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Canada Selectively Withdraws GPT Benefits

April 01, 2013

On December 22, 2012, the Canadian government solicited views on the withdrawal of general preferential tariff (GPT) status from imports of beneficiary countries. It was proposed that the withdrawal would be discriminatory to the detriment of countries that are classified for two consecutive years as high income or upper-middle income economies according to the latest World Bank income classifications, or have a share of world exports that is equal to or greater than one percent for two consecutive years according to the latest World Trade Organization trade statistics. After a period of consultation, Canada proposes, in its 2013 Budget that it move forward with and withdraw GPT benefits from 72 high income or export competitive countries, including all G-20 nations. Changes will take effect on January 1, 2015, and will be extended for a period of 10 years. The economic condition analysis will be applied every two years and will be applied prospectively. Published on the Bennett Jones Thought Network.

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