On March 6, 2025, Customs and Border Protection (CBP) provided guidance on the amendment to the increased tariffs on goods from Canada which were imposed March 4, 2025. As of March 7, 2025, an amendment was provided for goods which qualify for USMCA. For goods that qualify for free entry under USMCA, will not receive the additional 25% duties. Additionally, there is relief provided for potash, which does not qualify for USMCA, however, will only be subject to a 10% increase (rather than the proposed 25%). These tariffs were enacted through Executive Orders, invoking the International Emergency Economic Powers Act (IEEPA) and referencing section 301 of the Trade Act of 1974.

Below is a summary and breakdown of the tariffs:

• (As of March 4th, 2025) – A 25% tariff applies to all products from Canada, with the exception to certain energy resources, which are subject to a 10% tariff.

• (As of March 7th, 2025) – A 25% tariff applies to all products from Canada which do not qualify for USMCA, with the exception to potash (HTS provided below), which are subject to a 10% tariff.

• Additional duties: These tariffs are in addition to any other applicable duties, fees, and charges.

• Product Origin: The term “Products of Canada” will be defined by the Department of Homeland
Security in a separate Federal Register notice.

• Duty Drawback: No duty drawback will be allowed for the additional tariffs paid.

• De Minimis Shipments: Section 321/de minimis (less than $800) shipments are allowed, due to an amendment.

• Potash – 2815.20.0050, 2815.20.0090, 3104.20.0010, 3104.20.0050, 3104.30.0000, 3104.90.0100,3105.10.0000, 3105.20.0000, 3105.60.0000

CBP CSMS – Guidance may be found here.

Federal Register Notice on Canada may be found here.

If you have any questions, please contact our Compliance Team or your JSC account supervisor.