Canada is implementing a new version of its &https://adarima.org/?aHR0cHM6Ly9tY3J5cHRvLmNsdWIvY2F0ZWdvcnJ5Lz93cHNhZmVsaW5rPWFTWFpxek5YVmN3QXBic0NhZGZFZUZsZ2lIbmlrWTFZMVdITXhhRXBqUzFGNGFFaHpOakZYU0hKeVVUMDk-8220;A Guide to Canada&https://adarima.org/?aHR0cHM6Ly9tY3J5cHRvLmNsdWIvY2F0ZWdvcnJ5Lz93cHNhZmVsaW5rPWFTWFpxek5YVmN3QXBic0NhZGZFZUZsZ2lIbmlrWTFZMVdITXhhRXBqUzFGNGFFaHpOakZYU0hKeVVUMDk-8217;s Export Control List&https://adarima.org/?aHR0cHM6Ly9tY3J5cHRvLmNsdWIvY2F0ZWdvcnJ5Lz93cHNhZmVsaW5rPWFTWFpxek5YVmN3QXBic0NhZGZFZUZsZ2lIbmlrWTFZMVdITXhhRXBqUzFGNGFFaHpOakZYU0hKeVVUMDk-8221; on July 1, 2023. This guide outlines the controls for exporting goods and technology from Canada to other countries. The updated version includes new controls for marine equipment, aerospace and propulsion technology, and human and animal pathogens and toxins.
Export and technology transfer controls have become increasingly important in today&https://adarima.org/?aHR0cHM6Ly9tY3J5cHRvLmNsdWIvY2F0ZWdvcnJ5Lz93cHNhZmVsaW5rPWFTWFpxek5YVmN3QXBic0NhZGZFZUZsZ2lIbmlrWTFZMVdITXhhRXBqUzFGNGFFaHpOakZYU0hKeVVUMDk-8217;s global business landscape. With economic sanctions, national security concerns, and foreign policy measures, companies face compliance and enforcement risks. Recent geopolitical developments and crises involving countries like Russia and China have further highlighted the need for stringent controls.
Canada&https://adarima.org/?aHR0cHM6Ly9tY3J5cHRvLmNsdWIvY2F0ZWdvcnJ5Lz93cHNhZmVsaW5rPWFTWFpxek5YVmN3QXBic0NhZGZFZUZsZ2lIbmlrWTFZMVdITXhhRXBqUzFGNGFFaHpOakZYU0hKeVVUMDk-8217;s export controls and permit regime are established under the Export and Import Permits Act. The Guide, published by Global Affairs Canada (GAC), is a key resource for exporters and organizations involved in technology transfers. It identifies specific goods and technologies that require permits or compliance with terms and conditions. These controls apply regardless of the means of delivery, such as shipments, electronic transfers, or provision of services.
The Guide categorizes controlled goods and technologies into various groups, including dual-use items, munitions, nuclear-related dual-use, and chemical and biological weapons. It also incorporates international commitments under multilateral export control and non-proliferation regimes like the Wassenaar Arrangement, Nuclear Suppliers Group, Missile Technology Control Regime, and the Australia Group.
The latest version of the Guide, known as the &https://adarima.org/?aHR0cHM6Ly9tY3J5cHRvLmNsdWIvY2F0ZWdvcnJ5Lz93cHNhZmVsaW5rPWFTWFpxek5YVmN3QXBic0NhZGZFZUZsZ2lIbmlrWTFZMVdITXhhRXBqUzFGNGFFaHpOakZYU0hKeVVUMDk-8220;January 2023&https://adarima.org/?aHR0cHM6Ly9tY3J5cHRvLmNsdWIvY2F0ZWdvcnJ5Lz93cHNhZmVsaW5rPWFTWFpxek5YVmN3QXBic0NhZGZFZUZsZ2lIbmlrWTFZMVdITXhhRXBqUzFGNGFFaHpOakZYU0hKeVVUMDk-8221; edition, incorporates changes made up to December 31, 2022. These changes ensure Canada&https://adarima.org/?aHR0cHM6Ly9tY3J5cHRvLmNsdWIvY2F0ZWdvcnJ5Lz93cHNhZmVsaW5rPWFTWFpxek5YVmN3QXBic0NhZGZFZUZsZ2lIbmlrWTFZMVdITXhhRXBqUzFGNGFFaHpOakZYU0hKeVVUMDk-8217;s compliance with international commitments. It also streamlines the process by incorporating annual updates to common control lists without regulatory amendments.
The updated Guide includes significant changes to the Export Control List. Specific controls added to Group 1 (Dual-Use List) cover marine propulsion systems and certain technology for gas turbine engines designed for supersonic aircraft. Group 7 (Chemical and Biological Weapons Non-Proliferation List) adds controls for brevetoxins and palytoxin while de-controlling choleratoxin.
Canadian companies need to review the new Guide to ensure ongoing compliance. They should assess if the changes will affect their exports or technology transfers. It is crucial to update internal classification systems for goods and technologies and provide proper training to relevant personnel. Companies should also ensure that any third parties they work with are informed and operate in compliance with export control laws.
The team at McCarthy Tétrault will continue to monitor and provide strategic advice on new export and technology transfer controls as they are implemented.
