Canada announces new support for Canadian businesses affected by U.S. tariffs
UPDATED: April 17, 2025
ADDED: CBSA Customs Notice 25-19: United States Surtax Remission Order (2025)
The U.S. Surtax Remission Order (2025) aims to alleviate the negative impacts of surtaxes on Canadian companies. It provides relief for goods used in manufacturing and public health sectors. Below is a summary of the CBSA Customs Notice providing guidance for importers on how to apply the U.S. Surtax Remission Order (2025) . To review the complete Customs Notice and Remission Order, please click on the links below:
U.S. Surtax Remission Order (2025)
CBSA Customs Notice 25-19: United States Surtax Remission Order (2025)
Application
Public Health, Public Safety and National Security Purposes
Remission is granted for public health, public safety and national security purposes, per section 1 and section 5 of the United States Surtax Remission Order (2025), of surtaxes paid or payable under the United States Surtax Order (2025-1), the United States Surtax Order (Steel and Aluminum 2025) or the United States Surtax Order (Motor Vehicles 2025) in respect of goods imported by or on behalf of:
(a) a government health research organization or clinical health research organization;
(b) an organization that produces or stores medical countermeasures, including pharmaceuticals or medical devices;
(c) the office of a public health official, as defined in subsection C.10.001(1) of the Food and Drug Regulations;
(d) an organization that provides ambulance or other emergency response services;
(e) a firefighting service;
(f) a law enforcement agency;
(g) a federal or provincial correctional service;
(h) the Department of National Defence;
(i) the Canadian Forces; or
(j) the Canadian Security Intelligence Service
Health Care
Remission is granted for health care purposes per section 2 and section 5 of the United States Surtax Remission Order (2025), of surtaxes paid or payable under the United States Surtax Order (2025-1), the United States Surtax Order (Steel and Aluminum 2025) or the United States Surtax Order (Motor Vehicles 2025) in respect of goods imported:
(a) for use in the provision of medically necessary health care services, including services provided at:
(i) a hospital,
(ii) a health care or dental clinic,
(iii) a medical, dental or diagnostic laboratory, or
(iv) a long-term care facility; or
(b) by or on behalf of
(i) an entity that provides products or services related to blood, cells, tissues or organs for medically necessary health care, or
(ii) a federal, provincial, local or Indigenous health authority.
Manufacture, Processing or Packaging Purposes
Remission is granted for manufacture, processing or packaging purposes per section 3 and section 5 of
the United States Surtax Remission Order (2025), 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 goods imported for use, in Canada, in the manufacture or processing of any good or the packaging of a food or beverage, where, under the Customs Tariff, processing and manufacturing, in respect of goods, includes the adjustment, assembly, or modification of the goods.
Schedule – Section 4, United States Surtax Remission Order (2025)
Remission is granted for goods referred to in the schedule of the United States Surtax Remission Order (2025) per section 4 and section 5, of surtaxes paid or payable under the United States Surtax Order (2025-1) in respect of goods referred to in column 1 of the schedule of the Remission Order that are classified under a tariff classification number set out in column 2 of the schedule of the Remission Order.
Conditions of relief
- Eligibility Requirements:
- The goods must have been imported into Canada before October 16, 2025.
- No other claim for relief under the Customs Tariff should have been granted for the same goods.
- A claim for remission must be submitted to the Minister of Public Safety and Emergency Preparedness within two years from the date of importation.
- Required Documentation:
- Commercial Accounting Document (CAD)
- Purchase Order
- Commercial Invoice
- Canada Customs Invoice
- Bill of Lading
- Way Bill
These documents are crucial as they substantiate the claim for relief and confirm compliance with the outlined conditions.
How to apply
To obtain relief from surtax at the time of import, specific special authorization codes must be entered on the Commercial Accounting Declaration (CAD).
- Special Authorization Codes:
- 25-0466A: For goods imported for Public Health, Public Safety, and National Security. This is outlined in sections 1 and 5 of the Remission Order and is eligible under the United States Surtax Remission Order (2025).
- 25-0466B: For goods imported for Health Care. This code is detailed in sections 2 and 5 of the Remission Order, also eligible under the United States Surtax Remission Order (2025).
- 25-0466C: This code applies to goods imported for Manufacture, Processing, or Packaging as specified in sections 3 and 5 of the Remission Order, qualifying under the United States Surtax Remission Order (2025).
- 25-0466D: Used for certain goods mentioned in the Remission Order schedule, as per sections 4 and 5 of the Remission Order, and is also eligible under the United States Surtax Remission Order (2025).
- Additional Resources:
- For more detailed guidance on completing the CAD, refer to Memorandum D17-1-10.
- For further information regarding remission orders, see Memorandum D8-4-1.
- Non-Commercial Goods: Goods that qualify for remission and are accounted for on Form BSF715 or BSF715-1 will follow standard procedures without the collection of surtax.
Corrections, adjustments, and re-determinations
- Remission Eligibility: Imported goods can qualify for remissions under the United States Surtax Remission Order (2025). If remission wasn’t claimed on the Customs Accounting Declaration (CAD), corrections can be submitted via the CARM Client Portal (CCP) or EDI/API.
- Correction Deadline: Corrections for seeking remissions must be submitted by the CAD payment due date, relieving the surtax owed. Use reason code R5-00-COT. For detailed instructions, refer to Memorandum D17-1-5.
- Post-Deadline Adjustments: Adjustments can be made after the CAD payment due date for refunds on surtaxes incorrectly paid. The reason code for this is R2-74-1-GR-53. See Memorandum D17-2-1 for guidance on adjustments.
- Non-Commercial Goods: Adjustments for non-commercial goods cannot be processed through CARM; they require Form B2G. For more on non-commercial refunds, refer to Memorandum D6-2-6.
- Re-determination Process: The origin, tariff classification, and/or value for duty of imported goods can be re-evaluated under the Customs Act and related regulations, which may result from a self-adjustment. The CBSA can assess any undeclared surtax amounts.
Examinations and verifications
Imported goods may be subject to examination at the time of importation and to post-release verification for compliance with the tariff classification, valuation, origin, and any other applicable provisions administered by the CBSA. In cases of non-compliance, in addition to the imposition of a surtax, customs duties and taxes, penalties may be issued and interest may accrue and be assessed on the amount owing.
Advance rulings for commercial importations
For predictability and certainty on how goods are to be accounted for, an Origin National Customs Rulings in advance of the importation of goods can be requested from the CBSA.
Refer to Memorandum D11-11-1: National Customs Rulings for additional information.
Refer to Memorandum D11-11-3: Advance Rulings for Tariff Classification for additional information on requesting an advance ruling on the tariff classification of goods.
Previous Post
Department of Finance
April 15, 2025
The Minister of Finance, the Honourable Franรงois-Philippe Champagne, recently announced new measures for Canadian businesses and entities affected by the tariff dispute between Canada and the United States. Below is a summary of this announcement. To review the complete announcement, please click on the link below:
Canada announces new support for Canadian businesses affected by U.S. tariffs
Performance-based Remission Framework for Automakers:
- Aimed at incentivizing continued production and investment in Canada.
- Allows automakers to import a limited number of U.S.-assembled, CUSMA-compliant vehicles without countermeasure tariffs, provided they maintain production levels in Canada.
- Tariff-free import limits will decrease if production or investment in Canada declines.
Temporary Relief for Imported Goods:
- Six-month relief for U.S. goods essential for Canadian manufacturing, processing, and health services.
- This measure supports businesses reliant on U.S. inputs and essential services like hospitals and fire departments.
- Aimed at giving businesses time to adjust supply chains and explore domestic sourcing.
Large Enterprise Tariff Loan Facility (LETL):
- This new program supports large businesses facing financing challenges due to U.S. trade actions.
- Aims to provide liquidity to companies critical for food security, energy security, and national security.
- Eligible companies must have been viable before recent trade disruptions and will be encouraged to maintain jobs and operations in Canada.
Future Support Measures:
The federal government plans to introduce additional measures as needed to support businesses and workers. Collaboration with provinces and territories will ensure comprehensive support across all jurisdictions.
Should you or your organization have any questions,
please do not hesitate to contact your Dominion Customs Consultants representative,
or feel free to reach us here
