Plain meaning
A special duty that can apply to subsidized imported goods that cause or threaten injury to a domestic industry.
Also called
countervailing duties
subsidy duty
Key points
- A countervailable subsidy generally involves a financial contribution by a foreign government that confers a benefit.
- CBSA investigates subsidy amounts, while the CITT considers injury to domestic industry.
- Countervailing duties can apply alongside anti-dumping duties in some cases.
- The practical cost depends on the product, exporter, investigation result, and customs accounting.
Why it comes up
Countervailing duties connect trade remedies, industrial policy, foreign subsidies, and import costs.