Order Amending the China Surtax Remission Order (2024) and the United States Surtax Remission Order (2025): SOR/2025-147

Canada Gazette, Part II, Volume 159, Number 15

Registration
SOR/2025-147 June 26, 2025

CUSTOMS TARIFF

P.C. 2025-533 June 26, 2025

Her Excellency the Governor General in Council, on the recommendation of the Minister of Finance, makes the annexed Order Amending the China Surtax Remission Order (2024) and the United States Surtax Remission Order (2025) under section 115footnote a of the Customs Tariff footnote b.

Order Amending the China Surtax Remission Order (2024) and the United States Surtax Remission Order (2025)

China Surtax Remission Order (2024)

1 Items 3 and 4 of Schedule 1 to the China Surtax Remission Order (2024) footnote 1 are repealed.

2 Item 9 of Schedule 1 to the Order is repealed.

3 The portion of item 1.2 of Schedule 2 to the Order in columns 2 to 4 is replaced by the following:
Item

Column 2

Tariff Item

Column 3

Description of Goods

Column 4

Period

1.2 7212.40.00 Steel strapping, with open or closed steel sleeves From October 22, 2024 to August 31, 2025
7217.90.00 Steel black annealed wire coils, rebar tie wire and galvanized black annealed wire coils From October 22, 2024 to December 31, 2025
4 The portion of item 1.3 of Schedule 2 to the Order in column 2 is replaced by the following:
Item

Column 2

Tariff Item

1.3 7223.00.00.90
5 Schedule 2 to the Order is amended by adding the following after item 9:
Item

Column 1

Business Number

Column 2

Tariff Item

Column 3

Description of Goods

Column 4

Period

Column 5

Conditions

9.01 741519524 7222.11.00.10 Stainless steel rebar From October 22, 2024 to December 31, 2025  
6 The portion of item 9.1 of Schedule 2 to the Order in columns 2 to 4 is replaced by the following:
Item

Column 2

Tariff Item

Column 3

Description of Goods

Column 4

Period

9.1 7217.10.00 Non-alloy steel wire, not plated or coated, whether polished or not From October 22, 2024 to December 31, 2025
7217.30.00 Copper plated steel wires, plated or coated with other base metal From October 22, 2024 to June 1, 2026
7 Schedule 2 to the Order is amended by adding the following after item 15:
Item

Column 1

Business Number

Column 2

Tariff Item

Column 3

Description of Goods

Column 4

Period

Column 5

Conditions

15.1 813792462 7607.11.00.20 Aluminum foil, not backed, rolled but not further worked, with a thickness of at least 0.005 mm but not exceeding 0.127 mm, of alloy 8079 From October 22, 2024 to December 31, 2025  

United States Surtax Remission Order (2025)

8 Section 4 of the United States Surtax Remission Order (2025) footnote 2 is replaced by the following:

Remission — goods referred to in Schedule 1

4 Subject to section 5, remission is granted of surtaxes paid or payable under the United States Surtax Order (2025-1) in respect of the goods referred to in column 1 of Schedule 1 that are classified under a tariff classification number set out in column 2.

Remission — goods referred to in Schedules 2 and 3

4.1 Subject to section 5, remission is granted of surtaxes paid or payable under the United States Surtax Order (2025-1) or the United States Surtax Order (Steel and Aluminum 2025) in respect of the goods referred to in column 2 of Schedule 2 or 3 that are classified under a tariff classification number set out in column 1.

Remission — goods referred to in Schedule 4

4.2 Subject to section 5, remission is granted of surtaxes paid or payable under the United States Surtax Order (2025-1) or the United States Surtax Order (Steel and Aluminum 2025) in respect of the goods referred to in column 3 of Schedule 4 that are classified under a tariff classification number set out in column 2.

Remission — motor vehicles

4.3 Subject to section 5, remission is granted of surtaxes paid or payable under the United States Surtax Order (Motor Vehicles 2025) in respect of

9 Paragraph 5(a) of the Order is replaced by the following:

10 The schedule to the Order is numbered as Schedule 1.

11 The Order is amended by adding, after Schedule 1, the Schedules 2 to 5 set out in the schedule to this Order.

Coming into Force

12 This Order comes into force on the day on which it is registered.

SCHEDULE

(Section 11)

SCHEDULE 2

(Section 4.1)

Goods
Item Column 1 Tariff Classification Number Column 2 Goods
1 0404.10.10
  • (a) Instantized whey protein concentrate, with a minimum 80% protein on a dry basis;
  • (b) Instantized whey protein hydrolysate, with a minimum 80% protein on a dry basis and a level of hydrolysis of 1 to 4%;
  • (c) Whey protein concentrate 80%
2 1006.20.00.10 Long grain brown rice, husked for bulk processing in Canada
3 1006.30.00.11 Long grain rice, semi-milled or wholly milled, whether or not polished or glazed, parboiled
4 2505.10.00 Silica sand and quartz sands
5 3502.20.00
  • (a) Instantized whey protein isolate with a minimum of 90% protein on a dry basis;
  • (b) Whey protein isolate 90%;
  • (c) Hydrolyzed whey protein concentrate 80%
6 3923.29.90 Sacks and bags (including cones), of plastics
7 3925.90.00 Fibreglass bullet-resistant wall panels
8 4011.80.10 New pneumatic tires, of rubber, of a kind used on construction, mining or industrial handling vehicles and machines, for use with combination excavating and transporting scrapers of subheading 8429.30 or 8430.69, of a size of 36.00 inches × 51 inches or 40.00 inches × 57 inches
9 4011.80.90 New pneumatic tires, of rubber, of a kind used on construction, mining or industrial handling vehicles and machines with rim diameters of 27 inches or more
10 4012.90.90 Tire treads and tire flaps, of rubber
11 4407.29.00 Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm. Of tropical wood: Cabreuva or Jatoba
12 4407.91.00 Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm. Of oak (Quercus spp.): white oak or red oak
13 4407.93.00 Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm. Of maple (Acer spp.)
14 4407.94.00 Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm. Of cherry (Prunus spp.), in bundles of debarked and sliced, raw (no coating, unshaped) sawn lumber, with a length of 8 to 12 feet, with a width of 4 to 24 inches, with a moisture content of 50 to 80%, No. 2 or No. 3 common grade
15 4407.95.00 Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm. Of ash (Fraxinus spp.), in bundles of debarked and sliced, raw (no coating, unshaped) sawn lumber, with a length of 8 to 12 feet, with a width of 4 to 24 inches, with a moisture content of 50 to 80%
16 4407.99.00 Wood sawn or chipped lengthwise, sliced or peeled, whether or not planed, sanded or end-jointed, of a thickness exceeding 6 mm. Of hickory (Carya spp.) or black walnut (Juglans spp.)
17 4408.10.00 Sheets for veneering (including those obtained by slicing laminated wood), for plywood or for similar laminated wood and other wood, sawn lengthwise, sliced or peeled, whether or not planed, sanded, spliced or end-jointed, of a thickness not exceeding 6 mm. Of coniferous wood
18 4408.39.00 Sheets for veneering (including those obtained by slicing laminated wood), for plywood or for similar laminated wood and other wood, sawn lengthwise, sliced or peeled, whether or not planed, sanded, spliced or end-jointed, of a thickness not exceeding 6 mm. Of tropical wood: Other
19 4408.90.00 Sheets for veneering (including those obtained by slicing laminated wood), for plywood or for similar laminated wood and other wood, sawn lengthwise, sliced or peeled, whether or not planed, sanded, spliced or end-jointed, of a thickness not exceeding 6 mm. Other
20 4409.29.90 Wood continuously shaped along any of its edges, ends or faces, whether or not planed, sanded or end-jointed. Of shagbark hickory (Carya ovata) or mockernut hickory (Carya tomentosa), with straight grain and free of knots and defects: squares of a width of 1 inch, height of 1 inch and length of 18.5 inches or dowels of a diameter of 0.805 inches or 0.875 inches
21 4412.33.00 Plywood sheets, of poplar (Populus spp.), of a thickness of 3/8 inch, of dimensions 4 feet × 8 feet, industrial grade, 4-ply, C-C finish
22 4412.99.00 High density wood fibre panels, certified to be formaldehyde-free, of a thickness of 2.3 mm, sandblasted on both sides, light in colour
23 4819.30.00.10 Sacks and bags, having a base of a width of 40 cm or more, multiwall, of paper
24 4819.40.00.20 Other sacks and bags, including cones, multiwall, of paper
25 5703.21.00 Synthetic turf for sports applications for conversion into a modular system made in Canada, of straight fibres extruded and tapered (layer 1) and texturized fibres extruded then texturized, stretched and tapered (layer 2)
26 6305.33.00 Polywoven bags, of a kind used for the packing of goods, of polyethylene or polypropylene strip or the like
27 7113.11.10.90 Clasps, posts, cups, earring backs or posts with settings, of 14 carat or 10 carat sterling silver, for use in the manufacture of jewelry
28 7113.19.10.90 Rope chain or curb chain, of 14 carat or 10 carat gold, for use in the manufacture of jewelry
29 7209.18.00 Flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more, not further worked than cold-rolled or cold-reduced, not clad, plated or coated, in coils, of a thickness of less than 0.5 mm, of specification ASTM 1045, 1050, 1055 or 1067-1070
30 7210.12.00 Tinplate sheets of dimensions 28.5 inches × 28.875 inches, 30 inches Ã— 30 inches or 34.875 inches Ã— 34.875 inches, with a thickness of 0.0135 inches, coated with up to 0.25 pounds of tin on both sides, of specification ASTM A623 or A624 (Material T1, batch annealed)
31 7210.69.00 Flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more, plated or coated with aluminum, other than with aluminum-zinc alloys
32 7210.70.00
  • (a) Flat-rolled products of iron or non-alloy steel with a width of 600 mm or more, plated or coated in paint, varnish or plastic; or
  • (b) Tinplate sheets of dimensions 28.5 inches × 28.875 inches, with a thickness of 0.0135 inches, coated with up to 0.25 pounds of tin on both sides and then painted, of specification ASTM A623 or A624 (Material T1, batch annealed)
33 7210.90.00 Flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more, clad, plated or coated: PVC coated metal sheets that have all of the following characteristics:
  • Grade: G90
  • Specification: ASTM A653-23-CS, type B
  • Thickness/diameter: 24 gauge steel
  • Width: 96 inches
  • Length: 48 inches
  • Coating: 20 mil (0.5 mm) Duradek PVC film
34 7212.10.00 Tinplate coil of a length of 3 inches, 4.625 inches, 6.3125 inches, 11.3 inches or 16 inches, with a thickness of 0.0135 inches, coated with up to 0.25 pounds of tin on both sides, of specification ASTM A623 or A624 (Material T1, batch annealed)
35 7225.11.00 Silicon-electrical steel, grain-oriented, of a width of 600 mm or more
36 7225.19.00 Flat-rolled, amorphous electrical steel, of a width of 600 mm or more, of a ferro-boron metal glass produced through a spin melt casting process: iron based amorphous metal strip material for magnetic applications, with a thickness of 0.025 mm, single ply, with a coil weight of 800 kg, of specification ASTM A927 or A927M
37 7226.11.00 Silicon-electrical steel, grain-oriented, of a width of less than 600 mm
38 7226.19.00 Silicon-electrical steel, non-oriented, of a width of less than 600 mm
39 7306.30.00.89 Other tubes, pipes and hollow profiles of iron or steel, welded, of circular cross-section, of iron or non-alloy steel, that have all of the following characteristics:
  • Grade: 1008, 1010, 1015 or 1020
  • Yield/tensile strength: 40 000 psi yield / 45 000 psi tensile, 45 000 psi yield / 48 000 psi tensile or 50 000 psi yield / 55 000 psi tensile
  • Specification: ASTM A500 or A513
  • Diameter: 0.5 to 5 inches
  • Coating: in-line galvanizing process utilizing a triple layer of protection (first, a 99.99% pure SHG zinc coating is applied to the surface, followed by a conversion coating and a clear organic topcoat that seals the surface and produces a smooth, shiny finished product)
40 7306.61.00.39 (a) Other tubes, pipes and hollow profiles of iron or steel, welded, of square or rectangular cross-section, that have all of the following characteristics:
  • Grade: 1008, 1010, 1015 or 1020
  • Yield/tensile strength: 40 000 psi yield / 45 000 psi tensile, 45 000 psi yield / 48 000 psi tensile or 50 000 psi yield / 55 000 psi tensile
  • Specification: ASTM A500 or A513
  • Thickness: 0.625 to 4 inches (12 and 14 gauge)
  • Coating: in-line galvanizing process utilizing a triple layer of protection (first, a 99.99% pure SHG zinc coating is applied to the surface, followed by a conversion coating and a clear organic topcoat that seals the surface and produces a smooth, shiny finished product)
(b) Other tubes, pipes and hollow profiles of iron or steel, welded, of square cross-section, that have all of the following characteristics:
  • Grade: 50 or better
  • Specification: ASTM A1011
  • Dimensions: 1.5 inches × 1.5 inches, 1.75 inches × 1.75 inches, 2.00 inches × 2.00 inches, 2.25 inches × 2.25 inches or 2.5 inches × 2.5 inches
  • Coating: galvanizing that meets ASTM A653
41 7307.92.00 Threaded elbows, bends and sleeves, of specification API 5CT - Semi Premium
42 7307.99.00
  • (a) Tube or pipe fittings (for example, couplings, elbows, sleeves), of iron or steel, of specification GBCD-Butt, GBCD-EHTQ, GBCD-Slim Hole, Rattler, TCBC or BTB; or
  • (b) Tube or pipe fittings (for example, couplings, elbows, sleeves), of iron or steel, that have all of the following characteristics:
    • Grade: L80 or P110
    • Specification: API 5CT - Semi Premium
    • Outside Diameter: 4.500 to 9.625 inches
    • Dimensions: per API 5CT
43 7308.10.00 Bridges and bridge-sections, of iron or steel
44 7310.21.00 Steel cans, for food or aerosol, that have
  • (a) a size of 420 ml, a thickness of 0.0120 inches and a gold modified acrylic coating;
  • (b) a size of 540 ml, a thickness of 0.0073 inches and a double gold polyester coating;
  • (c) a size of 796 ml, a thickness of 0.0081 inches and a double gold polyester coating; or
  • (d) a size of 2.84 L, a thickness of 0.0105 inches and a double gold polyester coating.
45 7606.12.00
  • (a) Aluminum coils, with a thickness of 0.0106 to 0.018 inches, with a width of 1.165 to 10.7086 inches, with a polyester or epoxy laminate, of alloys 5352 and 5042; or
  • (b) Aluminum sheets coated with an electron beam cure, with a thickness of 0.045 inches, in sheets of 49 inches Ã— 97 inches
46 8517.69.00 Machines for the reception, conversion and transmission of voice: talk through units (TTU) that are UL-listed and designed to be mounted on a countertop or window to allow for communication through glass or another barrier

SCHEDULE 3

(Section 4.1 and subparagraph 5(a)(ii))

Goods
Item

Column 1

Tariff Classification Number

Column 2

Goods

1 7209.16.00 Flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more,
not further worked than cold-rolled or cold-reduced, not clad, plated or coated, in coils, of a thickness exceeding 1 mm but less than 3 mm, of specification ASTM 1045, 1050, 1055 or 1067-1070
2 7209.17.00 Flat-rolled products of iron or non-alloy steel, of a width of 600 mm or more,
not further worked than cold-rolled or cold-reduced, not clad, plated or coated, in coils, of a thickness of 0.5 mm or more but not exceeding 1 mm, of specification ASTM 1045, 1050, 1055 or 1067-1070
3 7211.23.00 Flat-rolled products of iron or non-alloy steel, of a width of less than 600 mm, not clad, plated or coated, not further worked than cold-rolled or cold-reduced, containing by weight less than 0.25% carbon, of specification ASTM 1045, 1050, 1055 or 1067-1070
4 7211.29.00 Flat-rolled products of iron or non-alloy steel, of a width of less than 600 mm, not clad, plated or coated, not further worked than cold-rolled or cold-reduced, other, of specification of ASTM 1045, 1050, 1055 or 1067-1070

SCHEDULE 4

(Section 4.2 and paragraph 5(a.1))

Goods
Item

Column 1

Business Number

Column 2

Tariff Classification Number

Column 3

Goods

Column 4

Period

Column 5

Conditions

1 100086768RC0001 7208.26.00
  • (a) Coil that has all of the following characteristics:
    • Grade: LAH340Y410T
    • Specification: MS.50002
    • Thickness: 0.138 inches
    • Width: 26.575 inches
    • Length: 12.205 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
  • (b) Coil that has all of the following characteristics:
    • Grade: HR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.138 inches
    • Width: 26.75 inches
    • Length: 8.5 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
7208.27.00
  • (a) Coil that has all of the following characteristics:
    • Grade: HR340LA
    • Specification: GMW2M-ST-S
    • Thickness: 0.079 inches
    • Width: 47.44 inches
    • Length: 15.905 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
  • (b) Coil that has all of the following characteristics:
    • Grade: HR340LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.079 inches
    • Width: 30 inches
    • Length: 21.5 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
7208.38.00.10
  • (a) Coil that has all of the following characteristics:
    • Grade: HR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.118 inches
    • Width: 33.5 inches
    • Length: 9.125 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2026  
  • (b) Coil that has all of the following characteristics:
    • Grade: HR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.118 inches
    • Width: 34.5 inches
    • Length: 9.125 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
  • (c) Coil that has all of the following characteristics:
    • Grade: HR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.138 inches
    • Width: 28.5 inches
    • Length: 9.25 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
7208.39.00 Coil that has all of the following characteristics:
  • Grade: HR270LA
  • Specification: GMW3032M-ST-S
  • Thickness: 0.091 inches
  • Width: 24.016 inches
  • Length: 9.646 inches
  • Coating: P&O
From March 13, 2025 to December 31, 2027  
7208.53.00 Blank, cut to length, that has all of the following characteristics:
  • Grade: HR270LA
  • Specification: GMW3032M-ST-S
  • Thickness: 0.118 inches
  • Width: 24 inches
  • Length: 86.85 inches
  • Coating: P&O
From March 13, 2025 to December 31, 2027  
7209.16.00.90
  • (a) Coil that has all of the following characteristics:
    • Grade: CR3
    • Specification: GMW2M-ST-S
    • Thickness: 0.047 inches
    • Width: 32.362 inches
    • Length: 6.693 inches
From March 13, 2025 to December 31, 2027  
  • (b) Coil that has all of the following characteristics:
    • Grade: CR3
    • Specification: GMW2M-ST-S
    • Thickness: 0.049 inches
    • Width: 26.7 inches
    • Length: 6.5 inches
From March 13, 2025 to December 31, 2027  
  • (c) Coil that has all of the following characteristics:
    • Grade: CR980T/700Y-MP-LCE
    • Specification: GMW3399M-ST-S
    • Thickness: 0.047 inches
    • Width: 47.795 inches
    • Length: 9.252 inches
From March 13, 2025 to December 31, 2027  
  • (d) Coil that has all of the following characteristics:
    • Grade: CR420LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.043 inches
    • Width: 42.756 inches
    • Length: 6.375 inches
From March 13, 2025 to December 31, 2027  
  • (e) Coil that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.059 inches
    • Width: 39.75 inches
    • Length: 13.3 inches
From March 13, 2025 to December 31, 2026  
7210.30.00 Blank, cut to length, that has all of the following characteristics:
  • Grade: CR180B2
  • Specification: GMW3032M-ST-S
  • Thickness: 0.059 inches
  • Width: 32.677 inches
  • Length: 14.094 inches
  • Coating: EG 70G70G
From March 13, 2025 to December 31, 2027  
7210.49.00.60
  • (a) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR3
    • Specification: GMW2M-ST-S
    • Thickness: 0.035 inches
    • Width: 58.74 inches
    • Length: 16.457 inches
    • Coating: HDG 90G90G
From March 13, 2025 to December 31, 2027  
  • (b) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR3
    • Specification: GMW2M-ST-S
    • Thickness: 0.039 inches
    • Width: 68.504 inches
    • Length: 37.008 inches
    • Coating: HDG 70G70G
From March 13, 2025 to December 31, 2027  
  • (c) Coil that has all of the following characteristics:
    • Grade: CR420LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.039 inches
    • Width: 28.5 inches
    • Length: 8.8 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
7210.49.00.70
  • (a) Coil that has all of the following characteristics:
    • Grade: LAC240Y320T
    • Specification: MS.50002
    • Thickness: 0.0787 inches
    • Width: 27.56 inches
    • Length: 40.35 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (b) Coil that has all of the following characteristics:
    • Grade: LAC240Y320T
    • Specification: MS.50002
    • Thickness: 0.0787 inches
    • Width: 27.6 inches
    • Length: 37.8 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (c) Coil that has all of the following characteristics:
    • Grade: LAC340Y410T
    • Specification: MS.50002
    • Thickness: 0.0787 inches
    • Width: 36.4 inches
    • Length: 31.1 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (d) Coil that has all of the following characteristics:
    • Grade: LAH340Y410T
    • Specification: MS.50002
    • Thickness: 0.098 inches
    • Width: 30.95 inches
    • Length: 8.25 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (e) Coil that has all of the following characteristics:
    • Grade: LAH340Y410T
    • Specification: MS.50002
    • Thickness: 0.098 inches
    • Width: 38.5 inches
    • Length: 13.55 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (f) Coil that has all of the following characteristics:
    • Grade: LAH340Y410T
    • Specification: MS.50002
    • Thickness: 0.098 inches
    • Width: 38.7 inches
    • Length: 13.3 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (g) Coil that has all of the following characteristics:
    • Grade: LAH340Y410T
    • Specification: MS.50002
    • Thickness: 0.118 inches
    • Width: 42.5 inches
    • Length: 17.6 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (h) Coil that has all of the following characteristics:
    • Grade: LAH340Y410T
    • Specification: MS.50002
    • Thickness: 0.1185 inches
    • Width: 27.64 inches
    • Length: 13 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (i) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR3
    • Specification: GMW2M-ST-S
    • Thickness: 0.047 inches
    • Width: 43.504 inches
    • Length: 11.713 inches
    • Coating: HDG 70G70G
From March 13, 2025 to December 31, 2027  
  • (j) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR3
    • Specification: GMW2M-ST-S
    • Thickness: 0.047 inches
    • Width: 44.488 inches
    • Length: 13.819 inches
    • Coating: HDG 70G70G
From March 13, 2025 to December 31, 2027  
  • (k) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR3
    • Specification: GMW2M-ST-S
    • Thickness: 0.098 inches
    • Width: 70.236 inches
    • Length: 14.173 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (l) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S or GMW16056 type A
    • Thickness: 0.071 inches
    • Width: 29.3 inches
    • Length: 107 inches
From March 13, 2025 to December 31, 2027  
  • (m) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S or GMW16056 type A
    • Thickness: 0.071 inches
    • Width: 29.6 inches
    • Length: 111 inches
From March 13, 2025 to December 31, 2027  
  • (n) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S or GMW16056 type C
    • Thickness: 0.071 inches
    • Width: 29.3 inches
    • Length: 107 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (o) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S or GMW16056 type C
    • Thickness: 0.071 inches
    • Width: 29.6 inches
    • Length: 111 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (p) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR180B2
    • Specification: GMW3032M-ST-S
    • Thickness: 0.059 inches
    • Width: 29.488 inches
    • Length: 14.508 inches
    • Coating: HDG 70G70G
From March 13, 2025 to December 31, 2027  
  • (q) Blank, cut to length, that has all of the following characteristics:
    • Grade: HR550LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.071 inches
    • Width: 32.25 inches
    • Length: 59.25 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (r) Blank, cut to length, that has all of the following characteristics:
    • Grade: HR550LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.071 inches
    • Width: 44.45 inches
    • Length: 59.25 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (s) Blank, cut to length, that has all of the following characteristics:
    • Grade: HR550LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.071 inches
    • Width: 47.205 inches
    • Length: 59.37 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (t) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR780T/420Y-DP
    • Specification: GMW3399M-ST-S
    • Thickness: 0.055 inches
    • Width: 52.362 inches
    • Length: 14.921 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (u) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR04
    • Specification: MS.50002
    • Thickness: 0.098 inches
    • Width: 28.189 inches
    • Length: 78.465 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (v) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S or GMW16056 type A
    • Thickness: 0.071 inches
    • Width: 27 inches
    • Length: 108 inches
From March 13, 2025 to December 31, 2027  
  • (w) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S or GMW16056 type A
    • Thickness: 0.063 inches
    • Width: 28.85 inches
    • Length: 104.33 inches
From March 13, 2025 to December 31, 2027  
  • (x) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S or GMW16056 type A
    • Thickness: 0.106 inches
    • Width: 23.75 inches
    • Length: 105.57 inches
From March 13, 2025 to December 31, 2027  
  • (y) Coil that has all of the following characteristics:
    • Grade: CR340 LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.051 inches
    • Width: 33.25 inches
    • Length: 5 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (z) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR240LA
    • Specification: GMW3032M-ST-S or GMW16056 type C
    • Thickness: 0.063 inches
    • Width: 27 inches
    • Length: 99.5 inches
    • Coating: HDG 60G60G
From March 13, 2025 to January 2, 2027  
7211.19.00.10 Coil that has all of the following characteristics:
  • Grade: CR270LA
  • Specification: GMW3032M-ST-S
  • Thickness: 0.079 inches
  • Width: 22.598 inches
  • Length: 3.28 inches
From March 13, 2025 to December 31, 2027  
7211.19.00.90
  • (a) Coil that has all of the following characteristics:
    • Grade: HR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.091 inches
    • Width: 22 inches
    • Length: 5.25 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
  • (b) Coil that has all of the following characteristics:
    • Grade: HR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.091 inches
    • Width: 22.17 inches
    • Length: 7 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
  • (c) Coil that has all of the following characteristics:
    • Grade: HR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.091 inches
    • Width: 22.5 inches
    • Length: 3.752 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
  • (d) Coil that has all of the following characteristics:
    • Grade: HR340LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.071 inches
    • Width: 8.937 inches
    • Length: 7.5 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
  • (e) Coil that has all of the following characteristics:
    • Grade: MS.50002
    • Specification: LAH240Y320T
    • Thickness: 0.067 inches
    • Width: 10.2 inches
    • Length: 8.5 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
  • (f) Blank, cut to length, that has all of the following characteristics:
    • Grade: HR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.118 inches
    • Width: 21.5 inches
    • Length: 85 inches
    • Coating: P&O
From March 13, 2025 to December 31, 2027  
7211.23.00 Coil that has all of the following characteristics:
  • Grade: CR3
  • Specification: GMW2M-ST-S
  • Thickness: 0.04 inches
  • Width: 13.1 inches
  • Length: 8.86 inches
From March 13, 2025 to December 31, 2027  
7212.20.00.30
  • (a) Coil that has all of the following characteristics:
    • Grade: CR180B2
    • Specification: GMW3032M-ST-S
    • Thickness: 0.031 inches
    • Width: 12.992 inches
    • Length: 4.252 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (b) Coil that has all of the following characteristics:
    • Grade: CR180B2
    • Specification: GMW3032M-ST-S
    • Thickness: 0.033 inches
    • Width: 15.5 inches
    • Length: 10 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (c) Coil that has all of the following characteristics:
    • Grade: CR180B2
    • Specification: GMW3032M-ST-S
    • Thickness: 0.039 inches
    • Width: 16.339 inches
    • Length: 11.654 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (d) Coil that has all of the following characteristics:
    • Grade: CR180B2
    • Specification: GMW3032M-ST-S
    • Thickness: 0.028 inches
    • Width: 12.5 inches
    • Length: 2.65 inches
    • Coating: EG 60G60G
From March 13, 2025 to December 31, 2027  
7212.30.00.30
  • (a) Coil that has all of the following characteristics:
    • Grade: CR180B2
    • Specification: GMW3032M-ST-S
    • Thickness: 0.031 inches
    • Width: 12.992 inches
    • Length: 4.252 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (b) Coil that has all of the following characteristics:
    • Grade: CR180B2
    • Specification: GMW3032M-ST-S
    • Thickness: 0.033 inches
    • Width: 15.5 inches
    • Length: 10 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (c) Coil that has all of the following characteristics:
    • Grade: CR180B2
    • Specification: GMW3032M-ST-S
    • Thickness: 0.039 inches
    • Width: 16.339 inches
    • Length: 11.654 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
7212.30.00.40
  • (a) Coil that has all of the following characteristics:
    • Grade: LAH340Y410T
    • Specification: MS.50002
    • Thickness: 0.1185 inches
    • Width: 14.87 inches
    • Length: 71.43 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (b) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR240LA
    • Specification: GMW3032M-ST-S or GMW16056 type A
    • Thickness: 0.063 inches
    • Width: 23.476 inches
    • Length: 81 inches
From March 13, 2025 to December 31, 2027  
  • (c) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S or GMW16056 type C
    • Thickness: 0.071 inches
    • Width: 20.445 inches
    • Length: 107.008 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
  • (d) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR270LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.071 inches
    • Width: 20.445 inches
    • Length: 107.008 inches
From March 13, 2025 to December 31, 2027  
  • (e) Blank, cut to length, that has all of the following characteristics:
    • Grade: CR340LA
    • Specification: GMW3032M-ST-S
    • Thickness: 0.079 inches
    • Width: 16.25 inches
    • Length: 101.125 inches
From March 13, 2025 to December 31, 2027  
  • (f) Blank, cut to length, that has all of the following characteristics:
    • Grade: IFC180Y330T
    • Specification: MS.50002
    • Thickness: 0.118 inches
    • Width: 20 inches
    • Length: 34.5 inches
    • Coating: HDG 60G60G
From March 13, 2025 to December 31, 2027  
2 101400760RT0001 7218.99.00.90 Stainless steel in ingots or other primary forms: semi-finished products of stainless steel    
7219.21.00 Flat-rolled products of stainless steel, of a width of 600 mm or more, not further worked than hot-rolled, not in coils, of a thickness exceeding 10 mm    
7220.11.00 Hot-rolled stainless steel plate, of a width of less than 600 mm, of a thickness of 4.75 mm or more    
7220.20.00 Flat-rolled products of stainless steel, not further worked than cold-rolled or cold-reduced, of a width of less than 600 mm    
7222.11.00.91 Hot-rolled stainless steel bars, round, of a diameter of 25 mm or more    
7222.19.00.11 Hot-rolled stainless steel flat bars, of a diameter of 25 mm or more    
7222.19.00.29 Hot-rolled stainless steel bars, of rectangular cross section    
7222.20.00 Cold-formed or cold-finished stainless steel bars, of rectangular cross section    
7222.30.00 Other bars and rods of stainless steel: angles, shapes and sections of stainless steel    
7222.30.00.30 Other bars and rods of stainless steel: angles, shapes and sections of stainless steel, high nickel alloy    
7228.50.00.90 Other bars and rods of solid alloy steel, not further worked than cold-formed or cold-finished    
7228.60.00 300M AMS 6419 alloy steel round bars    
7326.19.90 Steel forgings    
7326.90.90.90 Open-die forged steel plate    
7604.29.00 Aluminum alloy rods and bars    
7606.12.00 Aluminum alloy plate, not clad    
7608.20.00 Aluminum tubes and pipes, of aluminum alloys    
7616.99.90.29 Aluminum castings    
7616.99.90.30 Aluminum forgings    
3 101803575RM0001 4012.90.90.30 Tire treads   Imported for sale to company with business number 122644537
4 102710027RC0002 8418.69.90.80 Refrigeration units, of a kind used for trucks, trailers or vans    
5 119873420RM0002 7225.99.00
  • (a) Steel coils that have all of the following characteristics:
    • Grade: Ductibor 1000
    • Thickness: 1.14 to 2 mm
    • Width: 1131 to 1240 mm
    • Coating: Al-Si
From March 13, 2025 to December 31, 2027  
     
  • (b) Steel coils that have all of the following characteristics:
    • Grade: Usibor 1500
    • Thickness: 1.4 mm
    • Width: 1628 mm
    • Coating: Al-Si
From March 13, 2025 to December 31, 2027  
6 121478390RC0001 4823.69.00.90 Custom paperboard trays    
7 127109387RT0001 7308.90.00.99 The following guard rail end barrier systems, of specification AASHTO M180, NCHRP-350 (test level TL-3) and MASH (test level TL-3), with an A123 coating:
  • (a) FLEAT-SP;
  • (b) FLEAT 350;
  • (c) SKT 350;
  • (d) SKT-SP;
  • (e) BEAT;
  • (f) FLEAT MT;
  • (g) BEAT MT
From March 13, 2025 to April 22, 2027 Imported for supply to the Ministère des Transports et de la Mobilité durable du Québec
8 128522992BN0001 8309.90.00 Can lids From March 13, 2025 to July 1, 2026  
9 133586628RM0001 7310.29.00 Tanks, casks, drums or cans of a capacity of less than 50 litres    
8309.90.00 Stoppers, caps and lids of base metal    
10 139975262RC0002 8418.69.90.80 Refrigeration units, of a kind used for trucks, trailers or vans    
11 723167151RM0001 9504.30.00 Games operated by coins, bank notes, bank cards, tokens or by other means of payment From March 4, 2025 to April 25, 2025  
12 731056107RT0001 8806.23.00 Unmanned aircraft, for remote-controlled flight only, with maximum take-off weight more than 7 kg but not more than 25 kg   Goods imported to fulfill contract CW2384495
13 791357346RT0001 9405.11.00 Chandeliers and other electric ceiling or wall lighting fittings, designed for use solely with light-emitting diode (LED) light sources From March 4, 2025 to April 5, 2025  
9405.19.00 Chandeliers and other electric ceiling or wall lighting fittings, other than those designed for use solely with light-emitting diode (LED) light sources From March 4, 2025 to April 5, 2025  
9405.21.00 Electric table, desk, bedside or floor-standing luminaires, designed for use solely with light-emitting diode (LED) light sources From March 4, 2025 to April 5, 2025  
9405.29.00 Electric table, desk, bedside or floor-standing luminaires, other than those designed for use solely with light-emitting diode (LED) light sources From March 4, 2025 to April 5, 2025  
9405.42 Other electric luminaires and lighting fittings, designed for use solely with light-emitting diode (LED) light sources From March 4, 2025 to April 5, 2025  
9405.49 Other electric luminaires and lighting fittings, other than those designed for use solely with light-emitting diode (LED) light sources From March 4, 2025 to April 5, 2025  
14 825387335RT0001 0805.10.00 Fresh oranges    
0805.40.00 Fresh grapefruit    
0805.50.00 Fresh lemons and limes    
15 838782944 8419.81.00 Portable pizza oven, of a kind for use in a food truck From March 4, 2025 to April 25, 2025  
16 841564214RT0001 1003.90.91 Feed barley From March 4, 2025 to May 31, 2025  
17 849087549RM0001 7606.12.00 Aluminum sheets that have all of the following characteristics:
  • Specification: ASTM B209-14
  • Thickness: 0.208280 mm to 8.700008 mm
  • Width: 914.4 mm to 2041 mm
  • Length: 272.11 mm to 10 724.12 mm
   
18 849922893RT0001 1006.30.00 Semi-milled or wholly milled rice, whether or not polished or glazed    
19 865848790RT0001 8418.69.90.80 Refrigeration units, of a kind used for trucks, trailers or vans    
20 885957597RT0001 7308.30.00.29 Rolling steel door: McKeon model IS3020E-M-PC   Remission limited to one rolling steel door, imported for supply to building project at 400 Albert Steet, Ottawa, Ontario
21 892695016RC0001 8418.69.90.70 Refrigeration condensing units    
8418.69.90.80 Refrigeration units, of a kind used for trucks, trailers or vans    
22 894660406RT0001 8418.69.90.80 Refrigeration units, of a kind used for trucks, trailers or vans    
23 896297645RM0001 3925.10.00 Agricultural water tanks, of medium-density polyethylene with UV inhibitors, with translucent walls for level visibility and gallon indicators, designed for liquids with a specific gravity of up to 1.7 relative to water at 4°C, equipped with polymer baffles for fluid control, with molded-in legs and band locators for tie-down, of a capacity of 3250 gallons, 3750 gallons or 4250 gallons From March 4, 2025 to July 31, 2026  

SCHEDULE 5

(Paragraph 4.3(a))

Motor Vehicles

REGULATORY IMPACT ANALYSIS STATEMENT

(This statement is not part of the Order.)

Issues

The Government of Canada has recently imposed tariffs on certain Chinese-made goods and on certain goods made in the United States (U.S.). The Government indicated it would consider remissions requests related to these surtaxes.

Background

U.S. surtax remission

On March 4, 2025, the United States imposed tariffs of 25% on Canadian goods and 10% on Canadian energy and potash for goods non-compliant with the Canada-United States-Mexico Agreement (CUSMA). On March 12, 2025, the United States imposed further tariffs of 25% on all Canadian steel and aluminum products. On April 3, 2025, the United States imposed global tariffs of 25% on imports of passenger vehicles and trucks. In the case of Canada (and Mexico), these auto tariffs apply in full to non-CUSMA originating vehicles, but apply only to the non-U.S. content of CUSMA originating vehicles.

Canada has responded to these tariffs by introducing a suite of countermeasures designed to compel the United States to remove its tariffs as soon as possible. On March 4, 2025, the Government of Canada imposed 25% tariffs on $30 billion in goods imported from the United States. On March 13, 2025, the Government of Canada imposed 25% tariffs on an additional $29.8 billion in steel, aluminum, and other products imported from the United States in response to U.S. tariffs against Canadian steel and aluminum products. In addition, on April 9, 2025, the Government of Canada imposed 25% tariffs on non-CUSMA compliant U.S.-made vehicles, and on the non-Canadian and non-Mexican content of CUSMA compliant U.S.-made vehicles.

These surtaxes are implemented through three separate orders in council: the United States Surtax Order (2025-1), the United States Surtax Order (Steel and Aluminum 2025), and the United States Surtax Order (Motor Vehicles 2025), made pursuant to section 53 of the Customs Tariff. They will remain in place until the United States eliminates its tariffs against Canadian goods.

Public consultations held in the context of these surtaxes confirmed stakeholder support for these countermeasures as a necessary response to U.S. tariffs. However, some stakeholders noted concerns with their ability to shift supply chains due to factors such as no or limited alternative sources of supply (short supply), or the requirement for certain products to comply with certification requirements, product specifications or contractual requirements, requiring Canadian businesses to purchase U.S. products.

On March 4, 2025, the Government announced a framework and process for how it will consider remission requests for the tariffs on products from the United States. Under specific circumstances, remission allows for relief from the payment of surtaxes, or the refund of surtaxes already paid. Remission represents an exception to the rules by providing for relief of otherwise applicable duties. Therefore, the Government considers remission only where it is required to address exceptional and compelling circumstances that, from a public policy perspective, are found to outweigh the primary rationale behind the application of the tariffs.

China surtax remission

The Government of Canada imposed a 100% surtax on Chinese-made electric vehicles on October 1, 2024, and a 25% surtax on Chinese-made steel and aluminum products on October 22, 2024. These measures, implemented through the China Surtax Order (2024), were introduced in response to concerns about unfair trade practices and to support domestic industries.

On October 18, 2024, the Government outlined a framework and process for considering remission requests related to these surtaxes on Chinese-made goods. Following an initial assessment of remission requests, the China Surtax Remission Order (2024) entered into force on January 31, 2025, providing relief from surtaxes on imports of certain steel, aluminum, and electric vehicles in cases of short supply, contractual obligations, or other exceptional circumstances. Following the assessment of additional remission requests, the Order Amending the China Surtax Remission Order (2024) [the amending order] entered into force on March 23, 2025, expanding the scope of steel and aluminum goods eligible for remission to further address the challenges faced by Canadian businesses.

Section 115 of the Customs Tariff provides the authority for the Governor in Council to remit surtaxes on the recommendation of the Minister of Finance.

Objective

The objective of this Order is to

Description

Pursuant to section 115 of the Customs Tariff, the amending order remits surtaxes paid or payable on imports of certain goods from the United States, and amends Schedule 1 and Schedule 2 of the China Surtax Remission Order (2024).

United States Surtax Remission Order

The United States Surtax Remission Order is amended to extend remission to goods classified under a tariff item listed in Schedules 2 through 5 of the amending order: 

China Surtax Remission Order (2024)

Regulatory development

Consultation

On March 4, 2025, Canada announced a public comment period with respect to the potential application of tariffs on a wide range of imports from the United States, including auto imports. From March 4 to April 2, 2025, Canada’s public comment period resulted in extensive stakeholder input and feedback, with nearly 7 000 written submissions.

Canadian businesses, stakeholders, and partners generally confirmed their support for Canada’s surtaxes on certain U.S. goods. However, some stakeholders noted concerns with their ability to shift supply chains away from the United States due to limited alternative sources of supply (short supply), the requirement for certain inputs comply with certification requirements, product specifications or contractual obligations. Stakeholders also raised concerns with the scope of Canada’s auto surtaxes, particularly their application to ambulances, hearses, motor homes and all-terrain vehicles.

On March 4, 2025, the Government of Canada also published on the Department of Finance’s website a notice explaining the remissions framework and process under which remission could be provided for surtaxes imposed on imports from the United States. Since that time, the Department has received a very high volume of requests from businesses seeking relief from the surtaxes on U.S. imports.

The Government has previous held public consultations between July 2 and August 1, 2024, on potential policy responses to unfair Chinese trade practices in electric vehicles, including on the imposition of surtaxes on Chinese electric vehicles pursuant to Section 53 of the Customs Tariff. In addition, a comment period was held between August 26 and September 20, 2024, following the issuance of a Notice of Intent to apply a surtax on Chinese-made steel and aluminum products. As with U.S. surtaxes, a framework and process under which remission could be provided were published on the Department of Finance’s website.

Further, Canadian producers were consulted on supply conditions in Canada in respect of the goods claimed to be in short supply by the remission requestors. Their views informed the short supply determinations made with respect to the remission of surtaxes for goods in Schedule 2 and Schedule 3. Following publication of the China Surtax Remission Order (2024), some Canadian producers raised concerns with certain goods included in Schedule 1, informing the decision to move these goods to Schedule 2 of that Order.

Modern treaty obligations and Indigenous engagement and consultation

Following an assessment of modern treaty implications, no adverse impacts on potential or established Indigenous or treaty rights, which are recognized and affirmed in section 35 of the Constitution Act, 1982, were identified in the Order.

Instrument choice

Section 115 of the Customs Tariff provides the authority for the Governor in Council to remit surtaxes on the recommendation of the Minister of Finance.

Regulatory analysis

Benefits and costs

This Order is a relieving mechanism to the benefit of industry impacted by the U.S. surtaxes. The administrative costs for Canadian businesses to claim remission of the surtaxes are expected to be limited.

In accordance with the criteria that have been set out, remission is provided only where warranted due to conditions of short supply, pre-existing contractual obligations, and exceptional circumstances requiring lead time for Canadian businesses to adjust their supply chains to the surtaxes.

Items listed in Schedules 2 and 3 are goods that are used as inputs for further manufacturing in Canada and are not reasonably available from any other alternative sources globally. In the absence of remission, Canadian businesses that use these goods would have to pay the surtax, which would increase production costs. Depending on the product, these costs could ultimately be passed on to Canadian consumers or downstream producers. Schedules 2 and 3 mitigates this issue by providing remission for such goods, regardless of the importer or the company using them.

Goods listed in Schedule 4 have been identified as items for which a contract is already in place requiring Canadian businesses to purchase U.S. inputs, or companies are facing exceptional circumstances, and more time is required to complete the process of switching suppliers to avoid significant adverse impacts on the Canadian economy. In these cases, remission allows additional time for companies to fulfill original contracts or switch suppliers without being unduly burdened by surtaxes.

The motor vehicles listed in Schedule 5 and elsewhere in the Order are not included in the United States’ tariffs on Canadian exports. Providing remission will align Canada’s retaliatory tariffs on motor vehicles with those of the United States, benefitting Canadian consumers, businesses, and governments who use those vehicles.

Moving certain goods from Schedule 1 to Schedule 2 of the China Surtax Remission Order will support Canadian producers of those goods by limiting broad-based remission for imports from China. Company-specific remission will remain available under Schedule 2 for the original requestors, ensuring they are not negatively affected by this change.

For importations made after the date of entry into force of this amending order, remission claims can be made for each applicable importation as part of the process of filling existing customs documentation requirements. The importer will be required to include one extra code on their usual import document. As in all cases, the importer must maintain records supporting their importation (e.g. related to tariff classification, entitlement to a tariff preference, entitlement to the remission). There would be minimal incremental costs for the Government to process the claims.

Importers requesting a refund for goods imported prior to the entry into force of this amending order will submit forms to the Canada Border Services Agency (CBSA), accompanied by supporting documentation, establishing that the imported goods qualify for remission. There would be minimal incremental costs for industry to supply the documentation and for the Government to process the claims.

Small business lens

Analysis under the small business lens concluded that the Order will impact small businesses. Some of the importers meet the definition of “small business” in the Policy on Limiting Regulatory Burden on Business, and the process to claim remission of duties paid meets the definition of “administrative burden” set out in the Policy. No additional flexibility is necessary for small businesses claiming remission, as all eligible importers already possess the original customs forms required to justify remission and will benefit from the remitted funds.

One-for-one rule

This Order relates to tax administration and is exempt from the requirement to offset administrative burden and regulatory titles under the one-for-one rule. The requirement for Canadian importers to submit claims for remission meets the Red Tape Reduction Act definition of administrative burden on businesses. However, duties are considered to be “taxes” for the purpose of the one-for-one rule and have been exempted from the offset requirement.

Regulatory cooperation and alignment

The amending order is not related to a work plan or commitment under a formal regulatory cooperation forum.

Effects on the environment 

In accordance with the Cabinet Directive on Strategic Environmental and Economic Assessment, a preliminary scan concluded that this Order would not result in positive or negative environmental effects; therefore, a strategic environmental and economic assessment is not required.

Gender-based analysis plus (GBA+)

No impacts based on gender and other identity factors have been identified for this Order.

Implementation, compliance and enforcement, and service standards

The CBSA will assess any claims for remission made pursuant to the Order and will ensure compliance with its terms and conditions in the normal course of its administration of customs and tariff-related legislation and regulations. In doing so, the existing administrative framework will be leveraged to ensure that costs can be managed within existing resources. Any refund issued pursuant to the amending order will be administered by the CBSA. Depending on the volumes and complexity of refund submissions, the CBSA strives to achieve a 90-day processing standard.

Contact

Laura Bourns
Director
Domestic Tariff Policy
International Trade Policy Division
Department of Finance Canada
Ottawa, Ontario
K1A 0G5
Telephone: 343‑550‑7777