On October 21, 2021 the Canada Border Services Agency (CBSA) published their preliminary determination under the Special Import Measures Act (SIMA) that dumping and subsidizing of certain container chassis exported from or originating in China is likely causing injury to Canadian Industry. As such provisional duties will now be payable on these container chassis.

Please see the CBSA Notice of initiation of investigations and Notice of preliminary determinations for complete details. Following is a recap of the products for which provisional duties will now be payable:

Affected Commodities:

The container chassis that are being investigated are defined as: 

"Container chassis and container chassis frames, whether finished or unfinished, assembled or unassembled, regardless of the number of axles, for the carriage of containers, or other payloads (including self‑supporting payloads) for road, marine roll‑on/roll‑off and/or rail transport, and certain subassemblies of container chassis originating in or exported from the People’s Republic of China. 

The subject goods include the following complete or substantially complete major subassemblies, when imported, purchased or supplied with, or for assembly with, subject container chassis frames:

1. Running gear assemblies for connection to the container chassis frame, whether fixed in nature or capable of sliding fore and aft or lifting up and lowering down, which may include suspension(s), wheel end components, slack adjusters, axles, brake chambers, locking pins, tires and wheels
2. Landing gear assemblies, for connection to the container chassis frame, capable of supporting the container chassis when it is not engaged to a tractor and
3. Connection assemblies that connect to the container chassis frame or a section of the container chassis frame, such as B‑trains and A‑trains, capable of connecting a container chassis to a converter dolly or another container chassis"

The HS tariff classification number these chassis are typically imported under is: 8716.39.30.90

However, CBSA notes the container chassis may also be classified under the following tariff classification numbers:

• 8706.00.90.90
• 8716.39.90.90
• 8716.40.00.00
• 8716.80.20.90
• 8716.90.30.00
• 8716.90.99.10
• 8716.90.99.90
  

Provisional Anti-Dumping and Countervailing Duties are payable.

Subject container chassis, made in or exported from China, will be charged the above listed additional duties at the above listed rates.

If the goods you import do not meet the definition of a subject good and therefore are excluded, please include on your commercial invoices the statement “Not Subject to SIMA CC2020IN.”‍

How SIMA Is Calculated:

These SIMA duties are calculated as an additional percentage payable on the value for duty of the goods at time of importation. For example an import of a subject container chassis from China valued at $12000.00 CAD: 151.8%  x $12000.00 CAD =  $18216.00 SIMA duties payable in addition to any other duties and taxes.  ‍

Provisional duties are temporary and are intended to protect Canadian producers until the Canadian International Trade Tribunal (CITT) makes its final injury decision. If the determination is that no injury is made then provisional duties will be refunded.

If the determination is that dumping and/or subsidizing is causing injury to Canadian industry then SIMA anti-dumping and/or countervailing duties will be finalized for imported subject goods.

As a valued client of PCB Customs Brokers, we will keep a close eye on this investigation and inform you of all updates.

Please reach out to your account manager with any questions you have about this new investigation at any time by emailing compliance@pcb.ca or calling 604-538-1566. We are here for you always.