Vehicles for Export to the European Union and its Member States - Serial No. 1004

Date: September 2, 2020

This Notice replaces Notice to Exporters No. 211 dated September 1, 2017 and sets out the policies and practices pertaining to the administration of vehicles for export to the European Union (EU) and its member states under the Comprehensive Economic and Trade Agreement (CETA).

This Notice is provided pursuant to the authority of the Export and Import Permits Act (EIPA) and its corresponding regulations, and remains in effect until further notice.

Definitions
Allocation policy
Eligibility criteria
Calculation of allocations
Return of Allocations
Related links

Definitions

EU Market Export Program means a four-year forecast of quota needs endorsed by a senior company official, such as a CEO.

Vehicles means a product that is included in item 5210 on the Export Control List (ECL), namely, vehicles that originate in Canada and comply with the product description and sufficient production criteria referred to in Table D.1 of Annex 5-A to Annex 5 of the Protocol on Rules of Origin and Origin Procedures of CETA for export to an EU country or other CETA beneficiary.

See the list of EIPA commodity codes for Vehicles.

Allocation policy

To be eligible, you must be a manufacturer of light passenger Vehicles at the time of application, and must remain a manufacturer during the quota year.
You may apply for an allocation under both Pool 1 and Pool 2.
You may apply for an allocation under Pool 1 only in 2020.
You may apply for additional quantities under Pool 2 by demonstrating that you have exhausted, or are close to exhausting, your total initial allocation under both Pool 1 and Pool 2.
The allocation policy will be reviewed in the 2024 calendar year.

Eligibility criteria

You are eligible for an allocation if you are a:

Resident of Canada
- your head office is in Canada or you operate a branch office in Canada.
Manufacturer of light passenger Vehicles
- that manufactures light passenger Vehicles of the type eligible to benefit from the CETA origin quota for Vehicles, either on a manufactured or purchased chassis, in an establishment in Canada.

Calculation of allocations

Pool 1:

50% is allocated on an equal share basis.

Pool 2:

50% is allocated to those with an EU Market Export Program on the basis of forecasts, and if forecasts total more than the access quantity, 50% is allocated proportionally on the basis of forecasts.

Return of Allocations

You may return any portion of your allocation to the Department in writing by the prescribed return date.
- Note: Returned quantities will normally be made available to those in Pool 2 on a first-come, first-served basis.

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