BBB4M – Ch2 P2 Trade Barriers Marchese
TRADE BARRIERS /14
Canada trades with many countries. However, there are some instances
when Canada has imposed restrictions on trade with certain countries.
Trade Quota
Research an example of a Trade Quota that Canada has on another country’s
products.
1. Which country? What product has an import quota attached to it? What is
the quota? (3 marks)
Which country: United States
Product: cheese and other dairy products.
Quota: Under the Canada-United States-Mexico Agreement (CUSMA),
Canada has a tariff-rate quota for 6,250,000kg of cheese from the United
States. Imports within the quota receive preferential treatment, while
imports above the quota face higher duties.
2. Why is there an import quota on this product? (2 marks)
The import quota helps protect Canadian dairy farmers and the Canadian
dairy industry from too much foreign competition. By limiting the amount of
imported dairy product that receives preferential treatment, Canada can
help support its domestic dairy producers while still allowing some
products from the United States to enter the Canadian market.
Trade Sanctions
Research an example of a Trade Sanction that Canada has with another
country.
1. Which country? Are there specific products/services involved? If so, what
are they? (2 marks)
Yes, specific products and services are involved. Canada restricts the trade of
certain nuclear- related, dual-use and ballistic-missile-related, equipment, and
technology with Iran. Canada also restricts certain financial and technical
services connected to these goods.
2. Why is there a sanction on these specific items? (2 marks)
These sanctions are intended to prevent goods, technology and services
from being used to support Iran’s nuclear and ballistic-missile programs.
Canada has these restrictions because of concerns about nuclear
weapons, missile technology, and international security.
TRADE BARRIERS /14
Canada trades with many countries. However, there are some instances
when Canada has imposed restrictions on trade with certain countries.
Trade Quota
Research an example of a Trade Quota that Canada has on another country’s
products.
1. Which country? What product has an import quota attached to it? What is
the quota? (3 marks)
Which country: United States
Product: cheese and other dairy products.
Quota: Under the Canada-United States-Mexico Agreement (CUSMA),
Canada has a tariff-rate quota for 6,250,000kg of cheese from the United
States. Imports within the quota receive preferential treatment, while
imports above the quota face higher duties.
2. Why is there an import quota on this product? (2 marks)
The import quota helps protect Canadian dairy farmers and the Canadian
dairy industry from too much foreign competition. By limiting the amount of
imported dairy product that receives preferential treatment, Canada can
help support its domestic dairy producers while still allowing some
products from the United States to enter the Canadian market.
Trade Sanctions
Research an example of a Trade Sanction that Canada has with another
country.
1. Which country? Are there specific products/services involved? If so, what
are they? (2 marks)
Yes, specific products and services are involved. Canada restricts the trade of
certain nuclear- related, dual-use and ballistic-missile-related, equipment, and
technology with Iran. Canada also restricts certain financial and technical
services connected to these goods.
2. Why is there a sanction on these specific items? (2 marks)
These sanctions are intended to prevent goods, technology and services
from being used to support Iran’s nuclear and ballistic-missile programs.
Canada has these restrictions because of concerns about nuclear
weapons, missile technology, and international security.
