Finance Minister Jim Flaherty is eliminating another $32 million in annual tariffs on some of the goods used in Canadian manufacturing.
OTTAWA—Finance Minister Jim Flaherty is eliminating another $32 million in annual tariffs on some of the goods used in Canadian manufacturing.
The move means Canadian manufacturers will no longer have to pay customs duties to import key inputs used in food processing, furniture and transportation equipment.
Sunday’s announcement looks like a promised continuation of the government’s 2010 commitment to make Canada a tariff-free zone for industrial manufacturers, and is part of Ottawa’s grand plan to foster job growth.
In 2010 the government eliminated tariffs on industrial inputs and machinery more than 1,500 items delivering cost savings of over $400 million per year.
Jean-Michel Laurin, the vice-president of global business policy at Canadian Manufacturers and Exporters, said the Ottawa-based industry group worked closely with the government to ensure the elimination was ambitious and include phase outs for more ‘sensitive’ items.
He says the list of 70 products that will soon be tariff-free is the result of long consultations with business.
The list includes apple juice concentrate and other mixtures used to make drinks, hardware for furniture, parts used to make trailers and transport equipment, gelatin capsules for pharmaceuticals, and conveyor belts.
Since 2009, the government says it has eliminated tariffs on 1,800 products, saving business $435 million a year.