Industrial Policy & Trade Monitor· 2666 actions· ✨ 90 recent

Canada amended the Special Economic Measures (Russia) Regulations via SOR/2022-102, registered 18 May 2022, adding Schedule 6 (luxury goods) and Schedule 7 (goods usable in weapons production/manufacturing) to the list of items prohibited for export to, and in Schedule 6's case also import from, Russia. Both schedules took effect 60 days after registration (17 July 2022). Schedule 6 covers luxury alcohol, tobacco, textiles, footwear, clothing, jewellery, kitchenware, art, and some machinery; Schedule 7 covers raw materials (including tungsten and aluminium), pumps, vehicle parts, construction equipment, watercraft, and medical/dental/surgical equipment. The regulation also added 14 individuals to the Schedule 1 asset-freeze list.

The Bureau of Industry and Security created Supplement No. 5 to 15 CFR Part 746, establishing a new licensing requirement for the export, reexport, or in-country transfer of luxury goods to Russia, Belarus, and to Russian or Belarusian oligarchs and malign actors anywhere in the world, effective 11 March 2022. Covered goods span over 570 HTS-6 line items across categories including spirits and tobacco (above de minimis thresholds), clothing and leather goods (>$1,000 per item), jewelry and precious gemstones, watches (>$100), vehicles (>$25,000), seafood/caviar (>$100), art and antiques, and recreational vessels. The rule targets both bulk commercial exports to Russia and Belarus and personal luxury procurement by designated oligarchs worldwide, with a policy of denial for all such licence applications.