Log in or register
Share on LinkedInShare on LinkedIn

ARTICLE · 11 FEBRUARY 2021

State Of Play: The Uk's New Subsidy Control Regime

Gowling WLG
Gowling WLG
Contributor
Gowling WLG

Gowling WLG

The firm The firm’s lawyers speak English, French, Russian and Ukrainian. The firm’s client base...

View firm profile
Explore more from Gowling WLG

EU State aid law ceased to apply to the UK upon the expiry of the Brexit transition period on 31 December 2020 - save for limited exceptions as set out in the EU-UK Withdrawal Agreement of 2018.

CanadaInternational Law
Bernardine Adkins
Bernardine Adkins
Sean Giles
Sean Giles
Claire Bradwell
Claire Bradwell
Author LinkedIn connections

EU State aid law ceased to apply to the UK upon the expiry of the Brexit transition period on 31 December 2020 - save for limited exceptions as set out in the EU-UK Withdrawal Agreement of 2018.1

In its place, the UK Government proposes to establish a domestic subsidy control regime. On 3 February 2021, the Government launched a public consultation on this proposed regime. The consultation closes on 31 March 2021.

In the meantime, the grant of state financial support in Great Britain remains in a state of limbo - the 'old' EU system has not been carried over into domestic law as 'retained' law. Further, as we explore below, while the UK is bound by its international obligations under the World Trade Organization ("WTO") rules and the UK-EU Trade and Cooperation Agreement (the "TCA"), these do not have direct effect in a national court nor are there yet UK implementing provisions for these obligations.

We operate a free-to-view policy, asking only that you register in order to read all of our content. Please login or register to view the rest of this article.

Register for freeORLog in

The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.

View source

Related Articles

Legal Intelligence Newsletters: sign up for the latest legal and regulatory news on your chosen topics

Read more about

See more popular content from

Article

Canada Announces New Counter-Tariffs And Support Measures Following US Tariff Actions

Canada has announced sweeping counter-tariffs ranging from 15% to 50% on approximately C$27.6 billion of US imports, effective September 8, 2026, in direct response to President Trump's 50% Section 338 tariffs on Canadian goods. The measures target key sectors including steel, aluminum, dairy, appliances, and electronics, while the federal government simultaneously rolls out C$7.5 billion in support for affected businesses and workers. Understanding whether products qualify as US goods under Canada's markin
CanadaInternational Law
Cassels
Cassels
Article

CBSA Anti-Dumping And Countervailing Duty Investigations: Truck And Bus Tires From China – What Producers, Exporters, And Importers Need To Know

Canada has initiated anti-dumping and countervailing duty investigations into truck and bus tires from China, with preliminary determinations expected by November 30, 2026. Producers, exporters, and importers—including companies from Korea, Japan, and Singapore with Chinese operations—face critical September and October deadlines to submit comprehensive responses or risk significantly higher duty rates.
CanadaInternational Law
Gowling WLG
Gowling WLG
Article

Notice Concerning The Quota For Imports Of Chinese Electric Vehicles

The Government of Canada has introduced new rules governing the second allocation period for electric vehicle imports from China, increasing the available quota to 33,397 vehicles while maintaining strict permit requirements and a first-come, first-served allocation system. Global Affairs Canada signals potential intervention measures to ensure equitable access, particularly for original equipment manufacturers and new market entrants navigating this highly regulated import regime.
GlobalInternational Law
Bennett Jones LLP
Bennett Jones LLP
Article

From Duties To Import Bans: The Canada–U.S. Tariff War After The Collapse Of Negotiations

The United States has escalated its trade dispute with Canada by imposing import bans on alcoholic beverages, dairy products, and motorcycles under Section 338 of the Tariff Act of 1930, while Canada responds with matched counter-tariffs on $27.6 billion worth of U.S. goods. Following the collapse of bilateral negotiations in August 2026, both nations have entered an unprecedented phase of trade restrictions that extends beyond traditional tariffs to include procurement exclusions and threatens further auto
GlobalInternational Law
Borden Ladner Gervais LLP
Borden Ladner Gervais LLP
Article

Provisional Duties On Chinese Plywood

The Canada Border Services Agency has issued a preliminary determination imposing provisional anti-dumping duties ranging from 0% to 227.5% on decorative and non-structural plywood imports from China, effective August 24, 2026. With the Canadian International Trade Tribunal scheduled to hold public hearings in November 2026, the significant disparity between duty rates for cooperative versus non-cooperative exporters underscores the critical importance of timely participation in CBSA investigations.
CanadaInternational Law
Millar Kreklewetz
Millar Kreklewetz
Article

Canada’s Counter-Tariffs On US Goods: A Primer On What Canadian Businesses Need To Know

Effective September 8, 2026, Canada implemented retaliatory tariffs on certain U.S. goods in response to the initial 50% tariffs imposed by the US under Section 338 of the Tariff Act of 1930. To operationalize these measures, the Canada Border Services Agency (CBSA) issued Customs Notice 26-23, establishing binding administrative rules on how the surtax will be applied, calculated, and collected.
CanadaInternational Law
Fasken
Fasken
Article

The Trade War Tit-for-tat Continues: United States Responds To Canada’s Retaliatory Surtaxes With New Tariffs And Import Prohibitions

Canada and the United States have escalated their trade war with new retaliatory tariffs and import prohibitions taking effect in September 2026. What specific goods are now subject to these measures, and how do the complex layers of tariffs interact to impact cross-border commerce? This comprehensive analysis breaks down the latest developments in the deteriorating Canada-U.S. economic relationship.
CanadaInternational Law
Osler, Hoskin & Harcourt LLP
Osler, Hoskin & Harcourt LLP
Article

Gloves Off: Canada Answers U.S. Section 338 Tariffs Dollar-for-Dollar As Washington Escalates With Import Bans

Canada and the United States have entered a new phase of trade conflict, with Canada implementing retaliatory surtaxes on C$27.6 billion of U.S. goods while the United States escalates beyond tariffs to outright import prohibitions on Canadian alcohol, dairy products, and motorcycles. The dispute now extends into government procurement policy, raising questions about compliance strategies and supply chain restructuring as both nations tighten customs enforcement.
CanadaInternational Law
McCarthy Tétrault
McCarthy Tétrault
Article

Canada Imposes Counter-Tariffs On C$27.6-Billion Of U.S. Imports, Effective September 8, 2026

Canada has announced C$27.6-billion in counter-tariffs on U.S. imports, effective September 8, 2026, targeting over 700 product classifications across steel, aluminum, dairy, electronics, and other sectors. The measures represent a dollar-for-dollar response to U.S. Section 338 tariffs, with rates ranging from 15% to 50% depending on the product category. The government has also introduced a C$7.5-billion support package for affected Canadian workers and businesses.
CanadaInternational Law
Blake, Cassels & Graydon LLP
Blake, Cassels & Graydon LLP
Article

CBSA Anti-Dumping And Countervailing Duty Investigations: Truck And Bus Tires From China – What Producers, Exporters, And Importers Need To Know

Canada has initiated anti-dumping and countervailing duty investigations into truck and bus tires from China, with preliminary determinations expected by November 30, 2026. Producers, exporters, and importers—including companies from Korea, Japan, and Singapore with Chinese operations—face critical September and October deadlines to submit comprehensive responses or risk significantly higher duty rates.
CanadaInternational Law
Gowling WLG
Gowling WLG
Article

What Is The Hansa? From The Hanseatic League To Modern Cooperation Models

The term "Hansa" has re-emerged in modern geopolitical discourse, most notably through the 2026 Germany-Norway defence cooperation framework. This article examines how the principles of the medieval Hanseatic League—flexible coordination, shared standards, and mutual benefit without centralization—are being adapted to address contemporary challenges in defence, security, and cross-border collaboration.
GlobalInternational Law
Gowling WLG
Gowling WLG
Article

Peptides In Canada: Regulatory Reality Is Catching Up With The Hype

Health Canada's recent enforcement action against unauthorized injectable peptides signals a regulatory shift that wellness companies cannot afford to ignore. While peptides dominate influencer marketing and online wellness spaces, their legal status in Canada depends on factors far more complex than social media trends suggest. Understanding how route of administration, therapeutic claims, and market authorization intersect is now critical for compliance.
CanadaConsumer Protection
Gowling WLG
Gowling WLG
Article

The Warranty Of Good Working Order: New Québec Consumer Protection Regulation Takes Effect October 5, 2026

Starting October 5, 2026, Québec will introduce a new statutory warranty of good working order for consumer goods such as appliances and electronics, with minimum warranty periods ranging from 3 to 6 years. The legislation imposes disclosure obligations on manufacturers and merchants while prohibiting any attempts to exclude or limit this warranty. Businesses operating in Québec must adapt their practices to comply with these consumer protection requirements or face potential compliance issues.
CanadaConsumer Protection
Gowling WLG
Gowling WLG
Article

Canadian Product Stewardship And EPR: 2026 Summer Update

Canadian governments and producer-responsibility organizations are refining extended producer responsibility programs across the country, affecting packaging, batteries, electronics, and hazardous products. Recent regulatory changes include expanded collection obligations, adjusted compliance timelines, and new enforcement measures, with significant developments in British Columbia, Alberta, Saskatchewan, Manitoba, Ontario, Quebec, and Atlantic provinces.
CanadaEnvironment
Gowling WLG
Gowling WLG
Article

Understanding Canada’s new "Productivity Mega Deduction": Broad-based, immediate, and permanent expensing

Canada's new Productivity Mega Deduction promises to slash the marginal effective tax rate on business investment to just 6.4%, positioning the country as the most competitive G7 nation for capital deployment. This permanent tax incentive extends immediate expensing to roughly 65% of capital assets, fundamentally reshaping the economics of investing in Canadian operations across manufacturing, energy, technology, and resource sectors.
CanadaTax
Gowling WLG
Gowling WLG