Agreement on Internal Trade

Chapter Eighteen - Final Provisions

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Agreement on Internal Trade
September 1994

Page Index

  1. Article 1800: Trade Enhancement Arrangements
  2. Article 1801: Regional Economic Development
  3. Article 1802: Aboriginal Peoples
  4. Article 1803: Culture
  5. Article 1804: National Security
  6. Article 1805: Taxation
  7. Article 1806: Financial Sector
  8. Article 1807: Measures Subject to Transitional Provisions
  9. Article 1808: Non-Conforming Measures
  10. Article 1809: Relationship to International Agreements
  11. Article 1810: Future Negotiations
  12. Article 1811: Accession and Withdrawal
  13. Article 1812: Language
  14. Article 1813: Rules of Interpretation
  15. Article 1814: Entry Into Force
  16. Annex 1801.6A: Obligations to Eliminate, Phase Out or Liberalize to Which Article 1801(2) Does Not Apply
  17. Annex 1801.6B: Chapters to which Article 1801(2) does not Apply
  18. Annex 1801.7: Specific Regional Economic Development Exceptions
  19. Annex 1810.3: Definitions Part I
  20. Annex 1810.3: Definitions Part Il
  21. Annex 1813: Rules of Interpretation
  22. Annex 1814.2: Provisions Entering into Force on Date of Execution

Article 1800: Trade Enhancement Arrangements

  1. The Parties recognize that it is appropriate to enter into bilateral or multilateral arrangements in order to enhance trade and mobility.
  2. This Agreement shall not prevent the maintenance or formation of a trade enhancement arrangement where:
    1. the arrangement liberalizes trade beyond the level required by this Agreement;
    2. there is full disclosure of the details of the arrangement to all other Parties at least 60 days prior to its implementation; and
    3. the signatories to the arrangement are prepared to extend the arrangement within a reasonable time to all other Parties willing to accept the terms of the arrangement.

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Article 1801: Regional Economic Development

  1. The Parties recognize that measures adopted or maintained by the Federal Government or any other Party that are part of a general framework of regional economic development can play an important role in encouraging long-term job creation, economic growth or industrial competitiveness or in reducing economic disparities.
  2. Subject to paragraphs 3 through 7, Parts III and IV of this Agreement do not apply to a measure adopted or maintained by the Federal Government or any other Party that is part of a general framework of regional economic development, provided that:
    1. the measure does not operate to impair unduly the access of persons, goods, services or investments of another Party; and
    2. the measure is not more trade restrictive than necessary to achieve its specific objective.
  3. Each Party shall:
    1. within a reasonable period of time after the date of entry into force of this Agreement, notify all other Parties of its existing programs relating to regional economic development;
    2. on adoption of any program relating to regional economic development, notify all other Parties of that program; and
    3. prepare an annual written report on its programs relating to regional economic development.
  4. Each Party shall conduct an evaluation of:
    1. all programs referred to in paragraph 3(a) every five years after the date of entry into force of this Agreement; and
    2. all new programs every five years after the date of their adoption.
  5. The evaluation referred to in paragraph 4 shall be made public, shall specify the details, parameters and objectives of the program, and shall assess its operation.
  6. Paragraph 2 does not apply to:
    1. obligations relating to transparency or reconciliation of measures;
    2. institutional and dispute settlement provisions;
    3. obligations to eliminate, phase out or liberalize measures as listed in Annex 1801.6A; and
    4. the chapters listed in Annex 1801.6B.
  7. Where a chapter in Part IV of this Agreement contains a specific regional economic development exception, a Party may only use that exception to exclude the application only of corresponding obligations as stated in that chapter. Column I of Annex 1801.7 lists the specific regional economic development exceptions contained in chapters and Column II lists the corresponding obligations.
  8. For the purposes of this Article, "general framework of regional economic development" means a program or statute-based system that:
    1. a Party has identified as a regional economic development program;
    2. specifies eligibility criteria or development priorities based on, but not limited to, such factors as geographic area, industrial sector or population group, whether determined by a Party or regional partners of a Party;
    3. is generally available to recipients that meet the eligibility criteria; and
    4. identifies reasonable performance or economic development objectives or targets that can be measured.
  9. The Parties recognize that a general framework of regional economic development may include a decentralized, cooperative approach by way of a system of delegated authority to provincial regions or sub-regions, provided that:
    1. the terms of such a decentralized, cooperative approach are contained in framework agreements between a Party and its regions; and
    2. such agreements set out development priorities for specific planning periods and specify the activities to be undertaken by the regions to implement these priorities.
  10. Nothing in this Agreement shall be construed to affect the level of assistance provided by the Federal Government or any other Party as part of a general framework of regional economic development.

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Article 1802: Aboriginal Peoples

This Agreement does not apply to any measure adopted or maintained with respect to Aboriginal peoples. It does not affect existing aboriginal or treaty rights of any of the Aboriginal peoples of Canada under section 35 of the "Constitution Act," 1982.

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Article 1803: Culture

Notwithstanding any other provision of this Agreement except Article 300 (Reaffirmation of Constitutional Powers and Responsibilities), any measure adopted or maintained with respect to culture or cultural industries is exempted from the provisions of this Agreement.

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Article 1804: National Security

Nothing in this Agreement shall be construed to:

  1. require the Federal Government to provide, or allow access to, information the disclosure of which it determines to be contrary to national security; or
  2. prevent the Federal Government from taking any action that it considers necessary to protect national security interests or, pursuant to its international obligations, for the maintenance of international peace and security.

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Article 1805: Taxation

Except as provided in paragraphs 4 through 9 of Annex 608.3, nothing in this Agreement shall preclude a Party from adopting or maintaining:

  1. measures relating to taxation; or
  2. measures to secure compliance with measures relating to taxation.

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Article 1806: Financial Sector

  1. Except for measures referred to in paragraphs 7 through 10 of Annex 807.1, nothing in this Agreement applies to measures adopted or maintained by a Party or a public body that exercises regulatory or supervisory authority delegated by law in relation to financial institutions or financial services.
  2. For greater certainty, nothing in this Agreement shall be construed to lessen the scope of the limitation set out in paragraph 1, such limitation prevailing to its full extent over any provision having some connection therewith.
  3. For greater certainty, persons shall be considered to be financial institutions only in respect of, and to the extent of, their provision of financial services.

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Article 1807: Measures Subject to Transitional Provisions

No Party shall, during the period beginning on the date of execution and ending on the date of entry into force of this Agreement, adopt a measure that would be inconsistent with this Agreement or amend or renew a measure in a manner that would decrease its consistency with this Agreement.

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Article 1808: Non-Conforming Measures

  1. No Party shall amend or renew a non-conforming measure in a manner that would further decrease the conformity of that measure with this Agreement.
  2. A subsequent amendment or renewal of a measure referred to in paragraph 1 may not decrease the conformity of that measure as it existed immediately prior to the subsequent amendment or renewal.

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Article 1809: Relationship to International Agreements

  1. Nothing in this Agreement is intended to provide nor shall be construed to provide, directly or indirectly, to any national, enterprise, state or other person any right, claim or remedy under any international agreement.
  2. In the event that one of Canada's trading partners alleges that, contrary to the intention stated in paragraph 1, on the basis of this Agreement, a national, enterprise, state or other person has been provided with a right, claim or remedy under any international agreement and requests formal consultations under such international agreement, the Committee shall, within 30 days after the date of the request, meet to take account of the new situation raised by the allegation and take the necessary action which includes, among other things, amending or removing, as appropriate, the obligation under this Agreement that gives rise to the allegation, or rebalancing the benefits under this Agreement.
  3. Where, notwithstanding any action the Committee may take under paragraph 2, the trading partner proceeds to an international panel and is successful in establishing a right under an international agreement based on a provision of this Agreement, that provision is to that extent of no force or effect, unless the provision expressly states that it shall continue to exist notwithstanding the panel ruling.
  4. The Parties recognize that an essential ingredient for achieving Canada's trade and economic goals in the international arena is the cooperation between federal and provincial governments. Existing mechanisms set up in connection with the "Canada-U.S.A. Free Trade Agreement," the "North American Free Trade Agreement" and the "Final Act Embodying the Results of the Uruguay Round of Multilateral Trade Negotiations," including the "Agreement Establishing the World Trade Organization," allow for consultations with and participation by the governments of the Provinces. It is understood that such mechanisms for consultation and participation will continue to be used in the future and that the Parties will take appropriate steps to assess international obligations to ensure that the relationship between any international obligations and this Agreement will be taken into account when new international obligations are negotiated or when international trade disputes arise. To this end, the Parties agree to review the effectiveness of existing mechanisms for consultation and participation within one year after the date of entry into force of this Agreement.

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Article 1810: Future Negotiations

  1. The Parties have agreed to fulfil their commitments to negotiate particular matters as provided in specific chapters of this Agreement.
  2. The Parties agree to continue negotiations on Chapter Twelve (Energy) to conclude no later than the date of entry into force of this Agreement.
  3. Until the terms of Chapter Twelve (Energy) are negotiated, agreed on and made part of this Agreement, no provision of this Agreement shall apply to any measure of a Party relating to energy goods or energy services as defined in Annex 1810.3.
  4. The Committee shall review annually the scope and coverage of this Agreement and may make recommendations for the inclusion of measures not otherwise covered by this Agreement or of new chapters.
  5. Before the conclusion of negotiations referred to in paragraph 1 or 2 or any negotiations between the Parties pursuant to recommendations made under paragraph 4, respecting a particular matter, no Party shall adopt a new measure or amend an existing measure in relation to that matter where the new measure or amendment would result in an obstacle to internal trade.
  6. Subject to paragraphs 5 and 7, any obligation arising under paragraph 1, 2 or 4 to negotiate a particular matter shall, where the negotiations are successful, terminate on the effective date of the new provisions agreed to by the Parties.
  7. Where a Party declares in writing that it is no longer willing to participate in negotiations pursuant to paragraph 1, 2 or 4 respecting a particular matter, the obligation under paragraph 5 terminates but only in respect of that Party.

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Article 1811: Accession and Withdrawal

  1. Any new province or territory may accede to this Agreement on such terms as are agreed to by all Parties.
  2. A Party may withdraw from this Agreement 12 months after it gives written notice to all other Parties.

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Article 1812: Language

The Parties acknowledge and agree that this Agreement has been made and executed in English and French and that both versions are equally authoritative.

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Article 1813: Rules of Interpretation

This Agreement shall be interpreted in accordance with the Rules of Interpretation set out in Annex 1813.

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Article 1814: Entry Into Force

  1. Subject to paragraph 2, this Agreement shall enter into force on July 1, 1995, by which date all Parties shall have taken all measures in order to give effect to this Agreement.
  2. The provisions set out in Annex 1814.2 shall enter into force on the date of execution of this Agreement by all Parties.

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Annex 1801.6A
Obligations to Eliminate, Phase Out or Liberalize to Which Article 1801(2) Does Not Apply

  • Chapter Six (Investment)
    • Article 604 (Local Presence and Residency Requirements)
    • Article 607(1) (Performance Requirements)
    • Article 608(3) (Incentives)
    • Article 610 (Environmental Measures)
  • Chapter Seven (Labour Mobility)
    • articles 706(1)(b) and (c) (Residency Requirements)
    • Article 707 (Licensing, Certification and Registration of Workers)
  • Chapter Eight (Consumer-Related Measures and Standards)
    • Article 805 (Licensing, Registration and Certification Fees)
    • Article 806(1) (Residency and Local Presence Requirements)
  • Chapter Nine (Agricultural and Food Goods)
    • Article 902(3) (Scope and Coverage)
  • Chapter Fourteen (Transportation)
    • Article 1411 (Phase Out of Non-Conforming Measures)

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Annex 1801.6B
Chapters to which Article 1801(2) does not Apply

  • Chapter Five (Procurement)
  • Chapter Ten (Alcoholic Beverages)
  • Chapter Thirteen (Communications)
  • Chapter Fifteen (Environmental Protection)

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Annex 1801.7
Specific Regional Economic Development Exceptions

Column I
Specific Regional Economic Development Exception
Column II
Specific Obligation

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Annex 1810.3
Definitions

Part I

For the purposes of Article 1810(3):

energy goods
means biomass and biomass products, hydrogen, thermal energy, and energy and petrochemical goods listed in Part II and classified under the "Harmonized Commodity Description and Coding System" as:
  1. subheading 2612.10;
  2. chapter 27, headings 27.01 through 27.16;
  3. subheadings 2844.10 through 2844.50;
  4. subheadings 2845.10; and
  5. subheadings 2901.10;
energy services
means services related to:
  1. energy efficiency activities, including energy supply services, energy efficiency improvements, management services, energy management monitoring and training;
  2. energy using products and products affecting the use of energy;
  3. energy transportation facilities, including electricity transmission lines and pipelines; and
  4. energy exploration, development, production and processing facilities, equipment and activities.

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Part II

26.12 Uranium or thorium ores and concentrates
  • 2612.10 ICES — Uranium ores and concentrates
27.01 Coal; briquettes, ovoids and similar solid fuels manufactured from coal
(Coal, whether or not pulverised, but not agglomerated.)
  • 2701.11 ES — Anthracite
    • 2701.11.10 I — Screenings or dust
    • 2701.11.20 I — Buckwheat No. 4, 5 or 6
    • 2701.11.30 I — Buckwheat No. 1, 2 or 3
    • 2701.11.40 I — Pea or bean size
    • 2701.11.50 I — Egg, stove or nut size
    • 2701.11.90 I — Other
  • 2701.12 E — Bituminous coal
    • 2701.12.10 I — Dust
    • 2701.12.2 I — Other high volatile
    • 2701.12.21 S — From Canadian mines
    • 2701.12.22 S — Imported
    • 2701.12.3 I — Other low volatile
    • 2701.12.31 S — From Canadian mines
    • 2701.12.32 S — Imported
  • 2701.19 ICES — Other coal
    • 2701.20 ICES — Briquettes, ovoids and similar solid fuels manufactured from coal
27.02 Lignite, whether or not agglomerated, excluding jet
  • 2702.10 ICES — Lignite, whether or not pulverised, but not agglomerated
  • 2702.20 ICES — Agglomerated lignite
27.03 Peat (including peat litter), whether or not agglomerated
  • 2703.00 IE — Peat (including peat litter), whether or not agglomerated
  • 2703.00.10 S — Crude
  • 2703.00.20 S — Baled
27.04 Coke and semi-coke of coal, of lignite or of peat, whether or not agglomerated; retort carbon
  • 2704.00 S — Coke and semi-coke of coal, of lignite or of peat, whether or not agglomerated; retort carbon
    • 2704.00.10 IE — Coke or semi-coke of coal, briquettes
    • 2704.00.20 I — Retort carbon
    • 2704.00.30 I — Breeze or dust
    • 2704.00.90 IE — Other
27.05 Coal gas, water gas, producer gas and similar gases, other than petroleum gases and other gaseous hydrocarbons
  • 2705.00 ICES — Coal gas, water gas, producer gas and similar gases, other than petroleum gases and other gaseous hydrocarbons
27.06 Tar distilled from coal, from lignite or from peat, and other mineral tars, whether or not dehydrated or partially distilled, including reconstituted tars
  • 2706.00 ICES — Tar distilled from coal, from lignite or from peat, and other mineral tars, whether or not dehydrated or partially distilled, including reconstituted tars.
27.07 Oils and other products of the distillation of high temperature coal tar; similar products in which the weight of the aromatic constituents exceeds that of the non-aromatic constituents
  • 2707.10 ICES — Benzole
  • 2707.20 ICES — Toluole
  • 2707.30 ICES — Xylole
  • 2707.40 ICES — Naphthalene
  • 2707.50 E — Other aromatic hydrocarbon mixtures of which 65% or more by volume (including losses) distils at 250 degrees Celsius by the ASTM D 86 method
    • 2707.50.10 I S — Naphtha of coal-tar origin
    • 2707.50.90 I S — Other
  • 2707.60 ICES — Phenols — Other
  • 2707.91 ICES — Creosote oils
  • 2707.99 ES — Other
    • 2707.99.10 I — Cresylic acid
    • 2707.99.90 I — Other
27.08 Pitch and pitch coke, obtained from coal tar or from other mineral tars
  • 2708.10 ICES — Pitch
  • 2708.20 ICES — Pitch coke
27.09 Petroleum oils and oils obtained from bituminous minerals, crude
  • 2709.00 ICES — Petroleum oils and oils obtained from bituminous minerals,
    • 2709.00.10 S — Conventional
    • 2709.00.20 S — Synthetic
    • 2709.00.30 S — Condensate and pentanes plus
    • 2709.00.90 S — Other (including oils from bituminous sand or shale other than synthetic)
27.10 Petroleum oils and oils obtained from bituminous minerals, other than crude; preparations not elsewhere specified or included, containing by weight 70% or more of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations
  • 2710.00 Petroleum oils and oils obtained from bituminous minerals, other than crude; preparations not elsewhere specified or included, containing by weight 70% or more of petroleum oils or of oils obtained from bituminous minerals, these oils being the basic constituents of the preparations
    • 2710.00.1 E — Gasoline (including aviation)
      • 2710.00.11 I S — Aviation gasoline
      • 2710.00.12 I S — Motor gasoline, regular, leaded
      • 2710.00.13 I S — Motor gasoline, regular, unleaded
      • 2710.00.14 I S — Motor gasoline, premium
    • 2710.00.2 — Aviation turbine fuel (jet type A and B)
      • 2710.00.21 I S — Kerosene type jet fuel (type A)
      • 2710.00.22 I S — Naphtha type jet fuel (type B)
    • 2710.00.30 I S — Kerosene (excluding jet fuel)
    • 2710.00.4 S — Naphtha specialties
      • 2710.00.41 I — Paint thinners
      • 2710.00.49 I — Other
    • 2710.00.5 — Diesel and light fuel oils
      • 2710.00.51 ICES — Diesel oil
      • 2710.00.52 ICES — Fuel oils Nos. 2 and 3
    • 2710.00.6 S — Heavy fuel oils
      • 2710.00.61 IE — Fuel oils Nos. 4 and 5
      • 2710.00.62 IE — Fuel oil No. 6
      • 2710.00.63 IE — Bunker C
      • 2710.00.69 IE — Other
    • 2710.00.8 ES — Lubricating oils and greases
      • 2710.00.82 I Lubricating oils or base stocks, containing by weight more than 50% of synthetic hydrocarbons
      • 2710.00.83 I Lubricating oils put up in packing for retail sale; oils and preparations thereof, having a viscosity of 7.44 mm2/sec. of more at 37.8 degrees Celsius (excluding white oils)
    • 2710.00.9 — Other petroleum oils
      • 2710.00.91 I S — White oils
      • 2710.00.92 S — Cutting and penetrating oils
      • 2710.00.93 I — Alkylenes, mixed, with a very low degree of polymerization
      • 2710.00.94 S — Petroleum alkylate
      • 2710.00.95 S — Petroleum bases for lubricating oils
      • 2710.00.96 S — Petroleum bases for lubricating greases
      • 2710.00.97 IE — Other light petroleum oils
      • 2710.00.98 IE — Other medium petroleum oils
      • 2710.00.99 ICES — Other
27.11 Petroleum gases and other gaseous hydrocarbons — Liquefied
  • 2711.11 ICES — Natural gas
  • 2711.12 ES — Propane
    • 2711.12.10 I — When in containers ready for use
    • 2711.12.90 I — Other
  • 2711.13 ICES — Butanes
  • 2711.14 ICES — Ethylene, propylene, butylene and butadiene
  • 2711.19 — Other
    • 2711.19.1 I — Ethane
    • 2711.19.11 I — When in containers ready for use
    • 2711.19.19 I — Other
    • 2711.19.9 ES — Other
    • 2711.19.91 I — When in containers ready for use
    • 2711.19.99 I — Other — In gaseous state
  • 2711.21 ICES — Natural gas
  • 2711.29 ICES — Other
27.12 Petroleum jelly; paraffin wax, micro-crystalline petroleum wax, slack wax, ozokerite, lignite wax, peat wax, other mineral waxes, and similar products obtained by synthesis or by other processes, whether or not coloured.
  • 2712.10 ICES — Petroleum jelly
  • 2712.20 ES — Paraffin wax containing by weight less than 0.75% of oil
    • 2712.20.10 I — For use in the manufacture of candles
    • 2712.20.90 I — Other
  • 2712.90 E — Other
    • 2712.90.10 I — Lignite wax
    • 2712.90.20 I — Microcrystalline petroleum wax
    • 2712.90.30 I S — Crude paraffin wax
    • 2712.90.90 I S — Other
27.13 Petroleum coke, petroleum bitumen and other residues of petroleum oils or of oils obtained from bituminous minerals — Petroleum coke
  • 2713.11 ICES — Not calcined
  • 2713.12 ICES — Calcined
  • 2713.20 ICES — Petroleum bitumen
  • 2713.90 ES — Other residues of petroleum oils or of oils obtained from bituminous minerals 2
    • 713.90.10 I — Of a kind used in the manufacture of carbon black
    • 2713.90.90 I — Other
27.14 Bitumen and asphalt, natural; bituminous or oil shale and tar sands; asphaltites and asphaltic rocks
  • 2714.10 ICES — Bituminous or oil shale and tar sands
  • 2714.90 ES — Other
    • 2714.90.10 I — Gilsonite
    • 2714.90.90 I — Other
27.15 Bituminous mixtures based on natural asphalt, on natural bitumen, on petroleum bitumen, on mineral tar or on mineral tar pitch (for example, bituminous mastics, but-backs)
  • 2715.00 E — Bituminous mixtures based on natural asphalt, on natural bitumen, on petroleum bitumen, on mineral tar or on mineral tar pitch (for example: bituminous mastics, cut-backs)
    • 2715.00.10 I — Asphaltum oil, of a kind used for paving purposes
    • 2715.00.20 I — Mastics of asphalt and other bituminous mastics
    • 2715.00.30 S — Asphalt compound, hot (bulk)
    • 2715.00.40 S — Asphalt compound, cold (including kegs)
    • 2715.00.90 I S — Other
27.16 Electrical energy (optional heading)
  • 2716.00 ICES — Electrical energy (optional heading)
28.44 Radioactive chemical elements and radioactive isotopes (including the fissile or fertile chemical elements and isotopes) and their compounds; mixtures and residues containing these products
  • 2844.10 S — Natural uranium and its compounds; alloys dispersions (including cermets), ceramic products and mixtures containing natural uranium or natural uranium compounds
    • 2844.10.10 IE — Uranium oxides
    • 2844.10.20 E — Uranium hexafluoride
    • 2844.10.90 E — Other
  • 2844.2 ES — Uranium enriched in U 235 and its compounds; plutonium and its compounds; alloys, dispersions (including cermets), ceramic products and mixtures containing uranium enriched in U 235, plutonium or compounds of these products
    • 2844.20.10 I — Uranium and its compounds
    • 2844.20.90 I — Other
  • 2844.30 ES — Uranium depleted in U 235 and its compounds; thorium and its compounds; alloys, dispersions (including cermets), ceramic products and mixtures containing uranium depleted in U 235, thorium or compounds of these products
    • 2844.30.10 I — Uranium and its compounds
    • 2844.30.20 I — Thorium nitrate
    • 2844.30.90 I — Other
  • 2844.40 ES — Radioactive elements and isotopes and compounds other than those of subheading No. 2844.10, 2844.20 or 2844.30; alloys, dispersions (including cermets), ceramic products and mixtures containing these elements, isotopes or compounds; radioactive residues
    • 2844.40.10 I — Radioactive elements, isotopes and compounds
    • 2844.40.90 I — Other
  • 2844.50 ICES — Spent (irradiated) fuel elements (cartridges) of nuclear reactors
28.45 Isotopes other than those of heading No. 28.44; compounds, inorganic or organic, of such isotopes, whether or not chemically defined
  • 2845.10 ICES — Heavy water (deuterium oxide)
29.01 Acyclic hydrocarbons
  • 2901.10 E — Saturated
    • 2901.10.10 I S — Butanes
    • 2901.10.20 I S — Hexanes
    • 2901.10.30 I — Pentanes
    • 2901.10.90 I S — Other — Unsaturated

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Annex 1813
Rules of Interpretation

  1. In this Annex:
    horizontal chapter
    means any of the following chapters:
    1. Chapter Five (Procurement);
    2. Chapter Six (Investment);
    3. Chapter Seven (Labour Mobility);
    4. Chapter Eight (Consumer-Related Measures and Standards); and
    5. Chapter Fifteen (Environmental Protection);
    vertical chapter
    means any of the following chapters:
    1. Chapter Nine (Agricultural and Food Goods);
    2. Chapter Ten (Alcoholic Beverages);
    3. Chapter Eleven (Natural Resources Processing);
    4. Chapter Twelve (Energy);
    5. Chapter Thirteen (Communications); and
    6. Chapter Fourteen (Transportation).
  2. A vertical chapter applies to matters within its scope.
  3. A horizontal chapter applies both to matters within its scope and, where applicable, to matters that fall within the scope of a vertical chapter.
  4. In the event of an inconsistency between a vertical chapter and a horizontal chapter, the vertical chapter prevails to the extent of the inconsistency, except as otherwise provided.
  5. For greater certainty, in the event of an inconsistency between two horizontal chapters or two vertical chapters, reference may be made to this Agreement as a whole, including the Preamble, Chapter One (Operating Principles) and Chapter Three (Reaffirmation of Constitutional Powers and Responsibilities), to determine which chapter prevails to the extent of the inconsistency, except as otherwise provided.
  6. This Agreement shall be interpreted in accordance with the reaffirmation set out in Article 300 (Reaffirmation of Constitutional Powers and Responsibilities).
  7. Nothing in this Agreement shall be construed to require a Party to:
    1. alter a contract entered into with a person before the date of execution of this Agreement, where that contract was authorized by a measure that is inconsistent with this Agreement; or
    2. alter such a contract that has been renewed on or after the date of execution of this Agreement, where it has been renewed pursuant to an option to renew.
  8. Reference to an Article includes any Annex referred to in that article.
  9. Use of a term in the singular includes the plural and vice versa.
  10. Where a Party considers that a measure or standard is inconsistent with this Agreement, that Party bears the burden of proving its contention.

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Annex 1814.2
Provisions Entering into Force on Date of Execution

The following provisions enter into force on the date of execution of this Agreement:

  1. Article 506(3) requiring the Parties to designate electronic tendering systems and daily newspapers no later than January 1, 1995;
  2. Article 511(2) requiring the Parties to develop a general mechanism to report through an electronic tendering system before July 1, 1995;
  3. Article 513(7) requiring each Party to establish a roster of panellists before July 1, 1995;
  4. Article 516(3) requiring the Parties to establish a working group on electronic tendering no later than January 1, 1995;
  5. Article 516(5) requiring the Parties to review and finalize the list of excluded services set out in Annex 502.1B before July 1, 1995;
  6. Article 517(1) requiring Provinces to enter into and conclude negotiations to extend coverage of Chapter Five no later than June 30, 1995;
  7. Paragraph 2 of Annex 502.1B requiring the Parties to review and reduce the list of excluded services before July 1, 1995;
  8. Article 604(4) requiring the Parties to list existing inconsistent measures in Annex 604.4 no later than December 31, 1995;
  9. Article 606 requiring the Parties to prepare an implementation plan for reconciling extra-provincial corporate registration and reporting requirements no later than July 15, 1995;
  10. Article 809 requiring the Parties to establish a Committee on Consumer-Related Measures and Standards and requiring the Committee to develop appropriate dispute resolution mechanisms before July 1, 1995;
  11. Paragraph 1 of Annex 807.2 requiring the Parties to complete negotiations on harmonized measures respecting direct selling contracts and cancellation rights no later than July 1, 1995;
  12. Paragraph 5 of Annex 1408.1 requiring the Parties to endeavour to resolve issues relating to the National Safety Code Program before July 1, 1995;
  13. Paragraph 6 of Annex 1408.1 requiring the Parties to establish a uniform national bill of lading before July 1, 1995;
  14. Paragraph 7 of Annex 1408.1 requiring the Council of Ministers Responsible for Transportation and Highway Safety to establish a work plan for the creation of harmonized administrative mechanisms for the collection of certain taxes and fees before July 1, 1995;
  15. Paragraph 9 of Annex 1408.1 requiring the Council of Ministers Responsible for Transportation and Highway Safety to establish a work plan respecting harmonized administrative arrangements before July 1, 1995;
  16. articles 1600, 1601 and 1603;
  17. Article 1706(1) requiring the Committee to establish Model Rules of Procedure before July 1, 1995;
  18. Article 1713(1) requiring each Party to appoint its screener before July 1, 1995;
  19. Article 1721 requiring the Parties to establish a Code of Conduct for panellists before July 1, 1995;
  20. Paragraph 6 of Annex 1718.3 requiring the Parties to establish rates for the tariff items in the Annex before July 1, 1995;
  21. Article 1807;
  22. Article 1810; and
  23. Any provisions containing definitions necessary for the implementation of the provisions referred to in paragraphs (a) to (v).

Whereas the First Ministers signed a text of this Agreement dated July 18, 1994, the signature page of which is reproduced and attached on page 220;

Whereas the text dated July 18, 1994, was subject to legal verification to ensure:

  1. consistent application of trade rules in each chapter;
  2. proper inter-relationship between chapters;
  3. concordance in both official languages;
  4. consistency of application of obligations relating to horizontal issues common to the Agreement;
  5. clear articulation of the measures or matters to which the Agreement does not apply; and
  6. consistency of terminology;

Whereas this text constitutes the legally verified and authentic text of the Agreement;

In witness whereof, the undersigned, being duly authorized by their respective Governments, have signed this legally verified and authentic text of the Agreement.

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