Order Amending the China Surtax Remission Order (2024), No. 2: SOR/2026-14
Canada Gazette, Part II, Volume 160, Number 3
Registration
SOR/2026-14 January 30, 2026
CUSTOMS TARIFF
P.C. 2026-53 January 30, 2026
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), No. 2 under section 115footnote a of the Customs Tarifffootnote b.
Order Amending the China Surtax Remission Order (2024), No. 2
Amendments
1 Subparagraph 1(2)(a)(ii) of the China Surtax Remission Order (2024)footnote 1 is replaced by the following:
- (ii) it is imported into Canada during the period beginning on October 22, 2024 and ending on December 31, 2026;
| Item | Column 1 Tariff Item |
Column 2 Description of Goods |
|---|---|---|
| 3.1 | 7212.30.00.10 | Flat-rolled products manufactured from non-alloy steel that have a width of less than 600 mm, are plated or coated with zinc, are of Grade DX51D or an equivalent grade and have a thickness of 0.14 mm |
| Item | Column 1 Tariff Item |
Column 2 Description of Goods |
|---|---|---|
| 13.1 | 7223.00.00.90 | Stainless steel wire with a triangular (delta) profile and a solid cross-section that is manufactured from grade 304, 304L, 316 or 316L stainless steel, and that has a hardness of 28 to 32 HRC, a cross-sectional area greater than 0.787 mm2 and dimensions of 0.090 inch by 0.105 inch |
| Item | Column 1 Tariff Item |
Column 2 Description of Goods |
|---|---|---|
| 21.01 | 7228.50.00.20 | Tool steel flat bars that are manufactured from alloy grades A8 MOD or H13 and that have a thickness of 1.375 inches or 3.00 inches |
| 21.02 | 7228.50.00.20 | Tool steel round bars that are manufactured from alloy grades D2 or A2 and that have diameters of at least 5.50 inches but not exceeding 13.00 inches |
| Item | Column 2 Description of Goods |
|---|---|
| 22 | Unfinished seamless carbon or alloy steel mother tubes that have an outside diameter of at least 184 mm but not exceeding 610 mm, a wall thickness of at least 9 mm but not exceeding 110 mm and a length of at least 7.72 m but not exceeding 15.24 m, that are not stenciled as meeting any line pipe product specification and that are suitable for use in the production, and not solely the finishing, of seamless line pipes manufactured to API 5L, CSA Z245.1, ISO 3183, ASTM A333, ASTM A335, ASTM A106, or ASTM A53 |
| Item | Column 1 Tariff Item |
Column 2 Description of Goods |
|---|---|---|
| 25.01 | 7304.90.00.10 | Seamless non-alloy steel tubes in the form of irregular or oval mother tubes that have an outer diameter of at least 20 mm but not exceeding 150 mm and a length of at least 8 m but not exceeding 12 m |
| 25.02 | 7304.90.00.20 | Seamless alloy steel tubes in the form of irregular or oval mother tubes that have an outer diameter of at least 20 mm but not exceeding 150 mm and a length of at least 8 m but not exceeding 12 m |
| Item | Column 1 Tariff Item |
Column 2 Description of Goods |
|---|---|---|
| 25.21 | 7306.30.00.41 | Welded steel tubes drawn over mandrel (DOM) that have circular cross-sections, and that have outer diameters of at least 4.95 inches but not exceeding 14.35 inches, a wall thickness of at least 0.185 inch but not exceeding 0.250 inch and inner diameters of at least 4.58 inches but not exceeding 13.85 inches |
| Item | Column 1 Tariff Item |
Column 2 Description of Goods |
|---|---|---|
| 35.1 | 7606.12.00 | Rectangular aluminum sheets that are manufactured from alloy AA3105, meet specification ASTM B209 and are coated in polyester paint |
| Item | Column 2 Description of Goods |
|---|---|
| 38.2 | Aluminum plates, in sheets and strips, that are manufactured from non-alloyed aluminum, have a thickness of at least 3.0 mm but not exceeding 5.5 mm, are circular and have a diameter of at least 100 mm |
| Item | Column 1 Tariff Item |
Column 2 Description of Goods |
|---|---|---|
| 38.21 | 7606.92.00 | Non-rectangular aluminum sheets that are manufactured from alloy AA3105, meet specification ASTM B209 and are coated in polyester paint |
| Item | Column 2 Description of Goods |
|---|---|
| 38.4 | Aluminum foil, in rolls, that have a thickness of at least 0.013 mm but not exceeding 0.017 mm, a width of at least 5 inches and a maximum length of 1700 feet, and that are manufactured from alloy 1145, 1235, 8011, 8079, or 8066 |
| Item | Column 2 Description of Goods |
|---|---|
| 39 | (b) Aluminum foil, in precut sheets, that has a thickness of at least 0.013 mm but not exceeding 0.017 mm, a minimum width of 5 inches and a maximum length of 16 inches, and that is manufactured from alloy 1145, 1235, 8011, 8079, or 8066 |
| Item | Column 3 Description of Goods |
|---|---|
| 4 | Spiral-welded steel piles that are used as temporary piles, and that have an outer diameter of at least 0.914 m but not exceeding 1.067 m and a length of at least 41 m but not exceeding 75 m |
| Item | Column 2 Tariff Item |
Column 3 Description of Goods |
|---|---|---|
| 5.1 | 7305.39.00.20 | Welded tubes manufactured from non-alloy steel that have circular cross-sections and an outer diameter of at least 1 m but not exceeding 3.2 m, a wall thickness of at least 19 mm but not exceeding 33 mm and a length not exceeding 50 m, and that are used as single-wall steel casing in drilling foundation piles |
| 7305.31.00.19 | Longitudinally welded tubes manufactured from non-alloy steel that have an outside diameter of at least 1 m but not exceeding 3.2 m, a wall thickness of at least 19 mm but not exceeding 33 mm and a length not exceeding 50 m |
| Item | Column 4 Period |
|---|---|
| 24 | From October 22, 2024 to December 31, 2025 |
16 Schedule 2 to the Order is amended by replacing “December 31, 2025” with “December 31, 2026” in the following provisions:
- (a) the portion of items 1 and 1.1 in column 4;
- (b) the portion of item 1.2 in column 4 opposite the tariff item “7217.90.00”;
- (c) the portion of items 2 to 4.1 in column 4;
- (d) the portion of item 5.1 in column 4;
- (e) the portion of items 8 to 9.01 in column 4;
- (f) the portion of items 9.2 to 23 in column 4;
- (g) the portion of item 24.01 in column 4;
- (h) the portion of item 24.2 in column 4; and
- (i) the portion of item 26 in column 4.
Coming into Force
17 This Order comes into force on the day on which it is registered.
REGULATORY IMPACT ANALYSIS STATEMENT
(This statement is not part of the Order.)
Issues
The Government of Canada has imposed surtaxes on certain Chinese-made goods and indicated it would consider remission requests related to these surtaxes.
Background
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.
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 China Surtax Remission Order (2024) was amended on March 23, 2025, June 26, 2025, and October 15, 2025, expanding the scope of steel and aluminum goods eligible for remission to further address the challenges faced by Canadian businesses.
Remission granted under the China Surtax Remission Order (2024) is time limited and generally expires by December 31, 2025. New remission requests continue to be received by the Department of Finance with respect to the surtaxes on Chinese-made goods.
Objective
The objective of the Order Amending the China Surtax Remission Order (2024), No. 2 (the amending order) is to amend the China Surtax Remission Order (2024) to expand the scope and duration of remission provided.
Description
Pursuant to section 115 of the Customs Tariff, the amending order remits surtaxes paid or payable on imports of certain goods from China.
The China Surtax Remission Order (2024) is amended to
- extend the duration of remission for products listed in Schedule 1 and for eligible importers under Schedule 2 from December 31, 2025, to December 31, 2026; and
- add nine items to Schedule 1, which remits surtaxes to any importer in respect of goods that have been determined to be in short supply, and update several existing product descriptions to better reflect tariff classifications and technical specifications.
Regulatory development
Consultation
The Government previously 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 the United States surtaxes, a framework and process under which remission could be provided was 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 requesters. Their views informed the short-supply determinations made with respect to goods in Schedule 1 of the China Surtax Remission Order (2024). As with earlier rounds of remission, not all requests were approved; applicants whose requests were not approved will be notified separately.
Indigenous engagement, consultation and modern treaty obligations
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 this amending 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 amending order provides targeted relief to Canadian industries affected by the China surtaxes. Administrative costs for businesses to claim remission are expected to be limited, as the process relies on existing customs documentation requirements.
In accordance with the criteria that have been set out in the remission framework, remission is provided only where warranted by conditions of short supply, pre-existing contractual obligations, or other exceptional circumstances requiring additional time for Canadian businesses to adjust their supply chains to the surtaxes.
Goods listed in Schedule 1 of the China Surtax Remission Order (2024) are inputs used for further manufacturing and processing in Canada and are not reasonably available domestically or from alternative global suppliers. In the absence of remission, Canadian businesses that use these goods would be required to pay the applicable surtaxes, which would increase production costs. Depending on the product, these costs could ultimately be passed on to Canadian consumers or downstream producers. Schedule 1 mitigates these impacts by providing remission to all importers of these goods, subject to the conditions set out in the Order.
Goods listed in Schedule 2 have been identified as items for which company-specific relief is warranted, such as where contractual obligations require the continued use of Chinese inputs for a defined period, or where exceptional circumstances limit the feasibility of immediately switching suppliers without significant adverse economic impacts. In these cases, remission provides affected companies with additional time to fulfil existing contracts or transition to alternative suppliers without bearing undue financial burden.
This amending order also extends the period during which remission may be claimed for all products listed in Schedule 1 and for most company-specific remissions listed in Schedule 2 to December 31, 2026. The remission period is being extended in recognition of the challenges importers continue to face in securing alternative sources of supply for critical inputs. The extension provides additional time for Canadian businesses to identify and certify new suppliers or complete ongoing projects without incurring additional costs arising from the surtaxes. For certain goods in Schedule 2, the remission period remains unchanged, reflecting that the circumstances justifying relief are time limited.
For applicable goods imported after the date of entry into force of this amending order, remission may be claimed by including the applicable authorization code on standard customs documentation. Importers must maintain the usual supporting records (e.g. relating to tariff classification, entitlement to a tariff preference or entitlement to the remission). As the process relies on existing documentation requirements, administrative costs for importers are minimal, and incremental costs for the Government to process such claims are expected to be limited.
For applicable goods imported prior to the coming into force of this amending order, importers may request refunds from the Canada Border Services Agency (CBSA) with supporting documentation establishing entitlement to remission. The incremental costs for industry to supply this documentation, and for the Government to process these claims, are expected to be minimal.
Small business lens
Analysis under the small business lens concluded that the Order Amending the China Surtax Remission Order (2024), No. 2 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 amending 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 amending order would not result in positive or negative environmental effects; therefore, a strategic environmental and economic assessment is not required.
Gender-based analysis plus
No impacts based on gender and other identity factors have been identified for this amending order.
Implementation, compliance and enforcement, and service standards
This amending order comes into force on the day it is registered. The CBSA will assess any claims for remission made pursuant to this amending 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 this 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
Email: laura.bourns@fin.gc.ca