Annual report March 31, 2021 - Annex A

Annex A - Glossary

Anti-dumping Duties

Dumping occurs when the export price of goods is lower than their normal value, i.e. generally either the domestic selling price of comparable goods in the country of export, or the constructed cost of production of the goods exported to Canada. The application of anti-dumping duties is intended to offset the amount of dumping on imported goods and give to the goods produced in Canada an opportunity to compete fairly with the imported goods. Where the Canadian International Trade Tribunal (Tribunal) finds that the dumping of imports has caused or is threatening to cause material injury to a domestic industry, or has caused material retardation of the establishment of a domestic industry, the Canada Border Services Agency (CBSA) levies anti-dumping duties on subsequent imports of goods matching the description of the dumped goods.

Countervail Duties

The application of countervail duties is intended to offset the amount of subsidizing on imported goods and give to the goods produced in Canada an opportunity to compete fairly with the imported goods. Where the Tribunal finds that the subsidizing of imports has caused or is threatening to cause material injury to a domestic industry, or has caused material retardation of the establishment of a domestic industry, the CBSA levies countervailing duties on subsequent imports of goods matching the description of the subsidized goods.

Decision

The Tribunal can issue decisions in the context of most of its mandates, including on any matter that arises in the course of a proceeding.

In the case of appeals, decisions are made pursuant to the Customs Act (e.g. requests for re-determination of classification, calculation of the value for duty, origin of imports, importation of prohibited goods), the Excise Tax Act and the Special Import Measures Act (e.g. the application of duties on certain imports or the proper calculation of the margin of dumping or amount of subsidy).
In the case of its procurement mandate, decisions are made regarding whether to conduct an inquiry.

Determination

The Tribunal issues determinations in the context of its procurement mandate, when it determines whether complaints are valid in part or in their entirety, and recommends a remedy (when necessary), which can be in the form of complaint costs awarded to either the complainant or the government institution, or in the form of remedial action by the party concerned.

Dumping

Dumping occurs when the export price of goods is lower than their normal value, i.e. generally either the domestic selling price of comparable goods in the country of export, or the constructed cost of production of the goods exported to Canada.

Expiry Review (LE and RR)

Towards the end of the five-year period in which a finding or order is in force, the Tribunal issues a notice requesting views on whether the finding or order should be reviewed or allowed to expire. After considering any representation made, the Tribunal determines whether an expiry review is warranted and issues an order (LE).

The Tribunal’s mandate in an expiry review is to determine whether the expiry of the finding or order is likely to result in injury to the domestic industry and then, accordingly, to make an order either continuing or rescinding the finding with or without amendment (RR). If the Tribunal has not initiated an expiry review by the end of the five-year period, the order or finding is deemed to have been rescinded.

Extension of Time

Time limits for various requirements (e.g. filing a complaint, filing documents, responding to request, complying with any applicable trade agreement) are specified in the Tribunal’s rules and regulations, and can be specified in a Tribunal order. However, after considering all pertinent circumstances, the Tribunal may grant a request for the extension of a prescribed time limit, in writing.

Injury Inquiry (PI and NQ)

When the President of the Canada Customs and Revenue Agency initiates an investigation into alleged dumping or subsidizing of certain goods, the Tribunal receives notification and immediately begins the first phase of its injury inquiry (PI): to determine whether there is evidence that discloses a reasonable indication that the dumping or subsidizing by any exporting country has caused injury or retardation or is threatening to cause injury to the domestic industry.

If the President makes a preliminary determination of dumping or subsidizing with respect to the subject goods, the Tribunal then begins its second phase of the inquiry (NQ): to determine whether the dumping or subsidizing by any exporting country has caused injury or retardation or is threatening to cause injury to the domestic industry. If the President issues a final determination of dumping or subsidizing, the Tribunal issues its finding. If a remedial measure is needed, anti-dumping or countervailing duties are applied to the imports for an initial period of approximately five years.

Interim Review (RD)

The Tribunal may receive requests to conduct an interim review of an injury finding or order, or of any aspect of these, from the Minister of Finance, the President of the CBSA, or any other person or of any government, before the expiry of the five-year period in which a finding or order is in force. The Tribunal proceeds only if it decides that such a review is warranted.

Judicial Review

Occasionally, an application may be made to the Federal Court of Appeal to review and set aside a Tribunal finding or order. As a result, the Court may rescind a Tribunal finding or order concerning the subject goods, or any of those goods, and return the matter to the Tribunal for reconsideration. In such instances, the record of the case remains the same but additional submissions can be accepted.

Public Interest Inquiry (PB)

Following an injury inquiry where the Tribunal has found injury or threat of injury, the Tribunal sometimes conducts a public interest inquiry further to a request received from an interested person, association or government, or on its own initiative, to determine if the imposition of anti-dumping or countervailing duties, or the imposition of such duties in the full amount provided by the Special Import Measures Act, would not or might not be in the public interest. If the Tribunal determines the public interest does not warrant a reduction or elimination of duties, it issues an Opinion to that effect. If it determines the public interest does warrant a reduction or elimination of duties, then it issues a report to the Governor in Council in which it recommends remedial measures.

Order

The Tribunal can issue orders in the context of most of its mandates. Certain orders serve to communicate case-related decisions, such as in the case expiry review orders or claims for costs in procurement cases, decisions on motions such as dismissing an appeal, while procedural orders can serve to order the granting an extension of time, the removal of exhibits from the record, the filing of documents, etc. In all cases, an order represents directions from the Tribunal regarding the enforcement of a decision it has made.

Remand

Remand means "order back" or "send back". A party displeased with a Tribunal decision ask the Federal Court of Appeal to overturn it. The Court can overturn that decision itself, or refer it back (“remand it”) to the CITT with or without instructions on how it should decide the matter again.

Safeguard

A safeguard inquiry is conducted by the Tribunal further to complaints received from Canadian producers who believe they are being seriously injured, or may be seriously injured, due to increased quantities of imports from other countries. The objective of such an inquiry is to determine whether injury or threat of injury exists and to recommend temporary remedial measures (safeguards) to allow producers to compete fairly.

The Tribunal may also conduct such an inquiry following receipt of an order from the Governor in Council of Canada (safeguard reference). This type of order is usually very specific as to the objectives of the inquiry.

Subsidizing

Subsidizing occurs when goods imported into Canada benefit from certain types of foreign government financial contributions.