1. Importing Vehicles from a Foreign Country – without Pre-clearance
2. Importing Vehicles from a Foreign Country – with Pre-clearance
   1. Description
   2. The Process
   1. Stage 1 – Registration
   2. Stage 2 – File # Issuance
   3. Stage 3 – Proof of Certification from the Foreign Manufacturer
   4. Stage 4 – Placement on the Pre-clearance List
   5. Stage 5 – Telephone Interview
   3. At any stage
3. Conditions When You Should NOT Apply
4. Competition Vehicles
5. Important Notes

A.  Importing Vehicles from a Foreign Country – without Pre-clearance

Transport Canada (TC) administers the Motor Vehicle Safety Act (Canada). The Act requires that imported vehicles of a prescribed class comply with all applicable regulations at the point of manufacture, prior to importation. Prescribed classes of vehicles can be found in “Schedule III” of the regulations (http://www.tc.gc.ca/acts-regulations/GENERAL/m/mvsa/regulations/mvsrg/schedules/001/mvsrsiii.html). (Please note that, for the purpose of “Schedule III”, “all-terrain vehicles” [ATV] are defined as “restricted use motorcycles”[RUM]). Vehicles manufactured in foreign countries do not usually comply with Canadian regulations or with the Canada Motor Vehicle Safety Standards (CMVSS). Therefore, these vehicles are NOT admissible for importation into Canada. Unless the foreign manufacturer has deliberately designed, tested, and certified the vehicles for the Canadian market, on the manufacturer’s own initiative, it is highly unlikely that the vehicles will comply with the applicable CMVSS.

If you wish to import vehicles from a foreign manufacturer who is intentionally designing and assembling vehicles for Canada, it is essential that you have someone in your employ who is familiar with the applicable Canadian regulations, and that this person has direct contact with somebody in the technical department at the foreign manufacturing plant who is entirely familiar with Canadian regulations. If you are importing vehicles that require CMVSS testing, you must submit the records of all applicable tests conducted by the manufacturer to TC, as stipulated in section 5(1)(g) of the Act. The test records and other required certification documents must be submitted before importation, and before shipment of the vehicles.

When shipments arrive at the Canadian border, the vehicles can be inspected for compliance with applicable Canadian regulations, including the requirement for a legitimate vehicle identification number (VIN) composed with a legitimate World Manufacturer Identifier (WMI). The importer will have to submit records of testing, if applicable, for each shipment. If the inspection is carried out by Canada Border Services Agency (CBSA) in the absence a TC inspector, the importer’s ability to conduct a “Notice of Defect” (recall) may be challenged by TC before the shipment is admitted. This inspection may take some time, so the potential costs and delays associated with it should be accounted for in your business plans.

After several shipments are inspected, and are consistently found to be in compliance, or after a company has successfully issued a “notice of defect”, the company’s shipments may be inspected less frequently.

However, if non-complying vehicles are found in the shipments, or if a company is not able to autonomously issue a proper “notice of defect” covering all parts of section 15 of the regulations for defective vehicles already in Canada (or cannot hire a consulting firm to issue the “notice of defect”), CBSA will be notified to deny entry.  Storage costs and the costs to return shipments to their point of origin will have to be borne by the importer.

B.  Importing Vehicles from a Foreign Country – with Pre-clearance

i.  The purpose of Transport Canada’s Pre-clearance Program is to facilitate importation by conveying shipments through Customs with minimal inspection and scrutiny. Pre-clearance was originally set up for the major automobile companies. Pre-clearance constitutes an agreement, not stipulated by law, between a foreign manufacturer, a Canadian commercial importer and Transport Canada. Pre-clearance is for manufacturers with engineering capability and for professional importers that pose a low risk of compliance problems. These are liability-conscious companies, which, in the opinion of Transport Canada (TC), can take corrective measures, and have the obvious ability to issue a “notice of defect” (recall) to customers, if a safety defect is found in the vehicles after they are imported.

To be eligible for pre-clearance, both the manufacturer and importer must demonstrate that they are able to ensure that the imported vehicles will consistently comply with the applicable requirements under the Motor Vehicle Safety Act (Canada) and regulations. TC has a systematic procedure to evaluate the ability of companies to qualify for pre-clearance. If you are a commercial motor vehicle importer with engineering capability, and you wish to import vehicles through the Transport Canada Pre-clearance Program from a foreign manufacturer that has the ability to manufacture Canadian compliant vehicles, please download the application forms and guidelines available on the Transport Canada web site. 

• Pre-clearance Program Application Form (# 13-0141)  (PDF format, 48 Kb)
  http://www.tc.gc.ca/forms/form.asp?no=13-0141&lang=en
• Foreign Manufacturer Registration Form (# 13-0160)  (PDF format, 45 Kb)

http://www.tc.gc.ca/forms/form.asp?no=13-0160&lang=en

To view PDF documents you must use Adobe® Acrobat Reader. Visit the Adobe site to download the latest, free version.

If you need an alternative format or for more information, please contact us by e-mail at RoadSafetyWebMail@tc.gc.ca or call toll free 1-800-333-0371 (Ottawa area (613) 998-8616).

Complete the forms and mail them, along with the required information, to:

Compliance Verification Officer
Road Safety and Motor Vehicle Regulation
Transport Canada
330 Sparks Street
Ottawa ON K1A 0N5
Canada

ii.  The application for pre-clearance will be treated as follows:

1.  Stage 1 – Registration

This first step only requires the completed forms and a few very basic documents, stipulated in the guidelines, to establish that you are a registered company with a legitimate engineering connection to your foreign manufacturer. It will also include the engineering contact information at the foreign manufacturing plant. (To keep files up to date, TC requires this step to be repeated every time an application is submitted, or re-submitted, or when an importer adds new models to an existing pre-clearance partnership). Please allow two to three weeks for processing your Stage 1 application.

2.  Stage 2 – File # Issuance

If your application is acceptable according to the guidelines, you will receive a letter, which will include a file number for status inquiries.. This file number only means that TC has opened a file on your company.

If your application is not complete, according to the guidelines, or if it contains unsolicited information, it will be returned to you with a letter stating the reasons for its return. When re-applying, the complete application must be submitted – not just the missing information.

3.  Stage 3 – Proof of Certification from the Foreign Manufacturer

The next step in the process, simultaneous with Stage 2, will be TC’s written request to your engineering contact at the foreign manufacturing plant to submit certification information, directly from the manufacturer, to determine the manufacturer’s ability to comply with the Act and regulations, and to determine the manufacturer’s intent to build vehicles for Canada on its own initiative. If test records are required, TC will ask the manufacturer for test documents at this stage.

If the manufacturer does not reply within 30 days, TC will send one last letter. If the manufacturer replies but the certification documents are not according to the guidelines, and paragraph 5(1)(g) of the Act, TC will return the documents with a letter notifying the manufacturer that it will not receive pre-clearance. If the manufacturer was previously on the pre-clearance list, TC will send notification that it will be removed from the list after 30 days. This letter will be copied to the importer(s).

If the foreign manufacturer cannot be found, TC will notify the importers. Any contact and address correction will have to be re-submitted in a new application at Stage 1 by mail.

4.  Stage 4 – Placement on the Pre-clearance List

After your manufacturer submits the requested information, and it is acceptable as stipulated in paragraph 5(1)(g) of the Act, TC will place or retain both the importer and the manufacturer on the list of “recognized importers and manufacturers” on its web site, for CBSA to clear the vehicles at their discretion.

5.  Stage 5 – Telephone Interview

If TC still has reservations about the information submitted in Stages 1 to 4, TC may telephone the engineering contact at the manufacturing plant to further verify the company’s in-house ability to build Canadian certified vehicles, or to verify the authenticity of the documents submitted.

iii.  At any stage

If the forms and the requested information are not submitted according to the guidelines, the application will be returned. If the application contains unsolicited information, such as photographs in Stage 1, the application will be returned. When applications are returned, TC’s letter will state the reasons for the return. In order to save time, if an application is incomprehensible, the documents will just be returned along with the copies of the pre-clearance guidelines, with the pertinent sections in the guidelines highlighted.

C.  Do not apply:

1. If your foreign manufacturer’s name and address do not coincide with the WMI registered with SAE.
2. If you do not have a solid technical relationship with the foreign manufacturer.
3. If you are not entirely familiar with the “notice of defect” procedure.
4. If you cannot correspond in writing, by mail, on company letterhead.
5. If you are tutoring a foreign manufacturer who cannot comply on its own.
6. If the foreign manufacturer cannot conduct testing on its own initiative.
7. If you are dealing with random manufacturers.
8. If you are not dealing directly with the foreign manufacturer.

D.  Competition Vehicles

If your vehicle is a "competition vehicle", as defined in the regulations, you must obtain a letter directly from the manufacturer, stating that the vehicle was designed exclusively for competition use, listing the design characteristics of the vehicle that exclude it from normal use, and listing the race sanctioning body it was designed for. If you are not on the pre-clearance system, you may submit the letter to TC prior to shipment, along with photos of the vehicles (or a web site address that has clear photos of the vehicles in question). This same information can be supplied in a Stage 1 application, if the competition vehicles are to be pre-cleared in a shipment along with other vehicles. When TC is satisfied, using the letter and photographs, that the vehicles are in fact "competition vehicles", the vehicles will not need further compliance, such as a bilingual label, since true competition vehicles are not regulated. Stand-alone shipments of competition vehicles are not processed through the pre-clearance program.

E.  Important notes:

1. Due to the volume of applications at this time, TC can only accept applications and related correspondence by mail. The processing system is not equipped to handle e-mails and telephone calls. Telephone calls and e-mails may delay or stifle the processing of your application. After a file number is issued in Stage 2, you may quote that file number to request your application status. In most cases, for serious applications, TC uses courier delivery services. 
    
2. Where photographs are required please submit photographs that clearly show the areas of concern, such as lamps and labels, from all required angles.
    
3. Applications must be submitted exactly according to the guidelines. Please submit only those documents asked for. All other applications will be returned.
    
4. If you do not understand any part of the forms or guidelines, please write to the address above.
    
5. ATVs and RUMS with after-thought compliance, such as poorly affixed labels and attached lamps that are not inherent to the vehicle design will not be acceptable for pre-clearance.
    
6. Under sections 5 and 17 of the Act, it is a federal offence to import non-compliant vehicles into Canada. The responsibility for compliance lies entirely with the Canadian importer. For the Act and regulations see:
   http://www.tc.gc.ca/acts-regulations/GENERAL/M/mvsa/menu.htm.
    
7. The Minister of Transport does not have the discretionary decision making power to waive a company’s responsibility to comply with the Act.
    
8. When the original application and subsequent submissions are complete and in accordance with the guidelines and paragraph 5(1)(g) of the Act, and when the importer and foreign manufacturer have an open line of communication between their engineering staff, the entire application process, from start to finish, can be completed in approximately two to three weeks.