11 June 2002

Removal of the customs duty on a supercritical steam turbine-driven generator

The Department of Finance is seeking members' views on a request for the removal of the customs duty on a supercritical steam turbine-driven generator set having a power capacity of 495 MW. These goods are classified in tariff item 8502.39.10 of the Customs Tariff, and are dutiable at 6% under the Most-Favoured-Nation (MFN) Tariff. There is also a request for duty relief on a supercritical single reheat coal-fired boiler with a steam output of 1,450 tonnes per hour which will drive the generator set. The boiler is classified in tariff item 8402.20.00 of the Customs Tariff, and is dutiable at 3% under the MFN Tariff.

The applicant claims that generator sets at this power range and boilers of this output are not available from Canadian production and that tariff relief would enhance its competitiveness in both the domestic and export markets.

Members wishing to comment, or are aware of others who could potentially be affected by such action, should contact Mr. Paul Robichaud, International Trade Policy Division. His telephone number is (613) 992-2510, his fax number is (613) 992-6761 by July 22, 2002.