Surtax Remissions Expanded for China and US Imports

Summary#

The Order Amending the China Surtax Remission Order (2024) and the United States Surtax Remission Order (2025) changes which imported goods can get relief from surtaxes and adds some company‑specific exemptions. The order was registered and came into force on June 26, 2025 and was published in the Canada Gazette on July 16, 2025.

What it does#

• Updates the China Surtax Remission Order (2024) by:
  • Removing a few previously listed items and correcting one tariff code.
  • Changing some broad (product‑wide) remissions into company‑specific remissions because a domestic supplier was found for those products.
  • Adding one company to the list of firms allowed company‑specific relief.
• Changes the United States Surtax Remission Order (2025) by:
  • Expanding the scope of remission so surtaxes can be waived for more specific goods listed in new Schedules 2 to 5 of the order.
  • Allowing remission for goods judged to be in short supply (Schedule 2) or for a limited set of goods until March 13, 2026 (Schedule 3).
  • Granting company‑specific remission for certain firms facing exceptional circumstances or unavoidable contracts (Schedule 4).
  • Granting remission on some motor vehicles and vehicle types that were caught by Canada’s surtaxes but are treated differently by U.S. measures (Schedule 5).
• Adjusts import date limits and conditions for when remission can apply, and clarifies which surtax orders the remissions relate to.
• The Canada Border Services Agency (CBSA) will process remission claims and refunds under existing customs procedures.

Who's affected#

• Importers and buyers of the specific goods listed in the amending order — especially businesses in:
  • Steel and aluminum supply chains.
  • Automotive and specialty vehicle sectors (including ambulances, motor homes, hearses, and certain all‑terrain vehicles).
  • Some food, tire, paper and other manufacturing supply chains where inputs were listed as in short supply.
• The specific companies named in Schedule 4 and the newly added company in the China order (company names appear in the order itself).
• Canadian manufacturers that supply domestic alternatives may be affected where remissions were narrowed from product‑wide to company‑specific.
• The CBSA and the Department of Finance will handle claims and refunds.

If you import goods, are a buyer that depends on U.S. or Chinese inputs, or are a listed company in the order, you are the most likely to notice a change.

Why it matters#

• The changes let some importers avoid paying surtaxes when there is no reasonable alternative supplier, when they face binding contracts, or when specialized vehicles are involved. That can lower costs for those businesses in the short term.
• For firms that must buy certain U.S. or Chinese inputs, remission gives time to meet contracts or to find new suppliers without the sudden added cost of surtaxes.
• At the same time, narrowing some remissions (changing product‑wide relief to company‑specific relief) protects Canadian producers by reducing broad exemptions for imports from China.
• The order aims to balance the government’s retaliatory trade measures with practical needs in supply chains and public services (for example, vehicles used by governments and health services).