Procurement, particularly from international sources, is a critical step in any joint venture project. Procurement professionals must be more aware of the impact of import tariffs in assessing the costs of their projects and project returns on investment.
Tariffs have become an increasing focal point of costing and project viability as Canada and its trading partners engage in free trade treaties and face off in international trade disputes relating to:(i) impairment of national security (s 232) and Canadian countermeasure surtaxes;
(ii) safeguard actions (several categories of steel products) in the form of surtaxes/quotas/tariff rate quotas;
(iii) trade remedies (to counter the effects of dumping and subsidization) in the form of special import duties;
(iv) USMCA (NAFTA 2.0) outcomes; and
(v) CPTPP implementation.