Canada-US Preclearance Agreement enters into effect

Source: Canada US
Link: Canada-US Preclearance Agreement enters into effect

On August 15, 2019, the Canada-United States Preclearance Agreement (officially known as the Agreement on Land, Rail, Marine and Air Transport Preclearance between the Government of Canada and the Government of the United States of America) entered into effect. The Canada-United States Preclearance Agreement was signed on March 16, 2015.

Global Affairs Canada announced “New Canada-U.S. Preclearance Agreement comes into force, opening the door to enhanced travel and trade“.  The Canada-United States Pre-Clearance Agreement allows for preclearance of goods and people.

Canada had completed all the steps to implement the Canada-United States Pre-Clearance Agreement. On June 17, 2016, the Minister of Public Safety and Emergency Preparedness introduced Bill C-23 “an Act respecting the preclearance of persons and goods in Canada and the United States” (to be known as the “Preclearance Act 2016″) in the House of Commons. Bill C-23 received Royal Assent on December 12, 2017.

This Agreement is a component of the Beyond the Border Action Plan that was announced in February 2011. The Agreement was previously tabled in the House of Commons on April 22, 2015 by the Harper Government. So, this is not a new initiative.

The main purpose of the Agreement and Bill C-23 is to facilitate and expedite travel between Canada and the United States for goods and services. Canada and the United States have one of the most important trading relationships in the World. As a result, mechanisms such as preclearance, make a lot of common sense.

Part 1 of Bill C-23 addresses the performance of U.S. preclearance officers in Canada. Part 1 of Bill C-23 authorizes United States customs officers to conduct preclearance in Canada of travellers and goods bound for the United States. Bill C-23 also authorizes a federal Minister to designate preclearance areas and preclearance perimeters in Canada, in which preclearance may take place. Bill C-23 gives United States preclearance officers powers to facilitate preclearance.

The exercise of any power and performance of any duty or function by a United States preclearance officer is subject to Canadian law, including the Canadian Charter of Rights and Freedoms, the Canadian Bill of Rights and the Canadian Human Rights Act. Canadian police officers and the officers of the Canada Border Services Agency are authorized to assist United States preclearance officers in the exercise of their powers and performance of their duties and functions.  Bill C-23 allows a traveller bound for the United States to withdraw from the preclearance process, unless the traveller is detained under Part 1.  Bill C-23 limits the ability to request the extradition or provisional arrest of a current or former United States preclearance officer.

Part 2 of Bill C-23 addresses the performance of Canadian preclearance officers in the United States. Bill C-23 specifies how the Immigration and Refugee Protection Act will apply to travellers bound for Canada who are in preclearance areas and preclearance perimeters in the United States, and extends the application of other Canadian legislation that relates to the entry of persons and importation of goods into Canada to those preclearance areas and preclearance perimeters. Bill C-23 allows a traveller bound for Canada to withdraw from the preclearance process, unless the traveller is detained.

Part 3 of Bill C-23 contains amendments to the Criminal Code.

Part 4 of Bill C-23 amends the Customs Act.

Preclearance allows the inspection of goods and people before they leave the country of exit. A preclearance inspection at a point of embarkment is essentially the same inspection an individual would undergo at a U.S. port of entry (or at a point of disembarkment) and preclearance travellers do not have to undergo a second U.S. Customs and Border Protection inspection upon arrival in the United States.  Preclearance of goods occurs away from the border prior to the export from Canada and is also the same inspection goods would undergo at a U.S. port of entry and precleared goods do not have to undergo a second U.S. Customs and Border Protection inspection upon arrival in the United States. 

Many travellers from Canada are familiar with preclearance at airports, such as Toronto Pearson International Airport, Calgary Airport, Montreal Trudeau Airport, Vancouver Airport, etc. At previously approved preclearance airports, all travelers go through U.S. Customs Preclearance before boarding flights destined for a location in the U.S.  Inadmissible travelers are not permitted to board their planes and do not enter the United States.  High risk passengers are screened before being allowed to proceed.  Goods are also x-rayed to identify risks.

This preclearance will be expanded to other airports and land/rail/marine locations.  For example, preclearance will be available at a number of new Canadian locations, including Quebec’s Jean Lesage International Airport, Toronto’s Billy Bishop City Airport, Montreal Central Station and the Rocky Mountaineer.

Preclearance is good for Canadian businesses because preclearance strengthens economic competitiveness and mutual security, and expedites the export and import of goods. In principle, the expansion of preclearance should increase the flow of trade between Canada and the United States in both directions.

For more information, please contact Cyndee Todgham Cherniak at 416-307-4168 or at cyndee@lexsage.com.