On July 1, 2020, the Office of the United States Trade Representative (USTR) published in the Federal Register a notice that implements the USMCA tariff rate quota (TRQ) for imports of sugar containing products (SCPs) from Canada. The TRQ for SCPs will be administered using export certificates.
The Schedule of the United States to Annex 2–B of the USMCA establishes a TRQ for imports of SCPs from Canada, as set forth in paragraph 15 of Appendix 2. Canada has notified the Office of the USTR that it intends to require export certificates for the exportation of SCPs under the TRQ for these products. The United States will administer the TRQ for SCPs through a certificate system substantially similar to that described in 15 CFR 2015.3. Beginning July 1, 2020, and in any subsequent calendar year unless USTR issues a determination that export certificates will not be required for that year, consistent with 15 CFR 2015.3, no SCP that is the product of Canada will be permitted entry under the in-quota tariff rate established for imports of SCPs from Canada, unless at the time of entry the person entering the SCP makes a declaration to US Customs and Border Protection (CBP) in the form and manner prescribed by CBP, that a valid export certificate is in effect for the SCP. The Government of Canada will issue the export certificates. A certificate that meets the requirements of 15 CFR 2015.3(b), will authorize entry into the United States, subject to the applicable in-quota quantity, at the in-quota tariff-rate established under the USMCA.
In a related notice, also published in the Federal Register on July 1, 2020,USTR has increased the quota quantity of the tariff-rate quota (TRQ) for imported refined sugar from Canada as provided for in the USMCA. USTR is providing notice that the in-quota quantity of the USMCA TRQ for imported refined sugar from Canada for calendar year 2020 is increased by 36,287 metric tons raw value (MTRV), which may be supplied on a first-come, first-served basis. Refined sugar imported from Canada pursuant to this notice may be made from non-originating raw sugar. Only refined sugar with a sucrose content, by weight in the dry state, corresponding to a reading of 99.5 degrees polarity or more will be permitted. No certificate for quota eligibility is required for sugar entering under this additional in-quota quantity
