In response to the ongoing trade dispute, Canada’s new counter-tariffs (surtaxes), on a wide range of goods imported from the United States went into effect on September 8, 2026.
Effective September 8, 2026, at 12:01 am ET, certain goods imported into Canada and originating in the U.S. became subject to a surtax of 15, 25, or 50 percent, in accordance with the United States Surtax Order (2026). The Schedules to the United States Surtax Order (2026) contain a complete list of goods subject to the surtax and the applicable surtax rate.
These additional tariffs only apply to goods originating from the U.S., which shall be considered as those goods eligible to be marked as a good of the U.S. in accordance with the Determination of Country of Origin for the Purpose of Marking Goods (CUSMA Countries) Regulations.
The following goods are not subject to the surtax:
- goods that are classified under a tariff item of Chapter 98 or 99 of the List of Tariff Provisions that is not set out in Schedule 4, even if the goods are otherwise classifiable under a tariff item set out in Schedule 1, 2 or 3;
- goods that are in transit to Canada on the day on which this Order comes into force;
‘In transit to Canada’ refers to goods bound for Canada but not yet arrived there and under the control of a carrier. Importers must have proof that such goods were in transit to Canada to demonstrate that the surtax is not applicable. Such proof may include the following documentation: shipping documents (for example, a bill of lading), report of entry documents, and cargo control documents. Such proof may be requested at any time by a CBSA officer. - goods that are imported from the United States at a port of entry on Campobello Island, New Brunswick, if the goods…
- are imported by a person who ordinarily resides on Campobello Island and who is returning after an absence from Canada of less than 24 hours,
- are in the person’s possession or form part of their baggage, and
- are for personal or household use;
- goods that are imported under a permit issued under subsection 8.3(3) of the Export and Import Permits Act, if the permit specifies that it is issued for the purposes of the Import for Re-Export Program.
Remission of Surtax
The Department of Finance Canada has updated the United States Surtax Remission Order (2025) to include the following remission for the current tariffs:
Remission — public health, public safety and national security
Subject to section 5, remission is granted of surtaxes paid or payable under the United States Surtax Order (2025-1), the United States Surtax Order (2026), the United States Surtax Order (Steel and Aluminum 2025) or the United States Surtax Order (Motor Vehicles 2025) in respect of goods imported for use by any of the following entities for the purpose of health care, public health, public safety, national defence or national security.
Remission — health care
Subject to section 5, remission is granted of surtaxes paid or payable under the United States Surtax Order (2025-1), the United States Surtax Order (2026), the United States Surtax Order (Steel and Aluminum 2025) or the United States Surtax Order (Motor Vehicles 2025) in respect of goods imported.
Remission — manufacture, processing, production or packaging
Subject to section 5, remission is granted of surtaxes paid or payable under the United States Surtax Order (2025-1), the United States Surtax Order (2026) or the United States Surtax Order (Steel and Aluminum 2025) in respect of goods imported for use, in Canada, in the manufacture or processing of any good, in the production of any agricultural product or in the packaging of a food product or beverage.
Clients of Universal Logistics are requested to reach out to your Client Relations Representative to advise if any of the above conditions pertain to your imports so we may take advantage of the relief available and apply the relief at time of import.
If you are unsure whether your products are subject to these countermeasure tariffs, our Customs Consulting Services regulatory team can help you determine the classifications. Reach out to Brian Rowe, Director – Customs Compliance & Regulatory Affairs, or your Universal Logistics representative.
