Country of Melt and Pour – FAQs for Steel Imports
Trade Update • May 7, 2024
Beginning November 5th, 2024, steel importers will be required to report “Country of Melt and Pour (COM)” information to the Canada Border Services Agency when completing their customs declarations under Canada’s Steel Import Monitoring Program.
Global Affairs Canada (GAC) requirement to provide the country of melt and pour (COM) information on imports of steel products fall under General Import Permits (GIP) 80 & 81.
FAQs
GAC has now provided an FAQ on the new requirements to assist importers with the understanding and gathering of this information.
What is country of melt and pour?
Generally, country of melt and pour (COM) is the original location where raw steel is first produced in a steel-making furnace in a liquid state and then poured into its first solid shape. The COM may be different from the country of origin and this information is usually available on a mill test certificate.
Why is Canada collecting and publishing country of melt and pour data?
The collection and publication of country of melt and pour (COM) data is a part of the Government of Canada’s ongoing commitment to increase transparency in the domestic supply chain for steel imports and to provide a more comprehensive picture of the origins of imported steel goods. In addition, in May 2019, Canada and the United States released a Joint Statement on Section 232 Duties on Steel and Aluminum. The Joint Statement noted that the United States and Canada would establish an agreed-upon process for monitoring aluminum and steel trade between them and that in monitoring for surges, either country may treat products made with steel that is melted and poured in North America separately from products that are not.
What informed Canada’s approach to country of melt and pour collection?
The approach for the collection and future publication of country of melt and pour (COM) data was informed through public consultations held in spring of 2022. Stakeholders provided feedback regarding the use and value of COM information, the definition of COM, the method to collect the information, and the overall impact of collecting and publishing the information for importers and the public.
How will country of melt and pour information be used?
Following the implementation of the collection of country of melt and pour (COM) information, the data will be analyzed and subsequently, public reports containing aggregate data on COM will be published on the Steel import monitoring reports webpage to increase transparency in the steel supply chain and enable industry to track possible trends in real time.
What does it mean that the provision of country of melt and pour data is “optional”?
During the first “optional” phase, beginning February 21, 2024, the provision of country of melt and pour (COM) information is not a requirement to import steel into Canada and importers may choose to provide COM information for their steel imports. The second phase, beginning November 5, 2024, will follow forthcoming regulatory changes and will require steel importers to report this data using the Single Window Integrated Import Declaration to the Canada Border Services Agency for applicable steel imports as a condition of using the General Import Permits No. 80 and 81.
What is the Single Window Integrated Import Declaration?
The Canada Border Services Agency’s Single Window Integrated Import Declaration (SW IID) is a release option available to Trade Chain Partners and enables importers and customs brokers to electronically submit their import declarations prior to the arrival of their goods at the Canadian border. This service simplifies the process and reduces the paper burden and cost of doing business. Country of melt and pour information can only be provided by using the SW IID.
Will any changes or adjustments be required by importers?
The Canada Border Services Agency (CBSA) has added a field to its Single Window Integrated Import Declaration (SW IID) to collect country of melt and pour (COM) information, similar to the field used to provide country of origin data. Specific technical details and requirements related to the COM field are being outlined in direct communications from the CBSA to Trade Chain Partners.
Following regulatory changes, beginning November 5, 2024, importers will have to provide COM information through the SW IID. In addition, importers will have to retain and provide, upon request, a mill test certificate or other documentation confirming COM information for any applicable steel transaction to Global Affairs Canada as part of the terms and conditions of the relevant General Import Permit.
Will there be an opportunity to provide further input on the collection and publication of country of melt and pour information?
Yes, stakeholders and interested parties will have an opportunity to provide input on the draft regulations when they are published in Part I of the Canada Gazette in the coming months.
Quick Facts
In 2022, the Canadian steel industry employed nearly 23,600 workers and contributed over $4.5 billion to Canada’s gross domestic product.
- The Steel Import Monitoring Program supports the timely publication of data on the type, quantity, origin and value of steel imports and is a source of preliminary information to track possible trends in real time. In 2023, more than 373,000 steel import transactions were monitored under the Program.
- The Government of Canada is implementing its phased-in approach to collecting country of melt and pour information following public consultations with steel industry stakeholders in 2022. In the coming months, stakeholders will have a further opportunity to provide input on related upcoming regulatory changes.
- Currently, the United States is the only other country in the world that collects country of melt and pour information for steel imports.
For questions or concerns on reporting compliance for your imports, please contact us.
Subscribe!