Canada imposes new surtaxes of 15%, 25%, or 50% on a wide range of U.S.-origin goods

Plain-language summary · AI-assisted · not legal advice

A new federal order imposes surtaxes on hundreds of categories of goods that originate in the United States, calculated as a percentage of their customs value for duty. Depending on which tariff schedule a product falls under, the surtax rate is 15%, 25%, or 50%. Affected product categories span food items (cheeses, dairy, sugars), lumber and wood products, paper and packaging, flooring, appliances, hand tools, cutlery, railway equipment, furniture, clothing, cosmetics, and more. Certain goods are exempt, including goods in transit when the order takes effect, goods imported under the Import for Re-Export Program, specific personal imports by Campobello Island residents, and goods classified under Chapters 98 or 99 unless listed in Schedule 4. Importers and supply chain operators should review their product classifications against the four schedules to determine whether and at what rate surtaxes apply.

Who this affects: importers of U.S.-origin goods · customs brokers and trade compliance teams · manufacturers using U.S.-sourced inputs · retailers sourcing products from the United States · food and grocery distributors