On June 27, 2025 the Department of Finance, Global Affairs Canada (GAC) and the Canada Border Services Agency (CBSA) announced the implementation and application of Tariff Rate Quotas for certain steel products to protect Canadian industry.

This is a courtesy notice to inform you that as of June 27, 2025 certain steel products imported from countries that Canada does not have a free trade agreement may be subject to a 50% surtax.   

Please see the Department of Finance, Global Affairs Canada (GAC) and the Canada Border Services Agency (CBSA) webpages for complete details:

• Canada acts to support its steel producers and workers
• Tariff-rate quotas on imports of steel mill products
• Customs Notice 25-24: Order Imposting a Surtax on the Importation of Certain Steel Goods
• Notice to importers: Item 82 - Steel goods - Serial No 1139

The following is a recap of the new requirements.

Affected Commodities: Steel Products whose Tariff Item is included in Schedule 1 of the Order Imposing a Surtax on the Importation of Certain Steel Goods (“the order”) that are of a Country of Origin that Canada does not have a free trade agreement with will be subject to a 50% surtax on the value for duty unless a shipment specific permit from Global Affairs Canada is obtained.

A recap of the quota details is:

• Quota is first-come first-served
• Quota is divided into 5 product types
• For each product type, each country of origin is only allowed a certain percentage of the quota available.
• Importers will need to obtain an EIPA number from GAC number to obtain import permits
• Permits can only be obtained 15 days prior to the shipments estimated time of arrival
• Permits can be issued retroactively

When applicable the surtax is calculated at a rate of 50% of the Value for duty. For example: $1,000 (VFD) x 0.50 (TRQ surtax rate) = $500 (surtax payable)

Importers should also note that this surtax is ‘stacking’ on any other existing trade actions. For example, a good subject to the Chinese Surtax Order will pay 25% surtax under that order and 50% surtax under this newly implemented order for a total of 75% surtax. For example: $1,000 (VFD) x 0.50 (TRQ surtax rate) = $500 (TRQ surtax payable) AND $1,000 (VFD) x 0.25 (China surtax rate) = $250 (China surtax payable) for a total of 750.00 surtax

General Exclusions from this TRQ surtax:

• Goods in transit and in carrier control on or prior to June 27, 2025
• Casual goods
• Goods classified in chapter 98
• Goods originating from a Free Trade Partner listed in schedule 2 of the order

As a valued client of PCB, you receive the benefit of our proactive processes which will ensure your imports are declared with the additional requirements listed above:

1. Upon receipt, our release team ensures all necessary documents that are required for import, are included. 
2. If they are missing we will reach out to you, your carrier or your vendor to obtain this paperwork (depending on service package, additional fee may apply)
3. Our Trade compliance team reviews each shipment for application of the Surtax and opportunity to obtain import permits. (depending on service package, additional fee may apply)

Please reach out to your account manager with any questions you have about these new requirements at any time by emailing compliance@pcb.ca or calling 604.538.1566. We are here for you always.