CICEPA Rules of Origin Regulations

Summary#

The CICEPA Rules of Origin Regulations (SOR/2026-124) are final rules that put parts of the Canada–Indonesia trade deal’s rules of origin into Canadian law. They spell out when imports from Indonesia can get the Agreement’s lower tariff rates. The regulations were registered on June 12, 2026 and published in the Canada Gazette on July 1, 2026 and take effect when section 40 of the Canada–Indonesia Comprehensive Economic Partnership Agreement Implementation Act is brought into force.

What it does#

• Gives force of law in Canada to Articles 3.1 to 3.14 and Annex 3-B of the Canada–Indonesia Comprehensive Economic Partnership Agreement (CICEPA), which set the rules of origin.
• Explains what “originating” means for goods so importers can claim preferential tariff treatment under the Agreement.
• Says that certain non-commercial or “casual” goods bought in Indonesia that are marked as made in Indonesia (or not marked to the contrary) will be treated as originating and eligible for the tariff preference.
• Allows goods that were not shipped directly from Indonesia to Canada to keep their preferential status if they stayed under customs control while passing through a third country.
• Assigns the Canada Border Services Agency (CBSA) to administer the rules and to publish guidance for importers.

Who's affected#

• Canadian importers who buy goods from Indonesia and want those goods to qualify for lower tariffs.
• Canadian businesses that use Indonesian inputs in manufacturing, since cheaper imports can lower production costs.
• Consumers, who could see lower prices if importers pass on tariff savings.
• The CBSA, which will administer and issue guidance on how to claim preferences.
• While many industry groups (for example in agriculture, mining and forestry) took part in earlier consultations, the rules apply broadly to any importer who meets the origin requirements.

Why it matters#

• If goods meet these rules, importers can pay lower or no tariffs on eligible Indonesian goods, reducing costs for businesses and potentially for shoppers.
• Importers will need to confirm that their goods meet the origin rules. That may mean extra checks or paperwork, but the government says procedures won’t change significantly from current customs processes.
• The regulations complete a domestic step needed to put Canada’s tariff commitments under CICEPA into effect, supporting deeper trade ties with Indonesia — a market of about 287 million people and an economy near $2.0 trillion.