Top 5 Customs Regulations for in 2014

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Customs Regulations 2014

The top 5 Customs regulations to look out for in 2014

 

As a business relying on imports, it is very important to stay on top of ever-changing customs regulations. Whether these changes are foreign or domestic, it is important to understand them and ensure your compliance.  While complying with trade regulation may seem like a chore, it can only better your business and positively influence your decision making.  The following are the top 5 Customs & trade regulations to look out for in 2014.

 

1. Comprehensive Economic and Trade Agreement

In October of last year, Canada and the EU announced a tentative agreement that would dramatically increase trade between the two parties. The goal of this agreement is to reduce or remove trade barriers all together wherever possible. It covers a wide range of issues including foreign investment and regulatory cooperation. Much more work will be done on this trade agreement over the next year and will be a major influence on shaping international trade. 

 

2. Trans-Pacific Partnership

The TPP is a trade agreement between 11 counties including New Zealand, Singapore, Malaysia, and most recently, Canada. Becoming a part of the TPP will allow Canada to strengthen its trade ties in Asia-Pacific as well as develop an initiative to drive regional economic integration and cooperation .

 

3. ACI eManifest for Highway Carriers

eManifest is a major advancement for cross-border processes. eManifest will require carriers and freight forwarders in all modes of transportation (air, ocean, highway and rail) to electronically transmit advance commercial information to the Canada Border Services Agency. the CBSA will be providing 45 days advance notice of any eManifest mandatory compliance but it is recommended carriers begin doing so as soon as possible.

 

4. General Preferential tariff (GPT)

The Canadian government has completed and in depth review of the countries GPT regime in order to keep in line with modern developments in today’s geopolitical and economic landscape and to ensure that developmental assistance matches Canada’s policy and objectives. Under Canada’s GPT withdrawal order, 72 of the 175 beneficiaries will loose their GPT status due to a raise in competitiveness and average incomes. Those countries loosing the PGT designation will now fall under “most-favored nation” or MFN with a higher rate of duty. 

 

5. Chinese VAT Tax Removal

In the summer of 2013, the Chinese government introduced a Value Added Tax to any logistical activity within China. In response, Carriers began to charge clients an added 6% of freight rates in order to make up the difference. By December 2013, the Chinese Minister of Finance and the State Administration of Taxation withdrew their requirement to pay VAT on international shipping income. Great news for Canadian importers who had seen a 6% increase in transport cost over the past year. 

 

 

 

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