Free-flow International Transit Rules
Canada Gazette, Part I, Volume 159, Number 48: Regulations Amending Certain Regulations Made Under the Customs Act (Transit Between International Flights)
REGULATORY IMPACT ANALYSIS STATEMENT
Key facts
- Published
- November 29, 2025
- Comment deadline
- December 29, 2025
- Effective date
- Unclear
Summary#
This is a proposed set of changes called the Regulations Amending Certain Regulations Made Under the Customs Act (Transit Between International Flights) that would let international passengers who are only transiting through Canada move to their next flight without stopping for a CBSA officer or kiosk interaction. The proposal, published on November 29, 2025, would rely on airlines sending extra passenger data so the Canada Border Services Agency can identify transiting travellers in advance. A public comment period of 30 days follows the publication.
What it does#
- Amends the Immigration and Refugee Protection Regulations to:
- Create a matching definition of a “designated holding area” and treat people who stay in a designated holding area or a “sterile transit area” as transiting (not seeking to enter Canada).
- Require that people who leave those areas (other than to move between them) present themselves for an examination.
- Require air carriers to include each passenger’s transit status and the passenger’s first destination outside Canada in their advance data.
- Amends the Presentation of Persons (2003) Regulations and Reporting of Imported Goods Regulations to align definitions and allow the same exemptions for people in either kind of transit area.
- Changes the Passenger Information (Customs) Regulations and Exit Information Regulations so carriers must send transit status and the first foreign disembarkation point (and arrival time) as part of their advance and exit data messages.
- Enables a “free-flow” ITI (International to International) model at approved airports where transiting travellers can go straight to departures without using ITI kiosks.
- Strengthens the CBSA’s ability to match inbound and outbound records to confirm a transiting traveller actually left on their next international flight.
- Expected operational impacts:
- Airports with ITI now could remove ITI kiosks and repurpose them.
- Most implementation costs would fall to the Canada Border Services Agency for IT changes; stakeholders’ costs are expected to be small (estimated under $1 million per year total).
Who's affected#
- Travellers who only transit through Canada on international flights (current ITI users).
- Airlines and air industry partners (examples involved in consultation include Air Canada and WestJet).
- Airports that operate or want to operate ITI transit, such as Vancouver International Airport, Toronto Pearson International Airport, and Pierre Elliott Trudeau International Airport in Montréal.
- The Canada Border Services Agency, which would do the IT work and run the new targeting and reconciliation processes.
- Other readers: the proposal says small businesses are not affected; it does not expect impacts on Indigenous peoples.
Why it matters#
- Faster connections: transiting travellers would likely move through airports quicker and without a kiosk stop, which can shorten layover times and make routes through Canadian hubs more attractive.
- Airport competitiveness: airports and airlines could market smoother transit flows to attract more connecting passengers. The ITI pilot already handled about 737,000 transiting passengers in fiscal year 2024–2025 (roughly 2,000 per day on average and up to 5,000 per day in summer peaks).
- Operational trade-offs: passengers give airlines—and through them, the CBSA—more specific travel data (transit status and next foreign destination). That helps the CBSA check that people left Canada, but it also means more passenger data will be processed.
- Practical note on safety and enforcement: the CBSA would still be able to intercept or examine individuals of concern; the free-flow model depends on proper airport design and CBSA oversight.
- Unclear/conditional items: this is a proposal, not yet law. If adopted, the regulations would come into force when registered; the CBSA plans to work with airlines and airports on technical and operational steps before the model runs.
Key topics
Source: Canada Gazette