GHY Tradelines

An updated list of recently published government memorandums, notices, regulations and decisions for the week ending April 5, 2011 is now available on our website here.
 

(ifw – Mike Wackett)

Shipping lines are hitting shippers with a succession of price rises in a bid to return to profit

Ocean carriers are going for the burn, hitting shippers with wave after wave of general rate increases in an endeavour to return their businesses to break-even and better.

They are making the moves ahead of any further downturns in demand in the main tradelanes and the wave of newbuild behemoth boxships due for delivery during the year. Read more here.
 

(Matthew Perrone — Bloomberg Businessweek )

Food and drug regulators in the U.S., Europe and other developed countries should offer training, technology and expertise to developing nations in Asia, Latin America and other regions to better assure the safety of imported products, states a new report.

An expert panel assembled by the Institute of Medicine recommends the U.S. Food and Drug Administration work with counterparts throughout the world to secure supply chains for imported food and drugs, which increasingly cross borders. More than 80% of pharmaceutical ingredients are imported from abroad, as well as 85% of the seafood consumed in the U.S., according to federal figures.

“The integrated global economy demands cooperation across borders – to thwart terrorists, reduce environmental hazards, and ensure that our food and medical products are safe and effective,” states the 300-page report released Wednesday. Read more here.
 

(STR Trade Report)

Trade ministers of the U.S., Mexico and Canada met in Washington, D.C., April 3 for the annual session of the NAFTA Free Trade Commission. A joint statement issued at the conclusion of that meeting indicates that while the ministers discussed numerous items of interest only a few specific results were achieved. One is the finalization of a fourth set of changes to the NAFTA rules of origin on goods worth a combined $135 billion in trilateral trade and an agreement to commence work on a fifth set of changes.

The trade ministers also agreed to release a document answering basic questions about the NAFTA certificate of origin, which has already been posted on the Office of the U.S. Trade Representative’s Web site.

Other measures announced include an exploration of work to enhance trade in chemicals, including on rules of origin, customs procedures and classification, and the exchange of information on trade flows and cross-border supply chains for used electronics within North America.
 

(Statistics Canada)

In 2011, Canada’s international merchandise trade experienced a second consecutive year of gains, following the large decrease recorded in 2009, bringing Canada’s total trade – exports and imports combined – within 2.0% of the record levels posted in 2008. Canada’s reliance on the United States as a trading partner continued to decline, as Asia and Europe gained further ground.

Canada’s exports totalled $457.6 billion in 2011, an increase of 13.0% from 2010, as prices rose 8.6%. Imports increased 10.3% from 2010 to $456.4 billion, mainly on the strength of volumes, which were up 8.3%.

Canada’s trade balance went from a deficit of $9.0 billion in 2010 to a surplus of $1.2 billion in 2011, marking Canada’s first annual trade surplus since 2008.

China and the United Kingdom’s share of exports increase
Export levels to the United States in 2011 were just below those recorded a decade earlier, while exports to the United Kingdom and China grew more than four-fold from 2002 to 2011. As a result, the share of exports to the United States has declined whereas the respective shares of exports to the United Kingdom and China have more than tripled.

Exports to the United States increased to $330.1 billion in 2011, up 10.4% from 2010. Gains were led by crude petroleum exports, which rose 32.3% to a record $68.4 billion. The United States accounted for 73.7% of total exports in 2011, down from 87.1% in 2002.

Exports to the United Kingdom increased 14.8% in 2011 to a record high of $18.8 billion. Precious metals and alloys, which represented over 60% of Canadian exports to the United Kingdom in 2011, led the gains.

Exports to China amounted to $16.8 billion, up 26.9% from 2010. Exports of iron ores and concentrates recorded the largest gains. Wood pulp and similar pulp remained the top export for a second consecutive year.

United States now accounts for less than half of total imports
Between 2002 and 2011, the share of goods imported from the United States declined from 62.6% to 49.5%. In contrast, China’s share of imports has shown the largest gains, increasing from 4.6% in 2002 to 10.8% in 2011.

The value of imports from the United States increased 8.6% from 2010 to $220.8 billion. Gains were led by imports of fuel oils, and other petroleum and coal products, both reaching record highs.

China remained Canada’s second-largest source of imports for the 10th consecutive year. Imports from China amounted to $48.2 billion in 2011, an 8.1% increase from 2010. Electronic computers and other telecommunications and related equipment, including cellular telephones, have driven the growth of imports from China over the past decade.

Mexico remained the third-largest source of imports for the Canadian market in 2011, at $24.6 billion, up 11.1% from 2010. Automotive products, mainly motor vehicle parts, except engines, led the rise.
 

(CBSA)

The Canada Border Services Agency (CBSA) has extended the investigations with respect to the alleged injurious dumping and subsidizing of potassium silicate, (also known as silicic acid, potassium salt; potassium water glass; potash water glass; potassium silicate glass), of all grades and ratios in a soluble solid including chunks, flakes or powder forms originating in or exported from the Islamic Republic of Pakistan.

Pursuant to paragraph 39(1)(a) of the Special Import Measures Act, the President of the CBSA extended the 90-day period for making a preliminary decisions, pertaining to all or part of the investigations, to 135 days, due to the complexity and novelty of the issues presented by the investigations.

Consequently, the decisions to issue the preliminary determinations or to terminate all or part of the investigations will be made on or before May 22, 2012.

Contacts:  Benjamin Walker 613-946-2052 / Simon Duval 613-948-6464