guide to Canada's Export Controls – December
2012. The items are categorized into seven groups:
Group 1 (dual-use, including encryption, sensors, computers,
Group 2 (military)
Group 3 (nuclear)
Group 4 (nuclear dual-use)
Group 5 (miscellaneous, including all U.S.-origin items and any
items intended for restricted end uses)
Group 6 (missile and navigation)
Group 7 (chemical and biological weapons)
Canada has implemented many of these controls in accordance with
its obligations under international agreements and regimes,
including the Wassenaar Arrangement on Export Controls for
Conventional Arms and Dual-Use Goods and Technologies, the Nuclear
Suppliers Group, the Missile Technology Control Regime and the
Before a company transfers any of these goods or technology from
Canada, a permit must be applied for and obtained from the Export
Controls Division of Foreign Affairs, Trade and Development Canada.
Significantly, transfers that are subject to control include not
only export shipments but also all forms of technology transfer,
including through the delivery of services, server uploads and
downloads, email, texting, and online and telephone meetings and
Changes to the Export and Technology Transfer Control
Canada is seeking to update its export and technology transfer
control regime in accordance with its international commitments up
to December 2013. As part of these changes, the Guide to
Canada's Export Controls – December 2012 will be
replaced with a December 2013 version (effective December 5, 2014).
The Order Amending the Export Control List was published
in the November 5, 2014, Canada Gazette Part II, found
here. The Export Controls Division
has published a list of the specific changes to the guide, found here.
New goods and technology have been added to all groups subject
to these controls, with the exception of Group 5. These additions
include, among many others, intrusion software and related
technology and systems; IP network communication surveillance
systems; gravity gradiometers; and certain explosive substances and
Clarifications to and removals from the Export Control Listhave
also been made across all groups other than Group 5.
While that agreement mandated export measures on Canadian softwood lumber exports destined for the United States, it also protected those lumber exports from the potential imposition of onerous import measures by the U.S.
On September 29, 2016, the Supreme Court of Canada issued its first tariff classification decision since Canada signed the International Convention on the Harmonized Commodity Description and Coding System in 1998.
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