 
. /.  WORLD TRADE  
ORGANIZATION  G/SCM/Q2/CAN/18 
20 July 2004 
 (04-3125) 
Committee on Subsidies 
and Countervailing Measures Original:   English 
 
 
 
SUBSIDIES  
 
Questions Posed by the UNITED STATES  
Regarding the New and Full Notification of CANADA1 
 
  The following communication, dated 19 July 2004, is being circulated at the request of the Delegation of the United States.  
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INDUSTRIAL PROGRAMMES 
 
I. DEFENCE INDUSTRY PRODUCTIVITY PROGRAMME 
1. Please explain in more detail the types of orga nizations that are eligible to receive funding 
under this programme.  For example, are private companies eligible?  2. Please also explain which industries are c onsidered producers of "viable defence or 
defence-related products".   Additionally, is funding under this  programme only used to fund public 
defence-related projects, or is funding al so available for commercial projects, e.g.
, commercial 
aircraft/engines?   
II. ONTARIO COMMUNITY FUTURES PROGRAMME B 
 Please explain whether there are conditions/lim its on the industries eligible for assistance 
under this programme.  What industries have benefited from this programme? 
  
III. COASTAL QUEBEC, COMMUNITY ECONOMIC ADJUSTMENT INITIATIVE 
PROGRAMME & FISHERIES ACCESS PROGRAMME 
 Would you please explain in more detail the types of activities funded by the above-listed 
programmes?  Please also explain whether each of  these programmes take into account overcapacity 
and/or overproduction when granting funding. 
 
IV. TECHNOLOGY PARTNERSHIPS CANADA 
1. It is stated that the government’s investme nt ratio will normally vary between 25 per cent and 
30 per cent of the eligible costs of each project and,  where justified,  the maximum sharing ratio may 
reach 50 per cent if it is essential to the success of  the project.  Do these payments cover all costs 
associated with the funded project? 
                                                     
 
1 G/SCM/N/95/CAN G/SCM/Q2/CAN/18 
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2. How are the royalty/repayments determined ?  How does the repayment  schedule conform 
with or relate to similar, comme rcially funded projects?  At what point in a TPC funded project does 
repayment occur?  How is a "project’s market su ccess" defined for purposes of royalty/repayment?  
 
3. What percentage of investments result in "s uccessful commercial exploitation of the results of 
the supported projects?"  How and to what extent ha ve these projects generated "a satisfactory return 
on government’s investments".  How is this measured?  4. It is our understanding that, as of early 2004,  total TPC commitments were CN$2.356 billion 
(of which about two-thirds has been disbursed) and that repayments through 2002 totalled only about 
CN$30 million.  Could Canada please confirm or correct this statement?  
V. STRUCTURED FINANCE FACILITY 
 Please explain how this programme is consis tent with Article 3.1(b) of the Subsidies 
Agreement. 
 
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