Protective Measures for Canadian Products Against Unfair Foreign Competition

The Canada Border Services Agency (CBSA) and the Canadian International Trade Tribunal (CITT) are jointly responsible for administering the Special Import Measures Act (SIMA) which has been put in place to protect Canadian industry from injury caused by the dumping or subsidizing of imported goods.

Eligibility Criteria

Canadian producers are protected from unfair trade under SIMA, and can lodge complaints where the dumped or subsidized goods are harming the production of like goods manufactured by Canadian producers. Trade associations can lodge a complaint on behalf of their members.

Summary

The Special Import Measures Act (SIMA) protects Canadian manufacturers and producers from two sources of unfair foreign competition:

• dumping - dumped goods are goods sold to importers in Canada at prices lower than their selling price in the exporter's domestic market, or at prices lower than their full cost. When dumped exports have caused injury to Canadian production, the amount or margin of dumping may be offset by the imposition of anti-dumping duty;
• subsidizing - subsidized goods are goods that get financial or commercial benefits from a foreign government that lower the price of the goods exported to Canada. When imports are unfairly subsidized by foreign governments, this subsidy can be offset by the levying of countervailing duty.

What if damage from unfair competition has not yet occurred?

If you believe that the dumping or subsidizing of imported goods threatens to cause material injury to your industry, you may lodge a complaint with the CBSA. Trade associations may also lodge a complaint on behalf of their members.

How does NAFTA affect SIMA?

Canada's right to apply this legislation against imports from the United States and Mexico is not restricted by NAFTA.

Regulations

The Special Import Measures Regulations govern adjustments to normal value and export price, the determination of the amount of subsidy, dispute settlement respecting goods of a NAFTA country, as well as general provisions.

Additional Information

For more information, contact:

Policy Unit
Operational Policy Division
Anti-dumping and Countervailing Directorate
Canada Border Services Agency
Ottawa, Ontario K1A 0L5
Telephone: (613) 954-7177

E-mail: sima.lmsi@cbsa-asfc.gc.ca

Quebec Contact(s):
See National Contact.

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National Contact(s):
Border Information Service - BIS
Canada Border Services Agency
Telephone: 204-983-3500 or 506-636-5064
Toll-free (information): 1-800-461-9999
Web site: http://www.cbsa.gc.ca/menu-eng.html