Canada-Panama Free Trade Agreement

Annex II - Schedule of Canada

Sector: Aboriginal Affairs

Sub-sector:

Industry Classification:

Type of Reservation: National Treatment (Articles 9.04 and 10.03)

Most-Favoured-Nation Treatment (Articles 9.05 and 10.04)

Local Presence (Article 10.06)

Performance Requirements (Article 9.07)

Senior Management and Boards of Directors (Article 9.08)

Description: Cross-Border Trade in Services and Investment

Canada reserves the right to adopt or maintain a measure denying investors of Panama and their investments, or service providers of Panama, rights or preferences provided to aboriginal peoples.

Existing Measure: Constitution Act, 1982, being Schedule B of the Canada Act 1982 (U.K.), 1982, c. 11

Sector: All Sectors

Sub-sector:

Industry Classification:

Type of Reservation: National Treatment (Article 9.04)

Description: Investment

Canada reserves the right to adopt or maintain a measure relating to residency requirements for the ownership by investors of Panama, or their investments, of oceanfront land.

Existing Measures:

Sector: Communications

Sub-sector: Telecommunications Transport Networks and Services

Radiocommunications

Industry Classification: CPC 752 Telecommunication Services

Type of Reservation: National Treatment (Article 9.04)

Senior Management and Boards of Directors (Article 9.08)

Description: Investment

  • Canada reserves the right to adopt or maintain a measure:
    • limiting foreign investment in facilities-based telecommunications service suppliers, provided that the measure adopted or maintained by Canada does not limit foreign investment to less than a cumulative total of 46.7% of voting shares, based on 20% direct investment and 33.3% indirect investment;
    • requiring that facilities-based telecommunications service suppliers be controlled in fact by a Canadian;
    • requiring that at least 80% of the members of the board of directors of facilities-based telecommunications service suppliers be Canadian; and
    • imposing restrictions on facilities-based telecommunications service suppliers exceeding the permissible cumulative foreign investment level on July 22, 1987, and continuing to exceed this level.
  • The following exceptions apply to this reservation:
    • foreign investment is allowed up to 100%for suppliers conducting operations under an international submarine cable licence;
    • mobile satellite systems owned and controlled up to a level of 100% by a foreign service provider may be used by a Canadian service provider to provide services in Canada; and
    • fixed satellite systems owned and controlled up to a level of 100% by foreign service providers may be used to provide services between points in Canada and all points outside Canada.

Existing Measures: Telecommunications Act, S.C. 1993, c. 38

Canadian Telecommunications Common Carrier Ownership and Control Regulations, SOR/94-667

Radiocommunications Act, R.S.C. 1985, c. R-2

Radiocommunication Regulations, SOR/96-484

Sector: Communications

Sub-sector: Telecommunications Transport Networks and Services, Radiocommunications

Telecommunication Services

Industry Classification: CPC 7529 Other Telecommunication Services

CPC 7549 Other Telecommunications Services Not Elsewhere Classified

Type of Reservation: Local Presence (Article 10.06)

National Treatment (Article 9.04)

Senior Management and Boards of Directors (Article 9.08)

Description: Cross-Border Trade in Services and Investment

Canada reserves the right to adopt or maintain a measure relating to providing, or investing in, telecommunications services classified in CPC 7529, excluding mobile services, and CPC 7549.

Existing Measures: Radiocommunication Act, R.S.C. 1985, c. R-2

Radiocommunication Regulations, SOR/96-484

Telecommunications Act, S.C. 1993, c. 38

Canadian Telecommunications Common Carrier Ownership and Control Regulations, SOR/94-667

Sector: Communications

Sub-sector: Telecommunications Transport Networks and Services

Industry Classification: CPC 752 Telecommunications Services

CPC 7543 Connection Services

CPC 7549 Other Telecommunications Services Not Elsewhere Classified (limited to telecommunications transport networks and services)

Type of Reservation: National Treatment (Article 9.04)

Description: Investment

Canada reserves the right to adopt or maintain a measure that may limit competition in providing local wireline telephone services in the serving areas of Northwestel Inc.

Existing Measure: Telecommunications Act, S.C. 1993, c. 38

Sector: Fisheries

Sub-Sector: Fishing and Fishing Related Services and Investment

Industry Classification: SIC 031 Fishing Industry

SIC 032 Services Incidental to Fishing

CPC 882 Services Incidental to Fishing

Type of Reservation: National Treatment (Articles 9.04 and 10.03)

Most-Favoured-Nation Treatment (Articles 9.05 and 10.04)

Description: Cross-Border Trade in Services and Investment

Canada reserves the right to adopt or maintain a measure with respect to issuing licences to foreign fishing vessels and with respect to allowing foreign fishing vessels to access Canada’s territory.

Existing Measures: Fisheries Act, R.S.C. 1985, c. F-14

Coastal Fisheries Protection Act, R.S.C. 1985, c33

Coastal Fisheries Protection Regulations,

C.R.C. 1978, c.413

Commercial Fisheries Licensing Policy

Policy on Foreign Investment in the Canadian Fisheries Sector, 1985

Sector: Government Finance

Sub-sector: Securities

Industry Classification: SIC 8152 Finance and Economic Administration

Type of Reservation: National Treatment (Article 9.04)

Description: Investment

Canada reserves the right to adopt or maintain a measure relating to the acquisition, sale or other disposition by nationals of Panama of bonds, treasury bills or other kinds of debt securities issued by the Government of Canada or a Canadian sub-national government.

Existing Measure: Financial Administration Act,

R.S.C. 1985, c. F-11

Sector: Minority Affairs

Sub-sector:

Industry Classification:

Type of Reservation: National Treatment (Articles 9.04 and 10.03)

Local Presence (Article 10.06)

Performance Requirements (Article 9.07)

Senior Management and Boards of Directors (Article 9.08)

Description: Cross-Border Trade in Services and Investment

Canada reserves the right to adopt or maintain a measure conferring rights or privileges to a socially or economically disadvantaged minority.

Existing Measures:

Sector: Social Services

Sub-sector:

Industry Classification:

Type of Reservation: National Treatment (Articles 9.04 and 10.03)

Most-Favoured-Nation Treatment (Articles 9.05 and 10.04)

Local Presence (Article 10.06 )

Senior Management and Boards of Directors (Article 9.08)

Description: Cross-Border Trade in Services and Investment

Canada reserves the right to adopt or maintain a measure for providing public law enforcement and correctional services, as well as the following services to the extent that they are social services established or maintained for a public purpose: income security or insurance, social security or insurance, social welfare, public education, public training, health care and child care.

Existing Measures:

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: Most-Favoured-Nation Treatment (Article 10.04)

Description: Cross-Border Trade in Services

Canada reserves the right to selectively negotiate with other aeronautical authorities or service providers agreements or arrangements recognizing their accreditation of repair, overhaul and maintenance facilities and certification by such facilities of the work performed by those facilities on Canadian-registered aircraft and other related aeronautical products.

Existing Measures:

Sector: Transportation

Sub-sector: Air Transportation

Industry Classification: SIC 451 Air Transport Industries

Not CPC-defined: Selling and Marketing of Air Transport Services, as Defined in the Cross-Border Trade in Services Chapter

Type of Reservation: National Treatment (Article 10.03)

Most-Favoured-Nation Treatment (Article 10.04)

Local Presence (Article 10.06)

Description: Cross-Border Trade in Services

Canada reserves the right to adopt or maintain a measure relating to the selling and marketing of an air transportation service.

Existing Measures:

Sector: Transportation

Sub-sector: Water Transportation

Industry Classification: SIC 4129 Other Heavy Construction

SIC 4541 Freight and Passenger Water Transport Industry

SIC 4542 Ferry Industry

SIC 4543 Marine Towing Industry

SIC 4549 Other Water Transport Industries

SIC 4552 Harbour and Port Operation Industries (limited to berthing, bunkering and other vessel operations in a port)

SIC 4553 Marine Salvage Industry

SIC 4554 Piloting Service, Water Transport Industry

SIC 4559 Other Service Industries Incidental to Water Transport (not including landside aspects of port activities)

CPC 52232 Constructions of Harbours, Rivers, Canals and Related Facilities

CPC 721 Transportation Services by Sea-going Vessels

CPC 722 Transportation Services by Non-sea-going Vessels

CPC 74510 Port and Waterway Operation Services (excluding cargo handling)

CPC 74520 Pilotage and Berthing Services

CPC 74590 Other Supporting Services for Water Transport

Other marine activities of a commercial nature, as set out in the Description section below

Type of Reservation: National Treatment (Articles 9.04 and 10.03)

Most-Favoured-Nation Treatment (Articles 9.05 and 10.04)

Local Presence (Article 10.06)

Performance Requirements (Article 9.07)

Senior Management and Boards of Directors (Article 9.08)

Description: Cross-Border Trade in Services and Investment

  • Canada reserves the right to adopt or maintain a measure relating to providing or investing in marine cabotage services, including:
    • transporting goods or passengers by ship between points in the territory of Canada or above the continental shelf of Canada, directly or by way of a place outside Canada. However, with respect to waters above the continental shelf of Canada, this applies to the transportation of goods or passengers only in relation to exploring, exploiting or transporting mineral or non-living natural resources of the continental shelf of Canada; and
    • engaging by ship in another marine activity of a commercial nature in the territory of Canada and, with respect to waters above the continental shelf, in such other marine activities of a commercial nature that are in relation to exploring, exploiting or transporting mineral or non-living natural resources of the continental shelf of Canada.
  • This reservation relates, among other things, to local presence requirements for service providers entitled to participate in these activities, to criteria for the issuance of a temporary cabotage licence to foreign ships and to limits on the number of cabotage licences issued to foreign ships.

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

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

Customs Act, R.S.C. 1985, c. 1 (2nd Supp.)

Customs and Excise Offshore Application Act, R.S.C.1985,c.C-53

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 4551 Marine Cargo Handling Industry

SIC 4552 Harbour and Port Operation 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-sea-going Vessels

CPC 74510 Port and Waterway Operation Services (excluding cargo handling)

CPC 74520 Pilotage and Berthing Services

CPC 74590 Other Supporting Services for Water Transport

Type of Reservation: Most-Favoured-Nation Treatment (Article 10.04)

Description: Cross-Border Trade in Services

Canada reserves the right to adopt or maintain a measure relating to the implementation of agreements, arrangements and other formal or informal undertakings with other countries with respect to maritime activities in waters of mutual interest in such areas as pollution control (including double hull requirements for oil tankers), safe navigation, barge inspection standards, water quality, pilotage, salvage, drug abuse control and maritime communications.

Existing Measures: United States Wreckers Act, R.S.C. 1985, c. U-3

Various agreements and arrangements, including:

Memorandum of Arrangements on Great Lakes Pilotage;

Canada - United States Joint Marine Pollution Contingency Plan;

Agreement with the United States on Loran “C” Service on the East and West Coasts;

Denmark - Canada Joint Marine Pollution Circumpolar Agreement.

Sector: All Sectors

Sub-sector:

Industry Classification:

Type of Reservation: Most-Favoured-Nation Treatment (Article 9.05)

Description: Investment

  • Canada reserves the right to adopt or maintain a measure that accords differential treatment to countries under a bilateral or multilateral international agreement in force or signed prior to the date of entry into force of this Agreement.
  • Canada reserves the right to adopt or maintain a measure that accords differential treatment to a country under an existing or future bilateral or multilateral agreement relating to:
    • aviation;
    • fisheries; or
    • maritime matters, including salvage.

Existing Measures:

Sector: All Sectors

Sub-sector:

Industry Classification:

Type of Reservation: Market Access (Article 10.05)

Description: Cross-Border Trade in Services

Canada reserves the right to adopt or maintain a measure that is not inconsistent with Canada’s obligations under Article XVI of the GATS.

Existing Measures: