Bill C-2: An Act to implement the Free Trade Agreement between Canada and the Republic of Colombia, the Agreement on the Environment between Canada and the Republic of Colombia and the Agreement on Labour Cooperation between Canada and the Republic of Colombia

Third Session, Fortieth Parliament, 59 Elizabeth II, 2010 STATUTES OF CANADA 2010CHAPTER 4 An Act to implement the Free Trade Agreement between Canada and the Republic of Colombia, the Agreement on the Environment between Canada and the Republic of Colombia and the Agreement on Labour Cooperation between Canada and the Republic of Colombia ASSENTED TO 29th JUNE, 2010 BILL C-2 RECOMMENDATION Her Excellency the Governor General recommends to the House of Commons the appropriation of public revenue under the circumstances, in the manner and for the purposes set out in a measure entitled “An Act to implement the Free Trade Agreement between Canada and the Republic of Colombia, the Agreement on the Environment between Canada and the Republic of Colombia and the Agreement on Labour Cooperation between Canada and the Republic of Colombia”. SUMMARY This enactment implements the Free Trade Agreement and the related agreements on the environment and labour cooperation entered into between Canada and the Republic of Colombia and signed at Lima, Peru on November 21, 2008. The general provisions of the enactment specify that no recourse may be taken on the basis of the provisions of Part 1 of the enactment or any order made under that Part, or the provisions of the Free Trade Agreement or the related agreements themselves, without the consent of the Attorney General of Canada. Part 1 of the enactment approves the Free Trade Agreement and the related agreements and provides for the payment by Canada of its share of the expenditures associated with the operation of the institutional aspects of the Free Trade Agreement and the power of the Governor in Council to make orders for carrying out the provisions of the enactment. Part 2 of the enactment amends existing laws in order to bring them into conformity with Canada’s obligations under the Free Trade Agreement and the related agreement on labour cooperation. Also available on the Parliament of Canada Web Site at the following address:http://www.parl.gc.ca TABLE OF PROVISIONS AN ACT TO IMPLEMENT THE FREE TRADE AGREEMENT BETWEEN CANADA AND THE REPUBLIC OF COLOMBIA, THE AGREEMENT ON THE ENVIRONMENT BETWEEN CANADA AND THE REPUBLIC OF COLOMBIA AND THE AGREEMENT ON LABOUR COOPERATION BETWEEN CANADA AND THE REPUBLIC OF COLOMBIA SHORT TITLE 1.       Canada–Colombia Free Trade Agreement Implementation Act INTERPRETATION 2.       Definitions 3.       Interpretation consistent with agreements 4.       Non-application of Act or Agreement to water 5.       Construction HER MAJESTY 6.       Binding on Her Majesty PURPOSE 7.       Purpose CAUSES OF ACTION 8.       Causes of action under Part 1 PART 1 IMPLEMENTATION OF THE AGREEMENT AND THE RELATED AGREEMENTS Approval 9.       Agreements approved Administrative and Institutional Provisions 10.       Canadian representative on Joint Commission 11.       Payment of expenditures Panels, Committees, Subcommittees and Working Groups 12.       Powers of Minister 13.       Administrative support 14.       Payment of costs Orders 15.       Orders re Article 2114 Report 15.1       Report PART 2 RELATED AMENDMENTS 16-22.       Canadian International Trade Tribunal Act 23.       Commercial Arbitration Act 24.       Crown Liability and Proceedings Act 25-29.       Customs Act 30-42.       Customs Tariff 43.       Department of Human Resources and Skills Development Act 44-46.       Export and Import Permits Act 47.       Financial Administration Act PART 3 COMING INTO FORCE 48.       Order in council SCHEDULE 1 SCHEDULE 2 59 ELIZABETH II —————— CHAPTER 4 An Act to implement the Free Trade Agreement between Canada and the Republic of Colombia, the Agreement on the Environment between Canada and the Republic of Colombia and the Agreement on Labour Cooperation between Canada and the Republic of Colombia [Assented to 29th June, 2010] Her Majesty, by and with the advice and consent of the Senate and House of Commons of Canada, enacts as follows: SHORT TITLE Short title 1. This Act may be cited as the Canada–Colombia Free Trade Agreement Implementation Act. INTERPRETATION Definitions 2. The definitions in this section apply in this Act. “Agreement”« Accord » “Agreement” means the Free Trade Agreement between Canada and the Republic of Colombia, signed on November 21, 2008. “federal law”« texte législatif fédéral » “federal law” means the whole or any portion of an Act of Parliament or a regulation, order or other instrument issued, made or established in the exercise of a power conferred by or under an Act of Parliament. “Joint Commission”« Commission mixte » “Joint Commission” means the Joint Commission established under Article 2001 of the Agreement. “Minister”« ministre » “Minister” means the Minister for International Trade. “related agreement”« accord connexe » “related agreement” means (a) the Agreement on the Environment between Canada and the Republic of Colombia, signed on November 21, 2008; or (b) the Agreement on Labour Cooperation between Canada and the Republic of Colombia, signed on November 21, 2008. Interpretation consistent with agreements 3. For greater certainty, this Act and any federal law that implements a provision of the Agreement or a related agreement or fulfils an obligation of the Government of Canada under the Agreement or a related agreement is to be interpreted in a manner consistent with the Agreement or related agreement, as the case may be. Non-application of Act or Agreement to water 4. For greater certainty, nothing in this Act or the Agreement applies to natural surface or ground water in liquid, gaseous or solid state. Construction 5. For greater certainty, nothing in this Act, by specific mention or omission, is to be construed to affect in any manner the right of Parliament to enact legislation to implement any provision of the Agreement or a related agreement or fulfil any of the obligations of the Government of Canada under the Agreement or a related agreement. HER MAJESTY Binding on Her Majesty 6. This Act is binding on Her Majesty in right of Canada. PURPOSE Purpose 7. The purpose of this Act is to implement the Agreement and the related agreements, the objectives of which, as elaborated more specif- ically through their provisions, are to (a) establish a free trade area in accordance with the Agreement; (b) promote, through the expansion of recip- rocal trade, the harmonious development of the economic relations between Canada and the Republic of Colombia in order to foster, in Canada and in Colombia, the advancement of economic activity; (c) provide fair conditions of competition affecting trade between Canada and the Republic of Colombia; (d) substantially increase investment opportunities in Canada and the Republic of Colombia; (e) contribute, by the removal of barriers to trade, to the harmonious development and expansion of world trade; (f) enhance and enforce environmental laws and regulations and strengthen cooperation on environmental matters; (g) protect, enhance and enforce basic workers’ rights, strengthen cooperation and build on the respective international commitments of Canada and the Republic of Colombia on labour matters; and (h) promote sustainable development. CAUSES OF ACTION Causes of action under Part 1 8. (1) No person has any cause of action and no proceedings of any kind shall be taken, without the consent of the Attorney General of Canada, to enforce or determine any right or obligation that is claimed or arises solely under or by virtue of Part 1 or an order made under that Part. Causes of action under the Agreement or a related agreement (2) Subject to Section B of Chapter Eight of the Agreement and Part Three and Annex 4 of the Agreement on Labour Cooperation between Canada and the Republic of Colombia, signed on November 21, 2008, no person has any cause of action and no proceedings of any kind shall be taken, without the consent of the Attorney General of Canada, to enforce or determine any right or obligation that is claimed or arises solely under or by virtue of the Agreement or a related agreement. PART 1 IMPLEMENTATION OF THE AGREEMENT AND THE RELATED AGREEMENTS Approval Agreements approved 9. The Agreement and the related agreements are approved. Administrative and Institutional Provisions Canadian representative on Joint Commission 10. The Minister is the principal representative of Canada on the Joint Commission. Payment of expenditures 11. The Government of Canada shall pay its appropriate share of the aggregate of any expenditures incurred by or on behalf of the Joint Commission. Panels, Committees, Subcommittees and Working Groups Powers of Minister 12. The Minister may (a) appoint any person to be a representative of Canada on any committee or subcommittee referred to in Annex 2001 of the Agreement; (b) appoint any person to be a panelist in accordance with Article 2108 of the Agreement; and (c) propose candidates to serve as the chair of panels in accordance with that Article. Administrative support 13. The Minister shall designate an agency, division or branch of the Government of Canada to facilitate the operation of Chapter Twenty-one of the Agreement and to provide administrative assistance to panels established under that Chapter. Payment of costs 14. The Government of Canada shall pay the costs of or its appropriate share of the costs of (a) the remuneration and expenses payable to members of panels, committees, subcommittees and working groups and to the assistants of panel members; and (b) the general expenses incurred by panels, committees, subcommittees and working groups. Orders Orders re Article 2114 15. (1) The Governor in Council may, for the purpose of suspending benefits in accord- ance with Article 2114 of the Agreement, by order, do any one or more of the following: (a) suspend rights or privileges granted by Canada to the Republic of Colombia or to goods of the Republic of Colombia under the Agreement or any federal law; (b) modify or suspend the application of any federal law, with respect to the Republic of Colombia or to goods of the Republic of Colombia; (c) extend the application of any federal law to the Republic of Colombia or to goods of the Republic of Colombia; and (d) take any other measure that the Governor in Council considers necessary for that purpose. Period of order (2) Unless repealed, an order made under subsection (1) has effect for the period specified in the order. Report Report 15.1 Pursuant to the Agreement Concerning Annual Reports on Human Rights and Free Trade Between Canada and the Republic of Colombia, the Minister shall cause to be laid before each House of Parliament by May 15 of each year or, if that House is not then sitting, on any of the 30 days next thereafter that it is sitting, a report on the operation of this Act during the previous calendar year, containing a general summary of all actions taken under the authority of this Act, and an analysis of the impact of these actions on human rights in Canada and the Republic of Colombia. PART 2 RELATED AMENDMENTS R.S., c. 47 (4th Supp.) Canadian International Trade Tribunal Act 16. (1) Section 2 of the Canadian International Trade Tribunal Act is amended by adding the following after subsection (3): Definition of “Colombia Tariff” (3.1) In this Act, “Colombia Tariff” means the rates of customs duty referred to in section 49.01 of the Customs Tariff. 2009, c. 16, s. 56(3) (2) Subsection 2(5) of the Act is replaced by the following: Goods imported from an EFTA state, a NAFTA country, Chile, Costa Rica, Peru or Colombia (5) For the purposes of this Act, goods are imported from an EFTA state, from a NAFTA country, from Chile, from Costa Rica, from Peru or from Colombia if they are shipped directly to Canada from the EFTA state, the NAFTA country, Chile, Costa Rica, Peru or Colombia, as the case may be, within the meaning of sections 17 and 18 of the Customs Tariff. 17. The Act is amended by adding the following after section 19.012: Definition of “principal cause” 19.0121 (1) In this section, “principal cause” means, in respect of a serious injury or threat of a serious injury, an important cause that is no less important than any other cause of the serious injury or threat. Emergency measures — Colombia (2) The Tribunal shall inquire into and report to the Governor in Council on the question whether goods that are entitled to the benefit of the Colombia Tariff are, as a result of that entitlement, being imported in such increased quantities, in absolute terms or relative to the domestic production of like or directly compet- itive goods, and under such conditions as to constitute a principal cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods, if the Governor in Council, on the recommendation of the Minister, refers the question to it for inquiry and report. Terms of reference (3) The Tribunal shall conduct an inquiry under subsection (2) and prepare its report in accordance with the terms of reference established by the Governor in Council or the Minister, as the case may be. Tabling of report (4) The Minister shall cause a copy of each report submitted to the Governor in Council or the Minister to be laid before each House of Parliament on any of the first 15 days on which that House is sitting after the report is so submitted. Notice of report (5) The Tribunal shall cause notice of the submission of a report to be published in the Canada Gazette. 18. The Act is amended by adding the following after section 20.04: Definition of “principal cause” 20.05 (1) In this section, “principal cause” means, in respect of a serious injury or threat of serious injury, an important cause that is no less important than any other cause of the serious injury or threat. Determination in respect of Colombian goods (2) Where, in an inquiry conducted pursuant to a reference under section 20 into goods imported from Colombia that are specified by the Governor in Council or in an inquiry conducted pursuant to a complaint under subsection 23(1) into goods so imported that are specified by the Tribunal, the Tribunal finds that the specified imported goods and goods of the same kind imported from other countries are being imported in such increased quantities and under such conditions as to be a principal cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods, the Tribunal shall determine whether the specified imported goods are a principal cause of the serious injury or threat of serious injury. Determinations (3) In the case of an inquiry to which subsection (2) applies, the Tribunal shall include in its report any determinations made under that subsection. Inquiry under section 30.07 (4) In an inquiry under section 30.07 into goods imported from Colombia conducted pursuant to an extension request, the Tribunal shall determine whether the goods imported from Colombia are a principal cause of the serious injury or threat of serious injury to domestic producers of like or directly competitive goods. 2009, c. 16, s. 56(5) 19. Section 21.1 of the Act is replaced by the following: Definition of “complaint” 21.1 In sections 23 to 30, “complaint” means a written complaint filed with the Tribunal under subsection 23(1), (1.01), (1.02), (1.03), (1.04), (1.05), (1.06), (1.061), (1.07), (1.08), (1.09), (1.091), (1.092) or (1.093) and, for the purposes of those sections, a complaint is properly documented if the Tribunal is satisfied that it contains or is accompanied by the information required by section 23. 20. Section 23 of the Act is amended by adding the following after subsection (1.06): Filing of complaint — Colombia Tariff (1.061) Any domestic producer of goods that are like or directly competitive with any goods being imported into Canada and that are entitled to the Colombia Tariff, or any person or association acting on behalf of such a domestic producer, may file a written complaint with the Tribunal alleging that, as a result of that entitlement, the imported goods are being imported in such increased quantities, in absolute terms or relative to the domestic production of like or directly competitive goods, and under such conditions as to constitute a cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods. 21. Paragraph 26(1)(a) of the Act is amended by adding the following after subparagraph (i.6): (i.61) in the case of a complaint filed under subsection 23(1.061), the goods that are entitled to the Colombia Tariff are, as a result of that entitlement, being imported in such increased quantities, in absolute terms or relative to the domestic production of like or directly competitive goods, and under such conditions as to constitute a cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods, 22. Subsection 27(1) of the Act is amended by adding the following after paragraph (a.6): (a.61) in the case of a complaint filed under subsection 23(1.061), the goods that are entitled to the Colombia Tariff are, as a result of that entitlement, being imported in such increased quantities, in absolute terms or relative to domestic production of like or directly competitive goods, and under such conditions as to constitute a principal cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods; R.S., c. 17 (2nd Supp.) Commercial Arbitration Act 23. Subsection 5(4) of the Commercial Arbitration Act is amended by striking out “and” at the end of paragraph (b), by adding “and” at the end of paragraph (c) and by adding the following after paragraph (c): (d) a claim under Article 819 or 820 of the Agreement, as defined in section 2 of the Canada–Colombia Free Trade Agreement Implementation Act. R.S., c. C-50; 1990, c. 8, s. 21 Crown Liability and Proceedings Act 24. Part 2 of the schedule to the Crown Liability and Proceedings Act is amended by adding the following after section 3: 4. The Agreement on Labour Cooperation between Canada and the Republic of Colombia, signed on November 21, 2008, as amended from time to time in accordance with Article 30 of that Agreement. R.S., c. 1 (2nd Supp.) Customs Act 2009, c. 16, s. 56(9) 25. (1) The definitions “free trade agreement” and “free trade partner” in subsection 2(1) of the Customs Act are replaced by the following: “free trade agreement”« accord de libre-échange » “free trade agreement” means NAFTA, CCFTA, CCRFTA, CEFTA, CIFTA, CPFTA or CCOFTA; “free trade partner”« partenaire de libre-échange » “free trade partner” means (a) a NAFTA country, (b) Chile, (c) Costa Rica, (d) Israel or another CIFTA beneficiary, (e) an EFTA state, (f) Peru, or (g) Colombia; (2) Subsection 2(1) of the Act is amended by adding the following in alphabetical order: “CCOFTA”« ALÉCCO » “CCOFTA” has the same meaning as “Agreement” in section 2 of the Canada–Colombia Free Trade Agreement Implementation Act; “Colombia”« Colombie » “Colombia” has the same meaning as in subsection 2(1) of the Customs Tariff; “preferential tariff treatment under CCOFTA”« traitement tarifaire préférentiel de l’ALÉCCO » “preferential tariff treatment under CCOFTA” means, in respect of goods, entitlement to the Colombia Tariff rates of customs duty under the Customs Tariff; (3) Subsection 2(1.2) of the Act is amended by adding the following after paragraph (b): (b.1) preferential tariff treatment under CCOFTA; 2009, c. 16, s. 32 26. Section 42.4 of the Act and the heading before it are replaced by the following: Denial or Withdrawal of Benefit of Preferential Tariff Treatment under NAFTA, CCFTA, CCRFTA, CPFTA or CCOFTA Definition of “identical goods” 42.4 (1) In this section, “identical goods” has the meaning assigned to that expression by Article 514 of NAFTA, Article E-14 of CCFTA, Article V.14 of CCRFTA, Article 423 of CPFTA or Article 423 of CCOFTA, as the case may be. Denial or withdrawal of benefit — NAFTA country, Chile, Costa Rica, Peru or Colombia (2) Notwithstanding section 24 of the Customs Tariff, the Minister may, subject to the prescribed conditions, deny or withdraw pref- erential tariff treatment under NAFTA, CCFTA, CCRFTA, CPFTA or CCOFTA in respect of goods for which that treatment is claimed if the exporter or producer of the goods has made false representations that identical goods exported or produced by that exporter or producer and for which that treatment was claimed were eligible for that treatment. 2009, c. 16, s. 56(11) 27. Paragraph 43.1(1)(b) of the Act is replaced by the following: (b) in the case of goods exported from a NAFTA country, from Chile, from Costa Rica, from an EFTA state, from Peru or from Colombia, any matter, other than those referred to in paragraphs (a) and (c), concerning those goods that is set out in paragraph 1 of Article 509 of NAFTA, in paragraph 1 of Article E-09 of CCFTA, in paragraph 1 of Article V.9 or paragraph 10 of Article IX.2 of CCRFTA, in Article 28(2) of Annex C of CEFTA, in paragraph 1 of Article 419 of CPFTA or in paragraph 1 of Article 419 of CCOFTA, as the case may be; and 2009, c. 16, s. 56(12) 28. Paragraph 74(1)(c.11) of the Act is replaced by the following: (c.11) the goods were imported from Costa Rica, from an EFTA state, from Israel or another CIFTA beneficiary, from Peru or from Colombia but no claim for preferential tariff treatment under CCRFTA, CEFTA, CIFTA, CPFTA or CCOFTA, as the case may be, was made in respect of those goods at the time they were accounted for under subsection 32(1), (3) or (5); 29. Section 164 of the Act is amended by adding the following after subsection (1.2): Regulations — CCOFTA (1.21) The Governor in Council may, on the recommendation of the Minister, make regulations for the purpose of the uniform interpretation, application and administration of Chapter Four of CCOFTA and any other matters that may be agreed on from time to time by the parties to CCOFTA. 1997, c. 36 Customs Tariff 30. Subsection 2(1) of the Customs Tariff is amended by adding the following in alphabetical order: “Canada– Colombia Free Trade Agreement”« Accord de libre-échange Canada- Colombie » “Canada–Colombia Free Trade Agreement” has the same meaning as “Agreement” in section 2 of the Canada–Colombia Free Trade Agreement Implementation Act. “Colombia”« Colombie » “Colombia” means the land territory, both continental and insular, the air space and the maritime areas over which the Republic of Colombia exercises sovereignty, or sovereign rights or jurisdiction, in accordance with its domestic law and international law. 2009, c. 16, s. 56(14) 31. Section 5 of the Act is replaced by the following: Goods imported from a NAFTA country, Chile, Costa Rica, an EFTA state, Peru or Colombia 5. For the purposes of this Act, goods are imported from a NAFTA country, Chile, Costa Rica, Iceland, Norway, Switzerland, Liechtenstein, Peru or Colombia if they are shipped directly to Canada from that country. 2009, c. 16, s. 38 and subpar. 56(16)(b)(i) 32. Paragraph 14(2)(c) of the Act is replaced by the following: (c) by way of compensation for any action taken under subsection 55(1), section 60 or subsection 63(1), 69(2), 70(2), 71(2), 71.01(1), 71.1(2), 71.5(1), 72(1), 75(1), 76(1) or 76.1(1) or under subsection 5(3), (3.2) or (4.1) of the Export and Import Permits Act. 2009, c. 16, s. 39 33. Paragraph 24(1)(b) of the Act is replaced by the following: (b) the goods are entitled to that tariff treatment in accordance with regulations made under section 16 or an order made under paragraph 31(1)(a), 34(1)(a), 38(1)(a) or 42(1)(a), subsection 45(13), section 48 or subsection 49(2), 49.01(8) or 49.5(8). 2009, c. 16, s. 56(15) 34. Section 27 of the Act is replaced by the following: Abbreviations 27. For the purposes of the List of Tariff Provisions and the “F” Staging List, the abbreviations “UST”, “MT”, “MUST”, “CT”, “CRT”, “CIAT”, “GPT”, “LDCT”, “CCCT”, “AUT”, “NZT”, “IT”, “NT”, “SLT”, “PT” and “COLT” refer, respectively, to “United States Tariff”, “Mexico Tariff”, “Mexico–United States Tariff”, “Chile Tariff”, “Costa Rica Tariff”, “Canada–Israel Agreement Tariff”, “General Preferential Tariff”, “Least Developed Country Tariff”, “Commonwealth Caribbean Countries Tariff”, “Australia Tariff”, “New Zealand Tariff”, “Iceland Tariff”, “Norway Tariff”, “Switzerland–Liechtenstein Tariff”, “Peru Tariff” and “Colombia Tariff”. 35. The Act is amended by adding the following after section 49: Colombia Tariff Application of COLT 49.01 (1) Subject to section 24, goods that originate in Colombia are entitled to the Colombia Tariff rates of customs duty. “A” final rate (2) If “A” is set out in the column entitled “Preferential Tariff” in the List of Tariff Provisions following the abbreviation “COLT” in relation to goods entitled to the Colombia Tariff, the Colombia Tariff rate of customs duty that applies to those goods is the final rate of “Free”. “F” staging for COLT (3) If “F” is set out in the column entitled “Preferential Tariff” in the List of Tariff Provisions following the abbreviation “COLT” in relation to goods entitled to the Colombia Tariff, the Colombia Tariff rate of customs duty that applies to those goods is the initial rate, reduced as provided in the “F” Staging List. Staging for COLT (4) If “S1”, “S2” or “S3” is set out in the column entitled “Preferential Tariff” in the List of Tariff Provisions following the abbreviation “COLT” in relation to goods entitled to the Colombia Tariff, the Colombia Tariff rate of customs duty that applies to those goods is the initial rate, reduced (a) if “S1” is set out, (i) effective on the coming into force of this subsection, to two thirds of the initial rate, (ii) effective on January 1 of the year that is one year after the year of the coming into force of this subsection, to one third of the initial rate, and (iii) effective on January 1 of the year that is two years after the year of the coming into force of this subsection, to the final rate of “Free”; (b) if “S2” is set out, (i) effective on the coming into force of this subsection, to six sevenths of the initial rate, (ii) effective on January 1 of the year that is one year after the year of the coming into force of this subsection, to five sevenths of the initial rate, (iii) effective on January 1 of the year that is two years after the year of the coming into force of this subsection, to four sevenths of the initial rate, (iv) effective on January 1 of the year that is three years after the year of the coming into force of this subsection, to three sevenths of the initial rate, (v) effective on January 1 of the year that is four years after the year of the coming into force of this subsection, to two sevenths of the initial rate, (vi) effective on January 1 of the year that is five years after the year of the coming into force of this subsection, to one seventh of the initial rate, and (vii) effective on January 1 of the year that is six years after the year of the coming into force of this subsection, to the final rate of “Free”; and (c) if “S3” is set out, (i) effective on the coming into force of this subsection, to sixteen seventeenths of the initial rate, (ii) effective on January 1 of the year that is one year after the year of the coming into force of this subsection, to fifteen seventeenths of the initial rate, (iii) effective on January 1 of the year that is two years after the year of the coming into force of this subsection, to fourteen seventeenths of the initial rate, (iv) effective on January 1 of the year that is three years after the year of the coming into force of this subsection, to thirteen seventeenths of the initial rate, (v) effective on January 1 of the year that is four years after the year of the coming into force of this subsection, to twelve seventeenths of the initial rate, (vi) effective on January 1 of the year that is five years after the year of the coming into force of this subsection, to eleven seventeenths of the initial rate, (vii) effective on January 1 of the year that is six years after the year of the coming into force of this subsection, to ten seventeenths of the initial rate, (viii) effective on January 1 of the year that is seven years after the year of the coming into force of this subsection, to nine seventeenths of the initial rate, (ix) effective on January 1 of the year that is eight years after the year of the coming into force of this subsection, to eight seventeenths of the initial rate, (x) effective on January 1 of the year that is nine years after the year of the coming into force of this subsection, to seven seventeenths of the initial rate, (xi) effective on January 1 of the year that is 10 years after the year of the coming into force of this subsection, to six seventeenths of the initial rate, (xii) effective on January 1 of the year that is 11 years after the year of the coming into force of this subsection, to five seventeenths of the initial rate, (xiii) effective on January 1 of the year that is 12 years after the year of the coming into force of this subsection, to four seventeenths of the initial rate, (xiv) effective on January 1 of the year that is 13 years after the year of the coming into force of this subsection, to three seventeenths of the initial rate, (xv) effective on January 1 of the year that is 14 years after the year of the coming into force of this subsection, to two seventeenths of the initial rate, (xvi) effective on January 1 of the year that is 15 years after the year of the coming into force of this subsection, to one seventeenth of the initial rate, and (xvii) effective on January 1 of the year that is 16 years after the year of the coming into force of this subsection, to the final rate of “Free”. Rounding of specific rates (5) If a reduction under subsection (3) or (4) results in a specific rate of customs duty that includes a fraction of one tenth of a cent, the rate shall be rounded down to the nearest one tenth of a cent. Rounding of amounts (6) If a reduction under subsection (3) or (4) results in a rate of customs duty that includes a fraction of one per cent other than 0.5, the resulting percentage shall be rounded down to the nearest percentage that divides evenly by 0.5. Elimination of rates of less than two per cent (7) If a reduction under subsection (3) or (4) results in a rate of customs duty that is a percentage of less than two per cent, the rate shall be further reduced to “Free” immediately. Extension of Colombia Tariff (8) Notwithstanding any other provision of this Act, for the purposes of giving effect to Article 317 of the Canada–Colombia Free Trade Agreement, the Minister may, by order, amend the schedule to extend entitlement to the Colombia Tariff to any imported goods subject to any condition that may be specified in the order. 2009, c. 16, s. 43 36. The definition “principal cause” in section 54 of the Act is replaced by the following: “principal cause”« cause principale » “principal cause”, in respect of goods imported from Peru or Colombia, means an important cause that is no less important than any other cause. 2009, c. 16, s. 44 37. Section 59.1 of the Act is replaced by the following: Peru and Colombia emergency measures 59.1 An order made under subsection 55(1) may exclude goods of any kind imported from Peru or Colombia if it appears to the satisfaction of the Governor in Council, on the basis of a report under section 20 or 29 of the Canadian International Trade Tribunal Act, that the quantity of those goods being imported is not a principal cause of serious injury or threat of serious injury to domestic producers of like or directly competitive goods. 2009, c. 16, s. 45(2) 38. Subsection 63(4.1) of the Act is replaced by the following: Exception for goods imported from Peru or Colombia (4.1) An order under subsection (1) may exclude goods of any kind imported from Peru or Colombia if it appears to the satisfaction of the Governor in Council, on the basis of a report under the Canadian International Trade Tribunal Act, that the quantity of those goods being imported is not a principal cause of serious injury or threat of serious injury to domestic producers of like or directly competitive goods. 39. The Act is amended by adding the following after section 71: Bilateral Emergency Measures — Colombia Order by Governor in Council 71.01 (1) Subject to subsections (2) to (4), if at any time it appears to the satisfaction of the Governor in Council, as a result of an inquiry made by the Canadian International Trade Tribunal under subsection 19.0121(2) of the Canadian International Trade Tribunal Act or further to a complaint filed under subsection 23(1.061) of that Act, that goods that are entitled to the Colombia Tariff are, as a result of that entitlement, being imported in such increased quantities, in absolute terms or relative to the domestic production of like or directly competitive goods, and under such conditions as to constitute a principal cause of serious injury, or a threat of serious injury, to domestic producers of like or directly competitive goods, the Governor in Council may, on the recommendation of the Minister, by order (a) suspend, during the period that the order is in effect, any reduction of the rate of customs duty with respect to those goods that would otherwise be made after that time by virtue of section 49.01; and (b) make those goods subject to a temporary duty, in addition to any other duty specified in this Act or in any other Act of Parliament relating to customs, at a rate set out in the order, but that rate, when added to the rate of customs duty specified in the Colombia Tariff that is in effect in respect of those goods at that time, may not exceed the lesser of (i) the Most-Favoured-Nation Tariff rate of customs duty that is in effect in respect of those goods at the time the order is made, and (ii) the Most-Favoured-Nation Tariff rate of customs duty that was in effect in respect of those goods on January 1, 2007. Terms and conditions (2) An order under subsection (1) (a) may not be made more than once in respect of goods of any particular kind; (b) may only remain in effect for the period, not exceeding three years, that is specified in the order; and (c) may only be made during the period beginning on the day on which this subsection comes into force and ending (i) if the order is in respect of goods for which the Colombia Tariff rate of customs duty is reduced to the final rate of “Free” over a period of less than 10 years, on the day that is 10 years after the day on which this subsection comes into force, and (ii) if the order is in respect of goods for which the Colombia Tariff rate of customs duty is reduced to the final rate of “Free” over a period of 10 years or more, on the day after the expiry of the tariff staging period in respect of those goods. Rate of duty when order ceases to have effect (3) If an order made under subsection (1) ceases to have effect in a particular calendar year, the rate of customs duty applicable to the goods after the order ceases to have effect is the rate of customs duty that is applicable in accordance with section 49.01. Definition of “principal cause” (4) In this section, “principal cause” means, in respect of a serious injury or threat of serious injury, an important cause that is not less important than any other cause of the serious injury or threat. 2009, c. 16, s. 47 and subpar. 56(16)(b)(ii) 40. Section 79 of the Act is replaced by the following: Goods in transit 79. An order made under subsection 53(2) or 55(1), section 60 or subsection 63(1), 69(2), 70(2), 71.01(1), 71.1(2), 71.5(1), 72(1), 75(1), 76(1) or 76.1(1) may provide that goods that are in transit to Canada at the time the order comes into force are entitled to the tariff treatment that was applicable to those goods immediately before that time. 2009, c. 16, s. 56(17) 41. Paragraphs 133(j) and (j.1) of the Act are replaced by the following: (j) for the purpose of tariff item No. 9971.00.00, prescribing conditions under which goods that have been exported to a NAFTA country, Chile, Costa Rica, Israel or another CIFTA beneficiary, Iceland, Norway, Switzerland, Liechtenstein, Peru or Colombia for repair or alteration may be imported; (j.1) for the purpose of tariff item No. 9992.00.00, prescribing conditions under which goods that have been exported to a NAFTA country, Chile, Costa Rica, Israel or another CIFTA beneficiary, Peru or Colombia for repair or alteration may be imported; 42. (1) The List of Tariff Provisions set out in the schedule to the Act is amended by (a) adding in the column “Preferential Tariff / Initial Rate”, above the reference to “GPT”, a reference to “COLT:”; (b) adding in the column “Preferential Tariff / Final Rate”, above the reference to “GPT”, a reference to “COLT:”; (c) adding in the column “Preferential Tariff / Initial Rate” a reference to “Free” after the abbreviation “COLT”, and adding in the column “Preferential Tariff / Final Rate” a reference to “Free (A)” after the abbreviation “COLT”, for all tariff items except those set out in each of Schedules 1 and 2 to this Act; (d) adding in the columns “Preferential Tariff / Initial Rate” and “Preferential Tariff / Final Rate” a reference to “N/A” after the abbreviation “COLT” for tariff items set out in Schedule 1 to this Act; and (e) adding in the columns “Preferential Tariff / Initial Rate” and “Preferential Tariff / Final Rate” after the abbreviation “COLT”, for each tariff item set out in Schedule 2 to this Act, the rates of duty and staging categories set out with respect to that tariff item in that Schedule. (2) The Description of Goods of tariff item No. 9929.00.00 in the List of Tariff Provisions set out in the schedule to the Act is amended by replacing the reference to “imported from the United States, Mexico, Chile, Costa Rica or Peru” with a reference to “imported from the United States, Mexico, Chile, Costa Rica, Peru or Colombia”. (3) The Description of Goods of tariff item No. 9971.00.00 in the List of Tariff Provisions set out in the schedule to the Act is amended by replacing the reference beginning with “All the foregoing,” and ending with “in that country.” with a reference to “All the foregoing, regardless of the country of origin or tariff treatment, returned to Canada after having been exported to the United States, Mexico, Chile, Costa Rica, Israel or another CIFTA beneficiary, Iceland, Norway, Switzerland, Liechtenstein, Peru or Colombia for repair or alteration in that country.”. (4) The Description of Goods of tariff item No. 9990.00.00 in the List of Tariff Provisions set out in the schedule to the Act is amended by (a) replacing the reference to “Commercial samples imported from the United States, Mexico, Chile, Costa Rica or Peru” with a reference to “Commercial samples imported from the United States, Mexico, Chile, Costa Rica, Peru or Colombia”; and (b) replacing, in paragraph (i), the reference to “in Canadian, Chilean, Mexican, Costa Rican or Peruvian currency” with a reference to “in Canadian, Chilean, Mexican, Costa Rican, Peruvian or Colombian currency”. (5) The Description of Goods of tariff item No. 9992.00.00 in the List of Tariff Provisions set out in the schedule to the Act is amended by replacing the reference to “exported to the United States, Mexico, Chile, Costa Rica, Israel or another CIFTA beneficiary or Peru for repair or alteration” with a reference to “exported to the United States, Mexico, Chile, Costa Rica, Israel or another CIFTA beneficiary, Peru or Colombia for repair or alteration”. 2005, c. 34 Department of Human Resources and Skills Development Act 43. The schedule to the Department of Human Resources and Skills Development Act is amended by adding the following after section 1: 2. The Agreement on Labour Cooperation between Canada and the Republic of Colombia, signed on November 21, 2008, as amended from time to time in accordance with Article 30 of that Agreement. R.S., c. E-19 Export and Import Permits Act 44. Subsection 2(1) of the Export and Import Permits Act is amended by adding the following in alphabetical order: “Colombia”« Colombie » “Colombia” has the same meaning as in subsection 2(1) of the Customs Tariff; 2009, c. 16, s. 53 45. The definition “principal cause” in subsection 4.2(1) of the Act is replaced by the following: “principal cause”« cause principale » “principal cause”, in respect of goods imported from Peru or Colombia, means an important cause that is no less important than any other cause; 2009, c. 16, s. 54 46. Subsection 5(3.4) of the Act is replaced by the following: Exception for goods imported from Peru or Colombia (3.4) An order made under subsection (3) or (3.2) may exclude goods of any kind imported from Peru or Colombia if it appears to the satisfaction of the Governor in Council, on the basis of a report under the Canadian International Trade Tribunal Act, that the quantity of those goods being imported is not a principal cause of serious injury or threat of serious injury to domestic producers of like or directly competitive goods. R.S., c. F-11 Financial Administration Act 47. The Financial Administration Act is amended by adding the following after section 89.4: Implementation of Canada–Colombia Free Trade Agreement Directive 89.41 (1) Notwithstanding subsections 85(1) to (1.2), the Governor in Council may give a directive under subsection 89(1) to any parent Crown corporation for the purpose of implementing any provision of the Canada–Colombia Free Trade Agreement that pertains to that Crown corporation. Regulations (2) The Governor in Council may, on the recommendation of the Treasury Board and the appropriate Minister made at the request of a Crown corporation, make any regulations in relation to that corporation that the Governor in Council considers necessary for the purpose of implementing any provision of the Canada–Colombia Free Trade Agreement that pertains to that corporation. Definition of “Canada– Colombia Free Trade Agreement” (3) In subsections (1) and (2), “Canada–Colombia Free Trade Agreement” has the same meaning as “Agreement” in section 2 of the Canada–Colombia Free Trade Agreement Implementation Act. PART 3 COMING INTO FORCE Order in council 48. (1) The provisions of this Act come into force on a day or days to be fixed by order of the Governor in Council. Condition (2) No order may be made under subsection (1) unless the Governor in Council is satisfied that the Government of the Republic of Colombia has taken satisfactory steps to implement the Agreement and the re- lated agreements, including providing the Government of Canada with written notification pursuant to Article 3 of the Agreement Concerning Annual Reports on Human Rights and Free Trade Between Canada and the Republic of Colombia and accepting written notification from the Government of Canada pursuant to Article 3 of that Agreement. SCHEDULE 1 (Subsection 42(1)) 0105.11.22 0406.90.52 1901.90.52 0105.94.92 0406.90.62 1901.90.54 0105.99.12 0406.90.72 2105.00.92 0207.11.92 0406.90.82 2106.90.32 0207.12.92 0406.90.92 2106.90.34 0207.13.92 0406.90.94 2106.90.52 0207.13.93 0406.90.96 2106.90.94 0207.14.22 0406.90.99 2202.90.43 0207.14.92 0407.00.12 2309.90.32 0207.14.93 0407.00.19 3502.11.20 0207.24.12 0408.11.20 3502.19.20 0207.24.92 0408.19.20 3504.00.11 0207.25.12 0408.91.20 3504.00.12 0207.25.92 0408.99.20 3504.00.90 0207.26.20 1517.10.20 9801.20.00 0207.26.30 1517.90.22 9826.10.00 0207.27.12 1601.00.22 9826.20.00 0207.27.92 1601.00.32 9826.30.00 0207.27.93 1602.20.22 9826.40.00 0209.00.22 1602.20.32 9897.00.00 0209.00.24 1602.31.13 9898.00.00 0210.99.12 1602.31.14 9899.00.00 0210.99.13 1602.31.94 9904.00.00 0210.99.15 1602.31.95 9938.00.00 0210.99.16 1602.32.13 9987.00.00 0401.10.20 1602.32.14 0401.20.20 1602.32.94 0401.30.20 1602.32.95 0402.10.20 1701.91.10 0402.21.12 1701.91.90 0402.21.22 1701.99.10 0402.29.12 1702.90.11 0402.29.22 1702.90.12 0402.91.20 1702.90.13 0402.99.20 1702.90.14 0403.10.20 1702.90.15 0403.90.12 1702.90.16 0403.90.92 1702.90.17 0404.10.22 1702.90.18 0404.90.20 1702.90.21 0405.10.20 1702.90.29 0405.20.20 1702.90.61 0405.90.20 1702.90.69 0406.10.20 1702.90.70 0406.20.12 1702.90.81 0406.20.92 1702.90.89 0406.30.20 1806.20.22 0406.40.20 1806.90.12 0406.90.12 1901.20.12 0406.90.22 1901.20.22 0406.90.32 1901.90.32 0406.90.42 1901.90.34 SCHEDULE 2 (Subsection 42(1)) Tariff Item Initial Rate Final Rate 0105.11.21 0.86¢ each Free (S2) 0105.94.91 1.90¢/kg Free (S2) 0105.99.11 1.90¢/kg Free (S2) 0207.11.10 8% Free (S1) 0207.11.91 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.12.10 8% Free (S1) 0207.12.91 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.13.10 4% Free (S1) 0207.13.91 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.14.10 9% Free (S1) 0207.14.91 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.24.11 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.24.91 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.25.11 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.25.91 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.26.10 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0207.27.91 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0209.00.21 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0209.00.23 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0210.99.11 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0210.99.14 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 0401.10.10 7.5% Free (S2) 0401.20.10 7.5% Free (S2) 0401.30.10 7.5% Free (S2) 0402.10.10 3.32¢/kg Free (S2) 0402.21.11 3.32¢/kg Free (S2) 0402.21.21 6.5% Free (S2) 0402.29.11 3.32¢/kg Free (S2) 0402.29.21 6.5% Free (S2) 0402.91.10 2.84¢/kg Free (S2) 0402.99.10 2.84¢/kg Free (S2) 0403.90.11 3.32¢/kg Free (S2) 0404.10.10 4.94¢/kg Free (S2) 0404.10.21 3.32¢/kg Free (S2) 0404.10.90 11% Free (S2) 0404.90.10 6.5% Free (S2) 0405.10.10 11.38¢/kg Free (S2) 0405.20.10 7% Free (S2) 0405.90.10 7.5% Free (S2) 0406.10.10 3.32¢/kg Free (S2) 0406.20.11 2.84¢/kg Free (S2) 0406.20.91 3.32¢/kg Free (S2) 0406.30.10 3.32¢/kg Free (S2) 0406.40.10 3.32¢/kg Free (S2) 0406.90.11 2.84¢/kg Free (S2) 0406.90.21 3.32¢/kg Free (S2) 0406.90.31 3.32¢/kg Free (S2) 0406.90.41 3.32¢/kg Free (S2) 0406.90.51 3.32¢/kg Free (S2) 0406.90.61 3.32¢/kg Free (S2) 0406.90.71 3.32¢/kg Free (S2) 0406.90.81 3.32¢/kg Free (S2) 0406.90.91 3.32¢/kg Free (S2) 0406.90.93 3.32¢/kg Free (S2) 0406.90.95 3.32¢/kg Free (S2) 0406.90.98 3.32¢/kg Free (S2) 0407.00.11 1.51¢/dozen Free (S2) 0407.00.18 1.51¢/dozen Free (S2) 1517.90.21 7.5% Free (S2) 1602.31.11 11% Free (S2) 1602.31.12 7.5% Free (S2) 1602.31.93 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 1602.32.11 11% Free (S2) 1602.32.12 7.5% Free (S2) 1602.32.93 5% but not less than 4.74¢/kg or more than 9.48¢/kg Free (S2) 1701.12.90 $24.69/tonne Free (S2) 1701.99.90 $30.86/tonne Free (S3) 1702.40.00 6% Free (S2) 1703.90.10 12.5% Free (S2) 1901.90.31 6.5% Free (S2) 2106.90.31 5% Free (S2) 2106.90.33 5% Free (S2) 2106.90.51 6.68¢/kg Free (S2) 2106.90.93 7% Free (S2) 2309.90.31 2% Free (S2) 3502.11.10 8.5% Free (S2) 3502.19.10 6.63¢/kg Free (S2) 3825.30.20 15.5% Free (S2) 4015.11.00 15.5% Free (S2) 4015.19.90 15.5% Free (S2) 4015.90.90 14% Free (S2) 4303.10.10 15.5% Free (S2) 4303.10.20 14% Free (S2) 4304.00.00 15.5% Free (S2) 5407.20.99 14% Free (S2) 5602.10.90 14% Free (S2) 5602.21.99 12% Free (S2) 5602.29.00 14% Free (S2) 5602.90.90 14% Free (S2) 5603.11.50 14% Free (S2) 5603.11.99 14% Free (S2) 5603.12.50 14% Free (S2) 5603.12.99 14% Free (S2) 5603.13.50 14% Free (S2) 5603.13.99 14% Free (S2) 5603.14.50 14% Free (S2) 5603.14.99 14% Free (S2) 5603.91.90 14% Free (S2) 5603.92.99 14% Free (S2) 5603.93.90 14% Free (S2) 5603.94.90 14% Free (S2) 5607.29.20 10% Free (S2) 5607.29.90 10% Free (S2) 5607.49.20 10% Free (S2) 5607.49.90 10% Free (S2) 5607.50.20 10% Free (S2) 5607.50.90 10% Free (S2) 5607.90.20 10% Free (S2) 5607.90.90 10% Free (S2) 5903.10.19 14% Free (S2) 5903.10.29 14% Free (S2) 5903.20.19 14% Free (S2) 5903.20.29 14% Free (S2) 5903.90.10 14% Free (S2) 5903.90.29 14% Free (S2) 6305.20.00 17% Free (S2) 6305.32.00 18% Free (S2) 6305.33.00 18% Free (S2) 6305.39.00 18% Free (S2) 6309.00.90 18% Free (S2) 6401.10.19 20% Free (S1) 6401.10.20 20% Free (S1) 6401.92.12 20% Free (S1) 6401.92.91 20% Free (S1) 6401.92.92 20% Free (S1) 6402.12.20 18% Free (S1) 6402.12.30 17.5% Free (S1) 6402.20.19 16% Free (S1) 6402.20.20 18% Free (S1) 6402.91.10 17.5% Free (S1) 6402.91.90 17.5% Free (S1) 6402.99.10 17.5% Free (S1) 6403.12.20 18% Free (S1) 6403.12.30 18% Free (S1) 6403.40.00 18% Free (S1) 6406.10.11 15.5% Free (S2) 6406.10.19 15.5% Free (S2) 6406.10.90 8% Free (S2) 6504.00.90 12.5% Free (S2) 6505.10.00 15.5% Free (S2) 6505.90.39 12.5% Free (S2) 6505.90.40 12.5% Free (S2) 6505.90.90 15.5% Free (S2) 6506.99.90 12.5% Free (S2) 6812.91.00 15.5% Free (S2) 7019.32.90 15.5% Free (S2) 7019.40.99 15.5% Free (S2) 7019.51.99 15.5% Free (S2) 7019.52.99 15.5% Free (S2) 7019.59.99 15.5% Free (S2) 7019.90.40 15.5% Free (S2) 8804.00.10 15.5% Free (S2) 8901.10.10 25% Free (S2) 8901.10.90 25% Free (S2) 8901.20.10 25% Free (S2) 8901.20.90 25% Free (S2) 8901.30.00 25% Free (S2) 8901.90.10 15% Free (S2) 8901.90.91 25% Free (S2) 8901.90.99 25% Free (S2) 8902.00.10 25% Free (S2) 8904.00.00 25% Free (S2) 8905.10.00 25% Free (S2) 8905.20.10 20% Free (S2) 8905.20.20 25% Free (S2) 8905.90.10 20% Free (S2) 8905.90.90 25% Free (S2) 8906.10.00 25% Free (S2) 8906.90.19 15% Free (S2) 8906.90.91 25% Free (S2) 8906.90.99 25% Free (S2) 8907.90.90 15.5% Free (S2) 8908.00.90 15.5% Free (S2) 9401.90.20 15.5% Free (S2) 9404.30.00 15.5% Free (S2) 9404.90.10 14% Free (S2) 9404.90.90 14% Free (S2) 9607.20.10 11.5% Free (S2) 9612.10.20 15.5% Free (S2) 9612.10.30 15.5% Free (S2) Published under authority of the Speaker of the House of CommonsAvailable from:Publishing and Depository ServicesPublic Works and Government Services Canada