On December 21, 2020, the Canada Border Services Agency (CBSA) initiated investigations under the Special Import Measures Act (SIMA) regarding the dumping and subsidizing of certain upholstered domestic seating originating in or exported from China and Vietnam.

The investigation is a result of a complaint filed by Palliser Furniture Ltd. (Winnipeg, MB), and supported by several other companies.

The subject goods are typically classified under the following HS tariff classification numbers:

9401.40.00.00
9401.61.10.10
9401.61.10.90
9401.71.10.10
9401.71.10.90

The complete product definition of the subject goods can be found in Appendix 1 of this CBSA notice link.

The Canadian International Trade Tribunal (CITT) has begun preliminary injury inquiry to determine whether such imports are causing harm to Canadian producers. A decision will be issued by February 19, 2021. The CBSA is also simultaneously investigating whether the imports are currently being sold in Canada at unfair and/or subsidized prices. Their preliminary decision will be made by March 22, 2021.

If the CITT determines that the goods are causing injury, and CBSA determines that the goods are dumped and/or subsidized, there may be provisional duty applied to future shipments. If no injury, dumping or subsidizing is determined, the investigations will be terminated.

Some importers may have already received a letter from CBSA, identifying them as a potential importer of the subject goods. The request would include submission of an Importer Request for Information (RFI) with necessary product information by a defined timeline in order to establish the normal value and export price of the subject goods.

Submissions by any parties who are opposed to the complaint must be filed by no later than noon (EST), on January 18, 2021. The complainant and supporting parties may make submissions in response to the submissions of parties opposed to the complaint not later than noon (EST), on January 25, 2021.

Detailed information can be found in the CITT Notice Of Preliminary Injury Inquiry.

The Statement of Reasons is also available for additional information about the investigations.

Schenker is here to assist you with any questions you may have and provide support with this process. We can analyze your imports to see if the goods you have imported may be part of the subject list.

Please contact our client services team schenkercustoms.cs@dbschenker.com

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CBSA_Initiation of Investigations_Certain Upholstered Domestic Seating