Regulations Repealing Certain Regulations Made Under the Special Import Measures Act: SOR/2022-148
Canada Gazette, Part II, Volume 156, Number 14
SOR/2022-148 June 21, 2022
SPECIAL IMPORT MEASURES ACT
P.C. 2022-712 June 20, 2022
Her Excellency the Governor General in Council, on the recommendation of the Minister for International Trade and the Minister of Finance, pursuant to subsection 77.013(1)footnote a, section 77.018footnote b, subsection 77.023(2)footnote c and paragraphs 77.035(c)footnote d and (d)footnote e of the Special Import Measures Act footnote f, makes the annexed Regulations Repealing Certain Regulations Made Under the Special Import Measures Act.
Regulations Repealing Certain Regulations Made Under the Special Import Measures Act
1 The following regulations are repealed:
- (a) the Members of Panels (CUSMA) Regulations footnote 1; and
- (b) the Members of Committees and Special Committees (CUSMA) Regulations footnote 2.
Coming into Force
2 These Regulations come into force on the day on which they are registered.
REGULATORY IMPACT ANALYSIS STATEMENT
(This statement is not part of the Regulations.)
The Members of Committees and Special Committees (CUSMA) Regulations and the Members of Panels (CUSMA) Regulations (jointly referred to as the CUSMA Regulations) are no longer needed, as the process to nominate individuals for Canada-United States-Mexico Agreement (CUSMA) trade remedy dispute settlement rosters, panels, and committees is now set out in Section 16 of the Canada–United States–Mexico Agreement Implementation Act (the CUSMA Implementation Act).
The CUSMA Regulations, made pursuant to section 77.035 of the Special Import Measures Act (SIMA), prescribe a process to nominate individuals for CUSMA Chapter 10 Extraordinary Challenge Committees (ECC), Special Committees, and binational panels. These regulations were carried forward from the North American Free Trade Agreement (NAFTA), under which the implementing legislation did not include a process to nominate individuals for trade remedy dispute settlement rosters, committees, and panels. The CUSMA Regulations are under the joint responsibility of the Minister for International Trade and the Minister of Finance.
CUSMA entered into force on July 1, 2020, and notably preserves key elements of NAFTA. In the area of trade remedies (Chapter 10), CUSMA maintains Canada’s right to apply its anti-dumping and countervailing duty law. Chapter 10 also preserves the binational panel dispute settlement mechanism from Chapter 19 of NAFTA. This ensures that Canadian parties affected by anti-dumping and countervailing measures continue to have access to an independent binational panel process for settling disputes that is separate from CUSMA countries’ domestic legal systems.
The CUSMA Chapter 10 binational panel dispute settlement mechanism provides for two rosters from which the parties to a dispute are to normally appoint panellists or committee members to review a disputed trade remedy determination. The rosters are made up of international trade law experts, including lawyers, judges, and former judges, who are chosen on the basis of their objectivity, reliability, and sound judgment.
Subsequent to the entry into force of CUSMA, Section 16 of the CUSMA Implementation Act was amended and now establishes the process to nominate individuals to all CUSMA dispute settlement rosters, panels, and committees, including those under CUSMA Chapter 10. As a result, the similar processes contained in the CUSMA Regulations are no longer required.
The objective of the Regulations Repealing Certain Regulations Made Under the Special Import Measures Act (the Repealing Regulations) is to eliminate duplication and avoid any potential conflict with the process now set out in Section 16 of the CUSMA Implementation Act.
The Repealing Regulations would repeal the Members of Committees and Special Committees (CUSMA) Regulations and the Members of Panels (CUSMA) Regulations.
The SIMA does not require prepublication of the Repealing Regulations and there are no World Trade Organization (WTO) requirements to prepublish amendments to the CUSMA Regulations. The Repealing Regulations are administrative in nature and do not impact Canadians. As a result, consultation was not undertaken and the Repealing Regulations are exempt from prepublication in the Canada Gazette, Part I.
Modern treaty obligations and Indigenous engagement and consultation
The Repealing Regulations do not impact Indigenous peoples’ rights and interests.
The Repealing Regulations will repeal the CUSMA Regulations. This can only be accomplished through regulations and as such, no other instruments were considered.
Benefits and costs
The Repealing Regulations would not impact the operation of the CUSMA Chapter 10 dispute settlement mechanism. As such, there are no costs or benefits associated with these regulations.
Small business lens
The Repealing Regulations do not impact the operation of the CUSMA Chapter 10 dispute settlement mechanism and, as such, would not impact small businesses.
Element B of the one-for-one rule applies since two regulatory titles are repealed, and the proposal is considered two titles out under the rule.
The CUSMA Regulations did not impose administrative burden on business and as such, element A of the rule does not apply.
Regulatory cooperation and alignment
There are no regulatory cooperation or alignment components associated with the proposal. Each CUSMA Party establishes its own internal process with respect to the selection of Chapter 10 roster, committee, and panel members.
Strategic environmental assessment
In accordance with the Cabinet Directive on the Environmental Assessment of Policy, Plan and Program Proposals, a preliminary scan concluded that the Repealing Regulations would not have positive or negative effects on the environment; therefore, a strategic environmental assessment is not required.
Gender-based analysis plus
No gender-based analysis plus (GBA+) impacts have been identified for this proposal.
Implementation, compliance and enforcement, and service standards
The Repealing Regulations would enter into force on the day the regulations are registered.
International Trade Policy Division
Department of Finance Canada