Canada has taken steps in response to the passage of national security legislation for Hong Kong. Exports and transfers of sensitive goods and technology to Hong Kong will now be treated in the same manner as those destined for mainland China. Further, exports of sensitive military items to Hong Kong will be prohibited. This policy change was provided as a notice to exporters issued by Global Affairs Canada on July 7, 2020 (the “Notice”).
All export applications for items listed on the Export Control List destined for Hong Kong will be closely scrutinized. Export permits or technology transfers incongruent with Canada’s domestic and international obligations, foreign policy or security interests will be denied. Goods listed on the Export Control List are wide ranging, including dual use goods and technology, navigation, avionics, aerospace, nuclear items as well as items specific to defence and weapons. The Notice indicates that permits for exports of “sensitive” military items will be denied, but provides no definition for the term “sensitive.” This oversight will likely be addressed by observing the implementation and administration of this policy by Global Affairs.
If you have any questions about this Notice, please contact a member of our International Trade and Customs Group.