Communiqué

New February 1, 2006

Implementation of the Wood Packaging Materials (WPM) Regulation for North America

&
"Made in Canada - Not Required"

           

November 9, 2005

IPPC-ISPM 15 Wood Packaging – USA-Canada as of February 2nd, 2006


Dear CWPCA/ACMPC Member:

           Extension of Drop-Dead Date

As of September 12, 2005 the governments of North American have decided to extend the drop-dead date or compliance date for imported WPM from all countries to February 1, 2006.

The date was changed when the government survey was returned and only 34% of US and 60% of Canadian consumers where confident they understood and are ready for the implementation of both the import and export of certified wood packaging/IPPC-ISPM 15.

Therefore, all imported merchandise using Wood Packaging Material-WPM [wooden pallets, boxes, crates, blocking, bracing, dunnage, spacers, bearers, heavy and light crating] will have an additional six months to recognize and accept the demands of IPPC-ISPM 15 when shipping to all NAFTA countries.

By reciprocal regulations, Wood Packaging Material made from Canadian origin wood or U.S. origin wood (or a combination of Canadian origin wood and U.S. origin wood) will be exempt from treatment and marking under this regulation when used in trade between these two countries.  For purposes of enforcement of this exception, and absent acceptable proof to the contrary, U.S. Customs and Border Protection (CBP) will consider the country of origin of merchandise coming from Canada to be the country of origin of the accompanying WPM.

USA/Canadian/Mexican Customs & Border Protection [CBP] continues to work very closely with counterparts to develop the most effective methodology for implementing this WPM initiative.  Since we share common land borders and high traffic volume in both directions it was decided among the customs administrations that none of the three countries would implement their WPM action plan unilaterally.  All three countries have agreed to implement their WPM initiatives modeled on U.S. CBP’s phased implementation approach. 

Because some exemptions exist for Canadian origin WPM that do not exist for Mexican origin material, we anticipate more instances of returned WPM on our southern border.  At this time CBP is still in discussion with colleagues in both Canada and Mexico on the best way to implement returns of non-compliant WPM.  Detailed instructions on this aspect of our WPM implementation will be issued during Phase I,

Be advised the United States and Canada have mutually agreed not to regulate wood packaging moving between their two countries and recognize that the existing pest specific regulatory controls already in place as sufficient protection.

 Additional details on the new requirements may be found on the following websites: 

1.   www.customs.ustreas.gov/
choose Wood Packaging Material (WPM) 
choose Implementation plan

2.  www.cbp.gov/xp/cgov/import/commercial_enforcement/wpm/wpm_faq.xml

 

3.  www.inspection.gc.ca/english/plaveg/for/cwpc/wdpkgqae.shtml       
choose  Question 10 for the answer.

 

CHANGE - Origin Canada/Made in Canada – No enforcement by US Customs & Border Protection

Trevor Yu of the CFIA, on our conference call of this week, stated that the U.S.A has agreed not to enforce requirements that Canadian wood packaging be accompanied with a declaration identifying the wood packaging as Canadian Origin. This information is posted as a frequently asked question on the Customs & Border Protection Website at www.cbp.gov/linkhandler/cgov/import/commercial_enforcement/wpm/wpm_faq.ctt/wpm_faq.doc

It states

Q: What kinds of WPM are covered by this rule?
A: Most wood packaging materials are covered by the new rule including wooden packaging materials such as pallets, crates, boxes, and pieces of wood used to support or brace cargo. These materials are currently referred to as solid wood packing material (SWPM), which is defined as ‘‘[wood packing materials other than loose wood packing materials, used or for use with cargo to prevent damage, including, but not limited to, dunnage, crating, pallets, packing blocks, drums, cases, and skids.”
Q: Are there any exceptions to the rule?
A: There are certain exceptions, yes. They are:
  • Manufactured wood materials such as fiber board, plywood, whisky and wine barrels, plywood, strand board, and veneer,
  • Pieces of wood that are less than 6 mm (0.24 in) in any dimension,
  • Sawdust, wood wool, and wood shavings, produced as a result of sawing or shaving wood into small, slender, and curved pieces less than 6 mm in any dimension, and
  • WPM used by the U.S. Department of Defense (DOD) to package non-regulated articles, including commercial shipments pursuant to a DOD contract.

Firewood, mesquite wood for cooking, and small, noncommercial packages of unmanufactured wood for personal cooking or personal medicinal purposes will continue to be allowed to enter directly from Mexican border states.

In addition, by reciprocal regulations in the U.S. and Canada, WPM made entirely from Canadian origin wood or U.S. origin wood are exempt from the treatment and marking requirements in trade between the two countries. Please see additional detail in the next few questions for shipments to and from Canada.

USDA has grandfathered in all wine crates for vintage years preceding 2006. This means that wine crates for any wine with a vintage year through 2005 are exempt from treatment and marking requirements regardless of when entry is made. Wines of vintage year 2006 and beyond will be required to be in crates that have been treated and marked.

Articles of wood that are manufactured to transport a specific non-regulated commodity (for example, fuel gauges, armaments, ammo boxes, etc.) are not considered to be WPM and are not required to be treated and marked.

WPM that is part of any bundle of imported lumber is exempt from the rule. Other WPM used in the transport of bundled lumber (for example, pallets or planks) are not exempt and are regulated WPM.

There is no requirement for treatment or marking of WPM in domestic circulation.

Q: Please explain the Canada exception to the rule.
A: WPM made entirely of Canadian origin wood or U.S. origin wood is exempt from the treatment and marking requirements in trade between the two countries. The exception only pertains to WPM coming directly to the U.S. from Canada or directly to Canada from the U.S.

For purposes of enforcement of the USDA WPM rule, CBP has decided that the country of origin of the commodity is the country of origin of the WPM on all shipments coming from Canada absent an indication to the contrary. In other words, WPM in shipments of Chinese-made goods coming from Canada will be considered Chinese and must be treated and marked unless there is documentation to prove the WPM is Canadian. WPM in shipments of Canadian-made goods coming from Canada will be considered Canadian and need not be marked.

Q: I still don’t understand the Canada rule—am I required to have a statement or not?
A: CBP has decided for operational purposes that the country of origin of the associated merchandise is the country of origin of the WPM absent indication to the contrary. Therefore,
  • If the country of origin of the goods is Canada, and the goods are coming directly from Canada into the U.S., we will hold that the country of origin of the WPM is also Canada absent an indication to the contrary. Canada origin WPM is exempt from the regulation, so nothing more is required.
  • If the country of origin of the goods is, say, China, and the goods are coming directly from Canada into the US, we will hold that the country of origin of the WPM is also China absent an indication to the contrary; China origin WPM need to be treated and marked.
  • If the country of origin of the merchandise, to follow through on this example, is China, but it has been repackaged in Canada on Canadian WPM, and the shipment is coming directly from Canada into the U.S., we will still hold that the country of origin of the WPM is China absent an indication to the contrary. A statement is the simplest way to provide CBP with an indication to the contrary.
    In a nutshell, then, if other-than-Canada origin merchandise is coming directly from Canada into the U.S. with Canada origin WPM, CBP needs some way to know that the WPM are Canada origin. This can most simply be a statement that the officer will see when the load arrives.

Repaired IPPC-ISPM 15 Pallet Used for Domestic Use
This office has been informed that if a pallet retrieval company collects an IPPC-ISPM 15 stamped pallet and repairs that pallet, this repair company is allowed to repair that pallet with a new green board, HT board or used board and sell this pallet for domestic use.

This company does not have to re-heat treat that unit if it is being used for domestic use.

To be able to use this wooden pallet/box/wood packaging the company must eliminate or black out the IPPC-ISPM 15 mark prior to sale.

This obliteration of the IPPC-ISPM 15 mark guarantees that this pallet or box cannot be sold for export until it has been re-heated and certified using the IPPC-ISPM 15 stamp of the pallet company wishing to sell this unit as an export pallet.

Domestic use of this wooden pallet/box/wood packaging is defined as, “the movement of this unit across Canada and into the USA.”

 Fraternally yours;

Gordon Hughes

Executive General Manager