New grounds added to Export and Import Permits Act for restricting trade on economic security grounds

Plain-language summary · AI-assisted · not legal advice

Pending amendments (not yet in force) will add new reasons for which the federal government can place goods on export and import control lists. Specifically, authorities will be able to restrict exports or imports to protect Canada's economic security interests — including ensuring supply and distribution of goods are consistent with those interests, and to respond to foreign acts, policies or practices that may be detrimental to Canada's economic security. These new grounds expand the existing list of reasons for control beyond the current categories (such as defence, foreign policy, and short supply). Businesses that export controlled goods, import controlled goods, or broker such transactions should be aware that economic security grounds may be used to add articles to control lists once these provisions come into force.

Who this affects: exporters of controlled goods · importers of controlled goods · export/import permit holders · trade compliance officers · businesses operating in strategic or dual-use sectors