G/SCM/Q2/CAN/65  
 
28 January 2016  
(16-0628)  Page: 1/2  
Committee on Subsidies and Countervailing Measures  Original: English  
 
SUBSIDIES 
QUESTIONS POSED BY THE UN ITED STATES REGARDING 
THE NEW AND FULL NOTIFICATION OF CANADA1 
The following communication, dated 25 January 2016, is being circulated at the request of the 
Delegation of the United States.  
_______________ 
  Strategic Aerospace and Defence Initiative 
 
Question 1  
This program is one of several Canada notified as part of its Transfer Payments Programs (TPP). 
Canada's planning and performance reporting for the TPP indicates that transfers were made during the reporting period under the "Bombardier CSeries Program".
2 Could Canada please 
confirm whether payments were made under this TPP sub-program during the reporting period and 
if so, explain why they were not notified?  Question 2 
 
Please indicate whether Bombardier received any funding under the Strategic Aerospace and Defence Initiative TPP sub-program during the reporting period that is not already covered by 
funding provided under the Bombardier CSeries Program.  
 Technology Demonstration Program 
 
Question 3  Public sources indicated that this program provid es "non-repayable contributions in support of 
large-scale technology demonstration projects in  the aerospace, defence, space and security 
sectors".
3 Could Canada please confirm whether payments were made under this TPP sub-program 
during the reporting period and if so, please explain why they were not notified? Please also 
specify whether Bombardier received any funding under this program during the reporting period. 
 Automotive Partnership Canada 
 
Question 4  Public sources indicate that this Government of Canada initiative provides support for R&D 
activities to benefit the Canadian automotive industry. Funded projects include, inter alia , next 
generation e-vehicles, battery technology, metal testing, and new transmission technology.
4 Could 
Canada please provide a full notification of th is program or otherwise explain why this program 
does not meet the notification requirements? 
                                               
1 G/SCM/N/284/CAN. 
2 See https://www.ic.gc.ca/eic/site/017.nsf/eng/07481.html ; 
https://www.ic.gc.ca/eic/site/017.nsf/eng/07481.html#SO2-prog-01 . 
3 See https://www.ic.gc.ca/eic/site/ito-oti.nsf/eng/h_00837.html . 
4 See http://www.apc-pac.ca/ . G/SCM/Q2/CAN/65 
 
- 2 - 
 
  Canadian Youth Business Foundation 
 Question 5  
In its last notification, Canada notified this pr ogram, indicating that it "will end 31 March 2014". 
Please indicate whether any funds were disbursed under this program during the reporting period. 
Please also specify whether this program did in fact expire by the date noted.
5 
 
Transformative Technology Program  
 Question 6 
 
In its last notification, Canada notified this program, indicating that it was "set to expire on 31 March 2014". Please indicate whether any funds were disbursed under this program during the 
reporting period. Please also specify whether this program did in fact expire by the date noted.
6 
 Provincial Programs Not Reported 
 
Question 7   The United States appreciates Canada's efforts to improve its notification of provincial and 
territorial government subsidies. However, we also note that public sources indicate that many 
programs are active. Notably, according to the WTO Secretariat's Report in Canada's 2015 Trade Policy Review, citing Canada Business Network, a government information service, there are about 
"755 support programmes providing assistance to businesses in the form of grants, loan 
guarantees, tax refunds and credits, and wage subsid ies. Many are at the provincial level and thus, 
restricted to recipients established in the province." The report further states that most of the 
programs are "specifically targeted to a particular sector or location and that many programmes 
offered were with respect to grants or contributions."
7 This stands in contrast to the 112 programs 
notified by Canada in 2013 (58 federal, 54 provincial) and the 115 notified in 2015 (56 federal and 59 provincial). The United States again expresses its concern that Canada's current notification still 
does not notify such programs. Could Canada address why it has not notified programs that the 
Secretariat was able to identify?  
Investissement Québec; Government of Qu ébec Aeronautical Development Strategy 
 Question 8 
 
Canada's most recent responses on Investissement Québec (see G/SCM/Q2/CAN/62 and G/SCM/Q2/CAN/64) state that funding under this program does not provide specific subsidies and is not in itself a program and need not be notified. The United States would express its continued 
concern regarding Canada contentions regarding this program. The programs' website places 
special focus on a limited number of industries, including, inter alia, aerospace , agri-food, 
information and communication technologies, life sciences, and microelectronics. This 
concentration of funding for certain key sectors is also reflected in the programs' annual report.
8 
Can Canada please explain why, in light of the program's apparent focus on certain industries, including aerospace, it does not consider this  program subject to the Article 25 notification 
requirements? 
 McInnis Cement Plant  
Question 9 
 Please explain why the government financial support provided to the McInnis cement plant has not 
been notified?  
 
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5 G/SCM/N/253/CAN. 
6 G/SCM/N/253/CAN. 
7 See W/TPR/S/314 at p. 80, para. 3.115. 
8 See http://www.investquebec.com/documents/qc/publications/RAIQ_2013-2014_fr.pdf .