Canada Announces Extended Tariff Relief for U.S. Surtaxed Imports

The extended tariff relief is a temporary measure that helps maintain the flow of goods between Canada and the U.S. while trade negotiations continue.

On October 17, 2025, the Department of Finance Canada announced extended tariff relief for Canadian businesses impacted by the ongoing surtaxes on certain U.S.-origin goods.

The update provides a short-term extension for key industrial and public health sectors, with eligible goods now qualifying for remission if imported before December 16, 2025.

It also expands the relief to include goods used in Canadian agricultural production. 

This measure, part of the United States Surtax Remission Order (2025), allows importers to claim remission at the time of import or apply for refunds on surtaxes already paid.

Scope of the extended tariff relief

To mitigate the immediate impact of surtaxes on Canadian supply chains, the government has extended two key temporary exemptions for an additional two months.

The two categories granted this extension are:

1. Manufacturing and processing: U.S. goods imported for use in Canadian manufacturing, processing, or the packaging of food and beverages.
2. Public health and safety: U.S. goods imported to support public health, healthcare, public safety, and national security objectives.

The government has also expanded the first category to include goods used in agricultural production.

New case-by-case relief

Additionally, the government has announced a separate relief measure for companies facing certain circumstances.

Further relief from Canada's tariffs on imports from both the U.S. and China has been implemented for companies that can meet strict criteria, such as:

• Demonstrating a short supply of a needed product
• Fulfilling existing contractual commitments

Next steps for Canadian importers

If you import goods from the U.S. into Canada, here are the key next steps to take:

• Assess U.S.-origin imports to confirm if they qualify for relief under the extended categories
• Verify if your U.S.-origin agricultural inputs now qualify for remission
• Prepare for this temporary relief to expire by securing alternative supply chains or budgeting for the surtax reinstatement
• Work with your customs broker to recover surtaxes already paid on eligible past shipments

How Cole International can help

At Cole International, we provide customs and compliance consulting and customs brokerage services to help you navigate changing regulations and streamline the importing of goods into Canada.

Reach out to one of our trade professionals to ensure you’re taking full advantage of this extended tariff relief.