Recreational Vehicle Dealers Association (RVDA) Requests Transport Canada (TC) to Reduce Burden on Individual Recreational Vehicle (RV) Dealers

Description of the Initiative

In response to concerns put forth by the Recreational Vehicle Dealers Association (RVDA), Transport Canada (TC) will ensure consistent application of its standard operating procedure (SOP) for auditing pre-clearance applications from importers requesting permission to import new vehicles via the pre-clearance process. To improve consistency and timeliness TC will:

  1. Contact foreign original equipment manufacturers (OEM) directly to discuss opportunities to streamline Canadian dealer networks.
  2. Review TC internal operating procedures to ensure consistent practices.
  3. Revise the TC Road Safety website to clarify the pre-clearance program.
  4. Increase communication with various Recreational Vehicle (RV) associations so they can disseminate the information to their members.

How will Red Tape be reduced?

Red Tape will be reduced for certain qualified* importers through improved trade opportunities and faster importation channels via a reduction in the number of OEM/importer couplings in the pre-clearance program. TC will ensure that only knowledgeable & capable importers meet the requirements of the pre-clearance program and are allowed to import vehicles through Customs with minimal inspection and scrutiny.

*The pre-clearance program is available to a subset of qualified importers. It is not an automatic entitlement. However, those that do not pre-qualify can still import via normal channels.

How will business benefit?

Qualified business will benefit as small RV dealers who have not been able to meet pre-clearance requirements are no longer burdened by the regulatory requirements for importation and are beginning to observe red tape reduction benefits as they have begun working with the OEMs’ newly designated Canadian Importer and/or newly established Canadian entities representing the foreign OEM in Canada.

Who are the participating Departments?

Transport Canada

What are the implementation milestones?

2012-2013

  • Contacting the OEMs COMPLETED
  • Reviewing our internal procedures. COMPLETED
  • Revising the Road Safety website to clarify the pre-clearance program. COMPLETED
  • Increasing communication with the various RV associations. UNDER WAY & ONGOING

What are the performance indicators?

The following indicators will be used to measure the success of this initiative which will be completed in 2012-2013:

  • The number of high quality pre-clearance requests compared to historical data
    COMPLETED: Prior to changes occurring in industry as defined above, TC received 400 to 500+ pre-clearance applications annually. TC now receives 10-20 applications annually.
  • The number of current pre-clearance importers being removed as directed by various OEMs.
    COMPLETED: TC has removed over 17,000 OEMs and retail importer pairings from pre-clearance (some Canadian dealerships were associated with more than one OEM). These former importers continue to receive their vehicles as before, except that they are no longer burdened by the regulatory requirements for importation, as that responsibility has been absorbed by the OEM’s and their designated importers.

For more information

To learn about upcoming or ongoing consultations on proposed federal regulations, visit the Canada Gazette and Consulting with Canadians websites.

 
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