Surtax Remission for Specialized Steel Imports

Summary#

The Order Amending the Surtax on Imports of Certain Steel Goods Remission Order, 2025: SOR/2026-70 updates which imported steel goods can get relief from the 50% surtax and extends relief to some shipments that were already in transit. It came into force on registration (registered on April 16, 2026) and was published in the Canada Gazette on May 6, 2026.

What it does#

• Changes the remission rules for goods that were already moving toward Canada so that remission can apply to shipments that were in transit on or before December 26, 2025 (and keeps the earlier in-transit cutoff of August 1, 2025 for a prior group).
• Clarifies the dates when those in-transit goods must actually be imported to qualify for remission (imports on or after August 1, 2025 for the earlier group, or on or after December 26, 2025 for the later group).
• Adds 84 specific steel product descriptions to the Schedule of goods eligible for remission. Examples include proprietary tool steels and grades such as Toolox 33, Toolox 44, Toolox 46, DC53, DCMX, DH31-EX, NAK55, and Hardox 600, as well as certain galvanized, pre-painted and coated sheets, and a range of specialized pipes and oil country tubular goods.
• Keeps the existing remission conditions in place, for example that an importer must make a claim within two years after the date of importation and that the goods remain technically subject to the tariff-rate quotas (TRQs).
• Leaves in place the option for importers to use shipment-specific import permits administered by Global Affairs Canada instead of claiming remission; the Canada Border Services Agency (CBSA) will handle remission claims and refunds.

Who's affected#

• Importers of specialized steel products that are not produced in Canada.
• Downstream users who rely on those imported steels, including sectors calling out in the schedule such as oil-sands steam-distribution systems (SAGD/CSS) and some shipbuilding uses.
• Small businesses that import eligible steel — the government notes some importers may meet the definition of small business for regulatory purposes.
• Government offices that manage permits and refunds: Global Affairs Canada (permits) and the Canada Border Services Agency (remission claims and refunds).

Why it matters#

• It prevents some importers from facing surprise 50% surtax bills for shipments that were already on their way when the TRQs or surtax rules changed. That can avoid sudden cost spikes for manufacturers and service providers who need those specific steels.
• It recognizes that some niche or proprietary steel grades are not made in Canada, so forcing surtax payment would not stop imports but would raise costs for Canadian users. The change aims to limit that unintended harm while keeping the TRQ framework in place.
• Importers who paid surtax for eligible goods can seek refunds; the CBSA aims to process refund requests within 90 days, depending on volume and complexity.
• The government says the overall impact on domestic steel production and workers should be small because the remitted goods are ones Canada does not produce, but it will monitor imports and may adjust the list in future.