Low‑Value Import Threshold Increased to $3,300
Regulations Amending Certain Regulations Made Under the Customs Act (Low Value Shipment Threshold): SOR/2024-199
Regulations formally raise Canada’s low-value shipment threshold from $2,500 to $3,300 and amend related customs regulations. The changes simplify proof-of-origin requirements for commercial goods valued at $3,300 or less and are deemed to have come into force on 2020-07-01.
- Published
- October 23, 2024
- Department
- Unavailable
- Section
- Regulations Amending Certain Regulations Made Under the Customs Act (Low Value Shipment Threshold)
- Comment deadline
- Unavailable
- Effective date
- July 1, 2020
- Publication part
- Part II
Summary
Summary#
These are final regulations called Regulations Amending Certain Regulations Made Under the Customs Act (Low Value Shipment Threshold) (SOR/2024-199) that formally raise the low‑value import threshold from $2,500 to $3,300. They codify changes the Canada Border Services Agency (CBSA) has been using since July 1, 2020 and were published in the Canada Gazette on October 23, 2024.
What it does#
- Changes references to the low‑value shipment amount from $2,500 to $3,300 in the Accounting for Imported Goods and Payment of Duties Regulations.
- Updates the Fees in Respect of Mail Regulations so that commercial mail fees apply only when the estimated value for duty exceeds $3,300.
- Amends the Proof of Origin of Imported Goods Regulations so that importers of commercial goods valued at $3,300 or less do not need a separate written origin statement to claim preferential tariff treatment under Canada’s free trade agreements; a commercial invoice showing origin is acceptable unless the shipments are part of a scheme to avoid the rules.
- States these changes are treated as having come into force on July 1, 2020 (they formalize practices already in effect under Customs Notice 20-15).
Who's affected#
- Canada Border Services Agency (CBSA), which administers customs processing and updated its systems and guidance.
- Businesses that import goods, including online sellers and small and medium enterprises.
- Customs brokers, freight forwarders and courier companies who process low‑value shipments.
- Consumers who buy items from overseas via e‑commerce — more low‑value parcels may clear faster and with less paperwork.
- It’s unclear if any other groups are significantly affected beyond the trade and delivery sectors named above.
Note: CBSA’s regulatory analysis said these changes align rules across import streams and do not increase costs for small businesses.
Why it matters#
- More packages with a value for duty at or below $3,300 can move through customs with fewer documents and simpler checks. That usually means faster delivery and less paperwork for importers and couriers.
- Claiming duty‑free treatment under free trade agreements for small commercial shipments is simpler because a commercial invoice that shows origin is now enough.
- The change brings Canada into line with the low‑value threshold used by the United States and Mexico under CUSMA, which can simplify cross‑border e‑commerce and courier operations.
- Because the rules are retroactive to July 1, 2020, they formalize practices already applied to shipments since that date.
Key topics
Source: Canada Gazette