• Country information
• Import Clearance Process
• General Import Prohibitions and Restrictions
• Export Clearance Process
• Helpful links for Canada
• General Export Prohibitions and Restrictions
• General Documentation
• Duties and Other Fees
• Regulatory Contact Information

Canada Regulatory Profile

Time

• Operates on Greenwich Mean Time (GMT)
• Daylight Savings Time is observed April through October (1 hour plus).
• Vancouver is Pacific Standard Time (PST) which is GMT – 7hrs.
• Calgary & Edmonton are Mountain Standard Time (MST) which is GMT – 6hrs.
• Winnipeg is Central Standard Time (CST) which is GMT – 5hrs.
• Toronto & Montreal are Eastern Standard Time (EST) which is GMT – 4hrs.

Trade Group Member

North America Free Trade Agreement (NAFTA) provides for the elimination or progressive reduction of tariffs between Canada, U.S. and Mexico. The exemption or reduced tariff is applicable only to goods qualified under the agreement as originating goods.

Canada-Chile Free Trade Agreement (CCFTA) provides for the elimination of barriers to trade in, and facilitate the cross-border movement of, goods and services between the territories of Canada and Chile. The exemption or reduced tariff is applicable only to goods qualified under the agreement as originating goods.

Canada-Israel Free TradeAgreement (CIFTA) provides for the elimination of barriers to trade in, and facilitate the movement of, goods between the territories of the Parties, and thereby to promote conditions of fair competition and increase substantially investment opportunities in the free trade area. The exemption or reduced tariff is applicable only to goods qualified under the agreement as originating goods.

Numerous bilateral and multilateral agreements, such as the Agreement on Textiles and Clothing (formerly the Multi-fiber Agreement), are grouped under the umbrella of the World Trade Organization (WTO), which is the successor to the General Agreement on Tariff and Trade (GATT). The WTO oversees most global trade in goods and services as negotiated in the various agreements; it also provides arbitration in case of disputes. MFN or Most Favored Nation tariff treatment is accorded to all countries who have ratified the WTO as well as to the other previous GATT members who have yet to ratify the accord.

Under the General Preferential Tariff (GPT) duty-free entry is allowed for direct importation into Canada of eligible goods from the countries listed in Schedule 1 of the Customs Tariff.
Convention on International Trade in Endangered Species (CITES) of wild fauna and flora provides for the seizure of shipments prohibited under this agreement and the assessment of fines.

Asia Pacific Economic Cooperation (APEC) is considering the progressive elimination of tariffs among the Pacific Rim members (Brunei, Canada, China, Hong Kong, Indonesia, Japan, Malaysia, Mexico, New Zealand, Papua New Guinea, Philippines, Singapore, South Korea, Taiwan, Thailand, and U.S.).

Major National Banks

• Bank of Montreal
• Bank of Nova Scotia
• Canada Trust
• Canadian Imperial Bank of Commerce (CIBC)
• National Bank
• National Trust
• Royal Bank of Canada
• Toronto Dominion Bank

Exchange Controls

There are no exchange controls.

Clearance and Customs Information

There are currently 256 approved ports of entry throughout Canada. This information can be found on Revenue Canada’s web site www.rc.gc.ca.

Revenue Canada 1 Front St. W., Toronto, Ont., M5W 1A3 - Phone 416-973-6413

FedEx Clearance Ports

FedEx’s major ports of clearance are located in Vancouver, Calgary, Edmonton, Winnipeg, Mississauga (P.I.A.), Ottawa, and Montreal.

Consular Fees

There are no consular fees.

Import Clearance Process

(For exporters shipping goods to Canada and for Canadian residents and businesses importing goods from other countries.)

General Import Process

There are three primary entry types for importing into Canada: 1) Order in Council (O.I.C.) clearances for shipments of $20.00 CAD or less; 2) Low Value Entries (LVS) for commodities valued at $1,599.99 CAD or less; 3) High Value Entries (HVS) for commodities valued at $1,600.00 or more. Please note; not all commodities valued at $1,599.99 CAD or less may be cleared as LVS entries. Some commodities require HVS entries regardless of value and/or quantity. When a shipment reaches Canada, FedEx will either advise the importer’s broker or file entry release documents on behalf of the importer of record (owner, purchaser or consignee) with Canada Customs at the port of entry. Imported goods are not legally entered until after the shipment has been released by Canada Customs. Canada Customs may pull any shipment at any time for review or investigation, which could result in clearance/delivery delays. NOTE:In addition to Revenue Canada Customs, importers should contact other agencies when questions regarding particular commodities arise. For example, questions about products regulated by the Plant Protection Act and Regulations should be forwarded to the Canadian Food Inspection Agency (CFIA). The same is true for alcohol, tobacco, firearms, wildlife products (furs, skins, shells), motor vehicles and other products and merchandise regulated by the 9 Canadian Federal Agencies for which Revenue Canada Customs enforces entry laws.

The importer of record or a licensed Customs Broker may account for goods. According to the Importer of Records’ profile FedEx GTS Canada will either advise shipments to the Importer’s designated Customs Broker or clear and account for the shipments with Revenue Canada Customs on behalf of the Importer. An air waybill may be used for LVS merchandise arriving by air, but HVS merchandise must be accompanied with a commercial invoice that contains all the data requirements of Revenue Canada Customs.

Goods may be transported in-bond to another port of entry for clearance by re-manifesting the shipment to that location. A bonded carrier is required to transport the shipment from the port of arrival to the port of clearance, unless the port of clearance is the destination anyway. Arrangements for transporting the merchandise to an interior port in-bond may be made by the consignee, by a customs broker or by any other person having sufficient interest in the goods for that purpose.

Accounting for goods is a two-part process consisting of (1) filing the release documents and (2) filing the entry documents for final accounting with Revenue Canada Customs.
HVS release requires the submission of the following documents: a.) Bill of lading or air waybill or A8A or manifest; b.) Canada Customs invoice form CI1 (CCI) or Commercial invoice or pro forma invoice that provide all data requirements as shown on the CCI; c.) Packing lists, if appropriate; d.) Any other documents necessary to determine merchandise admissibility, such as Import Permits, Export Permits, Form A, NAFTA, CIFTA, CCFTA origin forms.
LVS release requires the submission of the following documents: a.) Bill of lading or air waybill or A8A or manifest.
Both of these processes can be accomplished electronically via the Customs Automated Data Exchange System (CADEX) and goods may qualify for release prior to arrival due to special provisions like WHEELSUP.

HVS entries must be accounted for within five business days of the date of release of the shipment, unless an extension has been granted. Accounting is achieved by submitting a Canada Customs Coding Form (B3) physically or electronically to Revenue Canada Customs.
LVS entries must be accounted for by the third Sunday following the month of release. Accounting is achieved by submitting a consolidated entry of all LVS entries released for a given month to Revenue Canada Customs.
Both of these processes can be accomplished electronically via the Customs Automated Data Exchange System (CADEX).

According to Customs regulations it is to the importer’s responsibility to keep records of all their transactions for a period of 6 years plus current. At any time, Customs may raise importer compliance issues regarding any one or all transactions. Much of the information that Customs is concerned with is provided with the importer’s entry documentation.

If it is desired to postpone the release of the goods, they may be placed in FedEx’s cage in our bonded warehouse until all documentation has been obtain for appropriate release. The goods may only remain in the cage for 30 days from the date of release. If the goods are not released from Customs custody within 30 days, they are reported to the Queen’s warehouse.
Storage fees apply if an outside broker is handling the shipment for clearance, no storage fees apply for FedEx brokered shipments.
Please be advised that convention/show entries, temporary entries, E29B’s, warehouse entries and carnet’s are not part of FedEx’s regular clearance fees and are therefore subject to additional service fees and should be handled by a qualified Customs Broker.

If there is failure to file final accounting documentation for HVS goods at the port of entry or port of destination for in-bond shipments within five working days after release, Revenue Canada Customs will assess late accounting penalties.

FedEx Clearance

Working with Customs officials throughout the world, FedEx has developed innovative technology to eliminate many paperwork-handling steps and expedite the movement of international shipments. This is the FedEx Expressclear electronic Customs clearance system. Starting at the origin, state-of-the-art technology allows the processing of shipment paperwork and electronic transmission of documents to the designated FedEx hub and destination clearance location. The Expressclear system also keeps a database of regulatory information which includes importers numbers, broker designation, corporate contact names and telephone numbers. At a FedEx hub, international shipments are sorted, scanned and loaded onto an international flight. Vital shipment information is keyed into a worldwide manifest database which is linked to computer systems operated by brokers and Customs officials in many countries. Even before the plane has taken off, or while it is in the air, Customs agents and brokers at the destination airport of entry can begin examining shipping manifests, querying air waybill data if they need more details, assessing duties and taxes and selecting which shipments they wish to examine. By the time the plane arrives at his destination, many packages have already been cleared by Customs. As the plane is unloaded, the Expressclear system identifies packages to be examined and prints “cleared” Customs labels for all others. Cleared shipments can be transferred to trucks for immediate delivery. International shipments are scanned at all key points throughout the process and allows for up-to-date status reports including when Customs clearance is obtained.

Valuation Declaration

All goods shipping to Canada must have a value and description for the goods shipped. Everything has a value, know matter if a transaction took place or not.

General Import Prohibitions and Restrictions

The importation of certain classes of merchandise may be prohibited or restricted to protect the economy and security of Canada, to safeguard consumer health, well being, and to preserve domestic plant and animal life. Some commodities are also subject to an import quota or a restraint under bilateral trade agreements and arrangements. Many prohibited or restricted imports are subject, in addition to Customs requirements, to the laws and regulations administered by other Canadian Government agencies of which Revenue Canada Customs is the enforcer. These laws and regulations may, for example, prohibit entry; limit entry to certain ports; restrict routing, storage, use; require treatment, labeling or processing as a condition of release. Customs release only takes place when the additional requirements are met. These requirements apply to all importation types, including shipments made by mail. The exporter should make certain that the Canadian importer has provided proper information to (1) permit the submission of necessary information concerning packing, labeling, etc. and (2) that necessary arrangements have been made by the importer for entry of the merchandise into Canada. It is impractical to list all articles specifically in this country profile; however, the main prohibited or restricted articles are listed below. Importers into Canada should consult with the Canadian agencies governing the commodity for detailed information and guidance.

Agricultural Commodities (Animal and Plant products or commodities for Human Consumption) – Canadian Food Inspection Agency (CFIA), Agriculture and Agri-Food Canada (ACEIS), Export and Import Control Bureau (EPD)

Alcoholic Beverages – Revenue Canada Customs

Arms, Ammunition, Radioactive Materials – Department of Foreign Affairs and International Trade (DFAIT)

Consumer Products (Energy Conservation and Safety) – Health Canada, Canadian Standards Association (CSA)

Electronic Products – Health Canada, Canadian Standards Association (CSA)

Foods, Drugs, Cosmetics and Medical Devices – Health Canada, Export and Import Control Bureau (EPD)

Gold, Silver, Currency, Stamps – Revenue Canada Customs

Motor Vehicles and Boats – Revenue Canada Customs

Pesticides, Toxic and Hazardous Substances – Environment Canada, Revenue Canada Customs

Textile, Wool and Fur Products – Department of Foreign Affairs and International Trade (DFAIT)

Trademarks, Trade Names and Copyrights – Canada Customs

Wildlife and Pets – Environment Canada

Country of Origin Marking

Every article entering Canada must be marked with the name of the country of origin in legible English or French, unless an exception from marking is provided for in the law. The country of origin is the country of manufacture, production, or growth of the article. The requirement applies to each unit unless exempted. The phrase "made in" is required only in the case where the name of any locality other than the country or locality in which the article was manufactured appears on the article or its container. The marking "made in (country)," "product of (country)," or other words of similar meaning must appear in close proximity to and in comparable size letters of the other locality to avoid possible confusion. When marking is not feasible, such as when the article is too small or marking would in some way damage the merchandise, then the packaging or container that will reach the ultimate consumer must be marked.

Marking of goods must be legible. This means it must be of an adequate size, and clear enough, to be read easily by a person of normal vision. The article should be marked as indelibly and permanently as the nature of the product will permit. However, any reasonable method of marking that will accomplish the purpose of the law is acceptable. Marking that will not remain on the article during handling or for any other reason except deliberate removal is not a proper marking. The best form of marking is one which becomes a part of the article itself, such as branding, stenciling, stamping, printing, molding, and similar methods. Other forms of marking also will be acceptable if it is certain that the marking used will remain on the article, and will remain legible and conspicuous, until the article reaches the ultimate purchaser in Canada. It is important that this marking withstand handling. This means it must be of a type that can be defaced, destroyed, removed, altered, obliterated, or obscured only by a deliberate act. When tags are used, they must be attached in a conspicuous place and in a manner which assures that, unless deliberately removed, they will remain on the article until it reaches the ultimate purchaser.

All textile products must be permanently affixed with a readily accessible label containing the following information:

a)	fiber content shown by generic name in both English and French as a percentage of total mass for all fibers with a total mass of 100% and in order of predominance by mass;
b)	dealer identity shown as name and full postal address or dealer identification number, i.e., CA number.

Other special marking rules are issued by various regulatory agencies for specific products such as iron and steel pipe and pipe fittings, manhole cover parts, knives, scissors, razors, for surgical, scientific and laboratory equipment, for watches and clocks. These articles must be marked by cutting, die-sinking, engraving or stamping. Specific labeling requirements also exist for household appliances, food, drugs, electronics and for containers of alcoholic beverages.

Marking exemptions may apply to various articles due to their own specific limitations, like goods for one time use or articles that are incapable of being marked.

Personal Effects

Personal belongings of Canadian residents are entitled entry free of duty. Personal belongings taken abroad, such as worn clothing, etc., may be shipped back to Canada and will receive free entry provided they have not been altered or repaired while abroad and prior ownership can be proven.

The shipping documents should be clearly marked "Canadian Goods Returned" with the reason why.

Items such as watches, cameras, tape recorders, or other articles that may be uniquely identifiable by serial number or permanently affixed marking, should be documented on an identification card at the Customs office at the port of exit. The Identification of Articles for Temporary Exportation form (Y38) provided will expedite free entry of these items upon return. The certificate is valid for any future trips as long as the information on it remains legible. Registration must be made in person.

Gifts

Casual donations sent by people abroad to friends in Canada, or imported personally by persons who are not residents of Canada, as gifts for friends are not subject to duty or taxes.

Gift shipments are limited to a maximum of $60 CAD per gift. Advertising matter, tobacco, or alcoholic beverages are excluded from the gift provision.
Quota limitations on textiles do not apply to gift importations. Merchandise will not be subject to quota restrictions if the merchandise is imported as a bona-fide gift.

Samples

Samples may be subject to duty-free entry if they are of negligible value(the taxes and duties normally paid or payable would not exceed two dollars), are for solicitation of orders for the goods of the kind represented by the sample, there is not more than one sample of each kind or quality in a consignment and the goods are supplied directly from abroad. Consignment of foodstuffs, non-alcoholic beverages, perfumes and chemical products that will be consumed or destroyed during demonstration and are packaged in a manner which precludes their being used otherwise than as samples.

Designer Samples (Textiles)

Apparel manufacturers importing samples of apparel for the manufacturing of similar goods in Canada may bring one sample of each kind duty free into Canada. A shipment may contain several different samples, as long as there is only one sample of each kind. In order to enforce this condition, Customs requires that the style number of each sample appear on the commercial documents.

Temporary Imports

Articles consigned for Temporary Import traveling under Carnets, goods for display, goods for demonstration, goods for exhibition, goods for repair, goods for incorporation into other articles and goods imported for further processing and re-export are not acceptable for importation into Canada, via FedEx IP Service. These articles require special processing and customs clearance, which are not handled under the express carrier operation commitments. Clearance delays could be experienced on entries lodged for these types of shipments. Please call 1•800•Go•FedEx®.

Export Clearance Process

Exporting from Canada requires: (1) Export Compliance; (2) Knowledge of your commodity; (3) Proper documentation; (3) Pre-shipment requirements from the destination country.

The Department of Foreign Affairs and International Trade’s (DFAIT) legal mandate is to:

• conduct all diplomatic and consular relations on behalf of Canada;
• conduct all official communication between the Government of Canada and the government of any other country and between the Government of Canada and any international organization;
• conduct and manage international negotiations as they relate to Canada;
• coordinate Canada's economic relations;
• foster the expansion of Canada's international trade;
• coordinate the direction given by the Government of Canada to the heads of Canada's diplomatic and consular missions and to manage these missions;
• administer the foreign service of Canada;
• foster the development of international law and its application in Canada's external relations.

The Export and Import Controls Bureau (EPD) is responsible for administering the Export and Import Permits Act (EIPA) which was first enacted in 1947 and reports directly to DFAIT. While the economic benefits of free-flowing trade are one of Canada's greatest assets, controls have been judged essential for a variety of reasons:

• to regulate trade in military and strategic dual-use goods, and prevent the proliferation of weapons of mass destruction, as we are obliged to do under multilateral agreement;
• to prevent the supply of military goods to countries that threaten Canada's security, are under UN sanction, are threatened by internal or external conflict, and/or abuse the human rights of their citizens;
• to protect vulnerable Canadian industries, such as clothing manufacturing;
• to obtain negotiated benefits from international agreements;
• to implement trade restrictions in support of Canada's supply management programs;
• to fulfill other international obligations; and
• to implement UN Security Council trade sanctions.
   

Canada’s export reporting programs have two main objectives: 1) collect accurate information on Canadian exports and 2) control the export of strategic, embargoed, and dangerous goods. Some commodities exported from Canada are to be exported under an export license. Commodities controlled by an export license are under control of the EPD. The EPD uses the Export Control Listing (ECL) and Area Control Listing (ACL) as the primary enforcement tools. The ECL is a list of goods that require an export permit. The ACL is a list of countries for which export permits are required to export any and all goods. The EPD expects that all exporters to be aware and fully comply with the ECL and ACL. When exporting from Canada the destination country must be verified to ensure that the country is not on the ACL. If it is then the exporter must request an Export Permit that must be provided to Canada Customs at the time the goods are exported. Every person who violates any of the provisions or regulations of the EIPA is guilty of an offence and is liable for penalties, fines and imprisonment.

Export documentation requirements vary depending on the value of the goods, destination of the shipment and if the goods are controlled, prohibited or regulated. A bill of lading/air waybill is required for goods exported that are not to be reported to Canada Customs. Goods that must be reported require a bill of lading/air waybill, a B13A Export Declaration, an export report, as well as any export permits, certificates, licenses required for controlled, prohibited or regulated goods. There are no reporting requirements for all non-commercial shipments, shipments valued at less than $2,000 CAD, or shipments destined for the U.S/Puerto Rico/U.S. Virgin Islands. Reporting requirements are for all commercial shipments >=$2,000 CAD bound for non-U.S. origin destinations. All controlled, regulated commodities require an export permit regardless of the value. IT IS EXTREMELY IMPORTANT THAT ALL DOCUMENTS ARE ACCURATE IN EVERY WAY. ATTENTION TO DETAIL IS OF THE UTMOST IMPORTANCE.

General Export Prohibitions and Restrictions

Export controls imposed on Canadian exporters by the EPD can take the form of prohibitions such as blockades, embargoes, boycotts, and sanctions or they can take the form of controlled commodities, which require export permits. Export controls may be product specific, technology specific or Country specific.

The EIPA holds the ACL and ECL which list the commodities or areas that are under control and must have an export license. Check with DFAIT’s web site or contact them directly to determine if the destination or goods you are exporting are under control.

General Documentation

Air Waybill – An air waybill or carriers certificate (naming the consignee for customs purposes) as evidence of the consignee's right to make entry.

Commercial Invoice – Required for non-document shipments and to help prevent clearance delays they should be completed in English or French. If the CI is not completed in one of the legal languages of Canada the Canada Customs Revenue Agency (CCRA) may request a translation from a party who is knowledgeable of the transaction, which will cause a clearance delay. Specific invoice details are required for a number of commodities including the following:

• For audio/video cassettes and tapes, the length and width of the tape, a brief synopsis of content and the reason for exportation.
• For textiles, unless stated on the textile declaration, the fabric breakdown, whether knit or woven and, for clothing articles, the gender.
• For marked/mutilated samples the words “mutilated samples” or “marked samples, not for resale” as applicable.

Canada Customs Invoice Form CI1 (CCI) – Invoice developed by the Canadian government for commercial shipments to Canada. This invoice holds all relevant information required by Revenue Canada Customs. It is not the document that must be used, but does provide a good guide for information that is required if you are to use your own commercial invoice.

Certificate of Origin – A Certificate of Origin Form A may be required for goods under formal entry claiming preferential duty or exemption under the various agreements (GPT). It should be produced at the time of entry and must be in the possession of the Importer at the time of entry. Origin of the goods must be detailed on the commercial invoice.

NAFTA Certificate of Origin – It must be provided for qualifying goods from the U.S. or Mexico under formal entry. For commercial shipments under an informal entry, the invoice must include a statement certifying that the goods qualify as “originating”. Even if the certificate is not required to be presented, it should be in the possession of the importer at the time of entry and available should Customs request it.

CIFTA Certificate of Origin – It must be provided for qualifying goods from Israel under formal entry. For commercial shipments under an informal entry, the invoice must include a statement certifying that the goods qualify as “originating”. Even if the certificate is not required to be presented, it should be in the possession of the importer at the time of entry and available should Customs request it.

CCFTA Certificate of Origin – It must be provided for qualifying goods from Chile under formal entry. For commercial shipments under an informal entry, the invoice must include a statement certifying that the goods qualify as “originating”. Even if the certificate is not required to be presented, it should be in the possession of the importer at the time of entry and available should Customs request it.

Blanket Certificates of Origin (NAFTA/CIFTA/CCFTA) – Blanket certificates are issued to verify origin for multiple imports of the same commodity over a specific period of time that does not exceed 12 months.

Quotas – Under bilateral agreement quotas have been assigned to specific countries for specific products to allow the controlled importation of specific products.

Artwork Statement – The artwork statement is required for duty-free entry of original works of art such as sculptures, etchings, engravings, and lithographs.

Certification of Visual and Auditory Materials of an Educational, Scientific, and Cultural Character – A Certificate issued by Heritage Canada is required to qualify for the use of classification numbers 3705.90.10, 4905.99.10, 4911.99.10, 8524.51.20, 8524.52.20, 8524.53.20, and 8524.99.90.

Declaration of Antiquity – A declaration of antiquity must be shown on the invoice to claim duty-free entry of goods over 100 years old.  The statement must include the words “circa date” followed by the year of manufacture whether known or estimated.

Import Permits – Permits are required from DFAIT for the following:

• Milk and Dairy products
• Cheese
• Broiler Hatching Eggs & Chicks
• Eggs and Egg Products
• Margarine
• Wheat, Barley and Other grains
• Steel
• Textiles and Clothing (Shpts value at no more than $500 CAD or with less than 17 pieces DO NOT require a permit)
• Livestock and animals and parts of
• Poultry and related products
• Softwood lumber and products there of
• Items listed on the Import Control Listing (ICL)
• Firearms, ammunitions and explosives
• Radioactive materials and nuclear reactors

Export Permits – Specific export permits are required for commodities subject to export controls. The EPD is the agency for dual use exports (commercial items that may have military applications). Other departments and agencies have regulatory jurisdiction and issue licenses for controlled substances and precursor chemicals, for endangered fish and wildlife species, for defense services and articles, for arms and munitions, for nuclear material, equipment and technology, for fuels, for drugs and medical devices. License requirements are dependent upon an item’s technical characteristics, the destination, the end-use, end-user and other activities of the end-user. Specific questions pertaining to commodity licensing requirements should be directed to the lead agency. Agency information, telephone numbers and basic commodities that might require export permits could be identified by accessing the Canadian Government web sites listed below.

Shipper’s Export Declaration form B13-A – Used for Canadian exports >=$2,000 CAD to non-US destinations.

Carnet - The ATA carnet is a document that may be used instead of Form E29B Temporary Admission Permit, which is the usual Customs documentation for temporary duty-free entry of professional equipment, commercial samples and advertising material. The carnet is usually issued by a Chambers of Commerce in the country of origin and is valid for one year. It must be validated by Customs upon import and re-export.

The "Admission Temporaire - Temporary Admission", or the ATA Carnet, is an international customs document which may be used for the temporary duty free importation of commercial samples. This is in-lieu-of the usual customs documents required for entry. The carnet serves as a guarantee against the payment of duty, which may become due if the merchandise is not re-exported.

Duties and Other Fees

All merchandise coming into Canada must clear Customs and are subject to customs duty assessment unless the goods are duty or tax exempt by law. Customs duties are, generally, an ad valorem rate (a percentage) which is applied to the transaction value (CAD) of the imported goods. Some articles, however, are dutiable at a specific rate of duty (so much per piece, liter, kilo, etc.) and others at a compound rate of duty (combination of both ad valorem and specific rates). The dutiable value of merchandise is determined by Revenue Canada Customs. Several appraisal methods are used to arrive at this value. Generally, the transaction value of the merchandise serves as the basis of appraisal. Transaction value is the price the buyer actually pays the seller for the goods being imported. The Harmonized Tariff Schedule of Canada (1999 Edition), issued by the International Trade Commission, prescribes the rates of duty and classification of merchandise by the type of product; e.g., animal and vegetable products, textile fibers and textile products. The tariff schedule provides several rates of duty for each item: the "general" rates under Most-Favored Nation’s (MFN) and "preferential" rates for specific trade programs (NAFTA/CIFTA/CCFTA/LDCT/GPT).

Under strict enforcement of unfair trade laws, Customs will assess antidumping duties or countervailing duties. Antidumping duties are assessed on imported merchandise sold in Canada at less than the normal price of the good in the manufacturer’s home market (also called fair market value). Countervailing duties are assessed to counter the effects of subsidies provided by the foreign government for merchandise exported to Canada resulting in artificially low prices that are detrimental to Canadian industries.

Regulatory Contact Information