Trust and Loan Companies Act, S.C. 1991, c. 45

Description: Cross-Border Trade in Services

1. Banks are required to have a firm of accountants to be auditors of the bank. A firm of accountants must be qualified as set out in the Bank Act. Among the qualifications required: two or more members of the firm must be ordinarily resident in Canada, and the member of the firm jointly designated by the firm and the bank conducting the audit must be ordinarily resident in Canada.

2. An insurance company, a cooperative credit association, and a trust or loan company require an auditor who can be either a natural person or a firm of accountants. An auditor of the institution must be qualified as set out in the Insurance Companies Act, the Cooperative Credit Associations Act or the Trust and Loan Companies Act. If a natural person is appointed as the auditor of that financial institution, among the qualifications required is that the person must be ordinarily resident in Canada. If a firm of accountants is appointed to be the auditor of that financial institution, the member of the firm jointly designated by the firm and the financial institution to conduct the audit must be ordinarily resident in Canada.

Phase-Out: None

Sector: Transportation

Sub-Sector: Air Transportation

Industry Classification: SIC 451 Air Transport Industries

CPC 731 Passenger transportation by air

CPC 732 Freight transportation by air

Specialty air services, as set out in the Description section below

Type of Reservation: National Treatment (Article 10.4)

Measures: Canada Transportation Act, S.C. 1996, c. 10

Aeronautics Act, R.S.C. 1985, c. A-2

Canadian Aviation Regulations, SOR/96-433:

Part II, Subpart 2, “Aircraft Markings and Registration”;

Part IV “Personnel Licensing and Training”; and

Part VII “Commercial Air Services”.

Description: Investment

1. Regulations made under the Aeronautics Act incorporate by reference the definition of “Canadian” found in the Canada Transportation Act. These Regulations require that a Canadian operator of commercial air services operate Canadian-registered aircraft. These regulations require an operator to be Canadian in order to obtain a Canadian Air Operator Certificate and to qualify to register aircraft as Canadian.

2. Only a Canadian may provide the following commercial air transportation services:

(a) “domestic services” (air services between points, or from and to the same point, in the territory of Canada, or between a point in the territory of Canada and a point not in the territory of another country);

(b) “scheduled international services” (scheduled air services between a point in the territory of Canada and a point in the territory of another country) if those services are reserved to Canadian carriers under existing or future air services agreements;

(c) “non-scheduled international services” (non-scheduled air services between a point in the territory of Canada and a point in the territory of another country) if those services are reserved to Canadian carriers under the Canada Transportation Act;

(d) “specialty air services” include, but are not limited to: aerial mapping, aerial surveying, aerial photography, forest fire management, fire-fighting, aerial advertising, glider towing, parachute jumping, aerial construction, heli-logging, aerial inspection, aerial surveillance, flight training, aerial sightseeing and aerial crop spraying.

3. A foreign person may not own a Canadian-registered aircraft for private use.

4. A corporation incorporated in Canada that does not meet the Canadian ownership and control requirements may only register an aircraft for private use when the corporation is the sole owner of the aircraft. The Canadian Aviation Regulations also have the effect of limiting non-Canadian corporations operating foreign-registered private aircraft within Canada to the carriage of their own employees.

5. For the purposes of this reservation, “Canadian” has the meaning set out in Section 55 of the Canada Transportation Act and incorporated by reference in regulations made under the Aeronautics Act:

“Canadian” means a Canadian citizen or a permanent resident within the meaning of the Immigration and Refugee Protection Act, a government in Canada, or an agent of that government, or a corporation or other entity that is incorporated or formed under the laws of Canada or a sub-national government, that is controlled in fact by Canadians and of which at least 75% or such lesser percentage as the Governor in Council may by regulation specify, of the voting interests are owned and controlled by Canadians.

Phase-Out: None

Sector: Transportation

Sub-Sector: Air Transportation

Industry Classification: SIC 4523 Aircraft Servicing Industry

SIC 3211 Aircraft and Aircraft Parts Industry

Not CPC defined: Aircraft repair and maintenance services, as defined in the Cross-Border Trade in Services Chapter.

Type of Reservation: Local Presence (Article 11.5)

Measures: Aeronautics Act, R.S.C. 1985, c. A-2

Canadian Aviation Regulations, SOR/96-433:

Part IV “Personnel Licensing and Training”;

Part V “Airworthiness”;

Part VI “General Operating and Flight Rules”; and

Part VII “Commercial Air Services”.

Description: Cross-Border Trade in Services

Aircraft and other aeronautical product repair, overhaul or maintenance activities required to maintain the airworthiness of Canadian-registered aircraft and other aeronautical products, must be performed by Canadian‑certified persons (that is, approved maintenance organizations and aircraft maintenance engineers). Certifications are not provided for persons located outside Canada, except sub-organizations of approved maintenance organizations that are themselves located in Canada.

Phase-Out: None

Sector: Transportation

Sub-Sector: Land Transportation

Industry Classification: SIC 456 Truck Transport Industries

SIC 4572 Interurban and Rural Transit Systems Industry

SIC 4573 School Bus Operations Industry

SIC 4574 Charter and Sightseeing Bus Services Industry

CPC 7121 Other scheduled passenger transportation by land other than by railway

CPC 7122 Other non-scheduled passenger transportation by land other than by railway

CPC 7123 Freight transportation by land other than by railway

Type of Reservation: National Treatment (Article 11.3)

Local Presence (Article 11.5)

Measures: Motor Vehicle Transport Act, R.S.C. 1985, c. 29 (3rd Supp.), as amended by S.C. 2001, c. 13

Canada Transportation Act, S.C. 1996, c. 10

Customs Tariff, S.C. 1997, c. 36

Description: Cross-Border Trade in Services

Only a person of Canada using Canadian-registered and Canadian-built or duty-paid trucks or buses, may provide truck or bus services between points in the territory of Canada.

Phase-Out: None

Sector: Transportation

Sub-Sector: Water Transportation

Industry Classification: SIC 4541 Freight and Passenger Water Transport Industry

SIC 4542 Ferry Industry

SIC 4543 Marine Towing Industry

SIC 4549 Other Water Transport Industries

SIC 4553 Marine Salvage Industry

SIC 4559 Other Service Industries Incidental to Water Transport

CPC 721 Transport services by sea-going vessels

CPC 722 Transport services by non-seagoing vessels

CPC 74540 Vessel salvage and refloating services

CPC 74590 Other supporting services for water transport

Type of Reservation: National Treatment (Article 10.4)

National Treatment (Article 11.3)

Local Presence (Article 11.5)

Measures: Canada Shipping Act, 2001, S.C. 2001, c. 26

Description: Cross-Border Trade in Services and Investment

1. To register a ship in Canada, the owner of that ship or the person who has exclusive possession of that ship must be:

(a) a Canadian citizen or a permanent resident within the meaning of subsection 2(1) of the Immigration and Refugee Protection Act;

(b) a corporation incorporated under the domestic law of Canada or sub-national government; or

(c) when the ship is not already registered in another country, a corporation incorporated under the domestic law of a country other than Canada if one of the following is acting with respect to all matters relating to the ship:

(i) a subsidiary of the corporation that is incorporated under the domestic law of Canada or a sub-national government,

(ii) an employee or director in Canada of a branch office of the corporation that is carrying on business in Canada, or

(iii) a ship management company incorporated under the domestic law of Canada or a sub-national government.

2. A ship registered in a foreign country which has been bareboat chartered may be listed in Canada for the duration of the charter while the ship’s registration is suspended in its country of registry, if the charterer is:

(a) a Canadian citizen or permanent resident as defined in subsection 2(1) of the Immigration and Refugee Protection Act; or

(b) a corporation incorporated under the domestic law of Canada or a sub-national government.

Phase-Out: None

Sector: Transportation

Sub-Sector: Water Transportation

Industry Classification: SIC 4541 Freight and Passenger Water Transport Industry

SIC 4542 Ferry Industry

SIC 4543 Marine Towing Industry

SIC 4549 Other Water Transport Industries

SIC 4553 Marine Salvage Industry

SIC 4554 Piloting Service, Water Transport Industry

SIC 4559 Other Service Industries Incidental to Water Transport

CPC 721 Transport services by sea-going vessels

CPC 722 Transport services by non-seagoing vessels

CPC 74520 Pilotage and berthing services

CPC 74540 Vessel salvage and refloating services

CPC 74590 Other supporting services for water transport

Type of Reservation: National Treatment (Article 11.3)

Local Presence (Article 11.5)

Measures: Canada Shipping Act, 2001, S.C. 2001, c. 26

Marine Personnel Regulations, SOR/2007-115

Description: Cross-Border Trade in Services

Masters, mates, engineers and certain other seafarers must hold a certificate granted by the Minister of Transport as a requirement for service on Canadian-registered ships. This certificate may be granted only to a Canadian citizen or permanent resident.

Phase-Out: None

Sector: Transportation

Sub-Sector: Water Transportation

Industry Classification: SIC 4554 Piloting Service, Water Transport Industry

CPC 74520 Pilotage and berthing services

Type of Reservation: National Treatment (Article 11.3)

Local Presence (Article 11.5)

Measures: Pilotage Act, R.S.C., 1985, c. P-14

General Pilotage Regulations, SOR/2000-132

Atlantic Pilotage Authority Regulations, C.R.C., c. 1264

Laurentian Pilotage Authority Regulations, C.R.C., c. 1268

Great Lakes Pilotage Regulations, C.R.C., c. 1266

Pacific Pilotage Regulations, C.R.C., c. 1270

Description: Cross-Border Trade in Services

Subject to the Schedule of Canada, Annex II, at pages II‑CA‑18-19, a licence or a pilotage certificate issued by the relevant regional Pilotage Authority is required to provide pilotage services in the compulsory pilotage waters of the territory of Canada. Only a Canadian citizen or permanent resident may obtain that licence or pilotage certificate. A permanent resident of Canada who has been issued a pilot’s licence or pilotage certificate must become a Canadian citizen within 5 years of receipt of that licence or pilotage certificate in order to retain it.

Phase-Out: None

Sector: Transportation

Sub-Sector: Water Transportation

Industry Classification: SIC 454 Water Transport Industry

CPC 721 Transportation services by sea-going vessels

CPC 722 Transportation services by non-sea-going vessels

Type of Reservation: Local Presence (Article 11.5)

Measures: Shipping Conferences Exemption Act, 1987, R.S.C. 1985, c. 17 (3rd Supp.)

Description: Cross-Border Trade in Services

Members of a shipping conference must maintain jointly an office or agency in the region of Canada where they operate. A shipping conference is an association of ocean carriers that has the purpose or effect of regulating rates and conditions for the transportation by those carriers of goods by water.

Phase-Out: None

Sector: Transportation

Sub-Sector: Water Transportation

Industry Classification: SIC 4541 Freight and Passenger Water Transport Industry

SIC 4542 Ferry Industry

SIC 4543 Marine Towing Industry

CPC 721 Transportation services by sea-going vessels

CPC 722 Transportation services by non-sea-going vessels

Type of Reservation: Most-Favoured-Nation Treatment (Article 11.4)

Measures: Coasting Trade Act, S.C. 1992, c. 31

Description: Cross-Border Trade in Services

The prohibitions under the Coasting Trade Act, set out in Schedule of Canada, Annex II, at pages II-CA-15-17, do not apply to a vessel that is owned by the U.S. Government when that vessel is used solely for the purpose of transporting goods owned by the U.S. Government from the territory of Canada to supply Distant Early Warning sites.

Phase-Out: None

Annex I. Schedule of Honduras

Reservations for Existing Measures and Liberalization Commitments