How To Import Oil, Gas and Liquefied Natural Gas Into Canada

Your how to guide on petroleum imports into Canada

When importing petroleum, gas, aviation fuel, and liquefied natural gas into Canada or the US, you must know what government parties are involved, what regulations must be followed, and the fundamental aspects of each import.

Parties Involved:

  • Canada Border Services Agency (CBSA)
  • Canadian Food Inspection Agency (CFIA)
  • Global Affairs Canada
  • Customs Broker
  • Carrier

Main Regulations:

  • Certain petroleum and gas products such as gasoline, diesel fuel and aviation fuel are subject to Canadian Excise Tax
  • Shipping by pipeline, tanker ship/truck, in drums or on pallets takes some special care and attention from your customs broker to ensure accurate reporting of volumes

Import Fundamentals:

  • You will be acting as the Importer of Record. Therefore, you are the party ultimately responsible for the accuracy and completeness of the import declaration; as well as, the payment of applicable duties and taxes into Canada
  • Duty and tax must be paid upon importation into Canada.
  • The rate of duty is determined by the tariff of the commodity being imported, the value of the goods and, the origin of the goods.
  • Certain import documentation is required to be presented to the border services officer at the port of entry.
  • Your import may be subject to a customs review, inspection or audit prior to, or after the importation. Additional fees may be levied by the Government of Canada for these services.
  • You are required to keep your import records for six years following the date of import and can be audited by Customs at any point during this time.

FAQ: Petroleum Imports

Are Oil Products Subject To Participating Government Agency Review When Importing Into Canada?
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No, oil products are not subject to Participating Government Agency review when importing into Canada. Currently no Participating Government Agency is involved with oil imports.
What Is Excise Tax?
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Excise Tax is a federal tax charged on the value of the imported goods before Goods and Services Tax (GST) or Harmonized Sales Tax (HST). Excise Tax is payable by the importer and paid at the time of import. The Excise Tax rate can range from $0.04 to $0.11 cents per litre.

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