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Canada applied a 10 per cent import tax on imports of canned vegetables to protect domestic growers and food processors, the Department of Finance said in a statement Friday.
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The so-called “safeguard measure” applies immediately from June 19 for a maximum of 200 days, and follows a probe started earlier this year into “trade diversion.”
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World Trade Organization rules allow import taxes if increased imports threaten serious injury to domestic producers, the statement said. The tariff will not apply to the United States, Mexico, Israel, Chile or developing countries, to comply with Canada’s international trade obligations, the statement added.
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Such safeguards are historically “fairly unusual” but other, similar inquiries may happen given global commercial volatility, McCarthy Tetrault LLP trade lawyer Gajan Sathananthan told Bloomberg in April.
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Other countries have also imposed restrictions on vegetable imports recently — for instance, in February the European Union placed large anti-dumping duties on Chinese sweetcorn, which it said was typically sold in cans.
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