Expanded Surtax Remission for U.S. Goods

Summary#

The Order Amending the United States Surtax Remission Order (2025) (registered as SOR/2026-16) adds a long list of specific U.S. goods that can be exempted from Canada’s surtaxes on U.S. imports. The change mostly covers products in short supply, some public-health items, and company-specific cases; it took effect when registered on February 5, 2026.

What it does#

• Amends the United States Surtax Remission Order (2025) to expand the lists of goods eligible for remission (i.e., relief) from surtaxes imposed on some U.S. imports.
• Adds 1 product to the Schedule that covers goods needed for public health and health care.
• Adds 231 products to the Schedule for goods found to be in short supply (relief available to any importer of those goods).
• Adds 1 product to the Schedule for time-limited remission entries.
• Adds 181 products to Schedules that allow company-specific remission when firms face exceptional circumstances or have pre-existing contractual obligations.
• The new entries mostly describe many types and sizes of steel and aluminum products, tubes and pipes, rails and railway parts, fasteners and bolts, some aluminum products, and other industrial inputs.
• For future imports, eligible importers will claim remission by adding a specific code on regular customs documents. For past imports, refunds can be requested with supporting documents submitted to the Canada Border Services Agency (CBSA).

Who's affected#

• Importers who bring U.S.-made goods into Canada that are subject to the surtaxes.
• Manufacturers and processors that use the listed goods as inputs — especially firms that rely on certain steel, aluminum, piping, rail, fasteners and related parts.
• Public-health, public-safety and national-security purchasers when the Schedule covers those items.
• Companies named individually in the amended Schedules 4 and 4.1 (the Order lists specific business numbers and product entries).
• The Canada Border Services Agency (CBSA) and the Department of Finance, which administer the remission and refund process.

If it’s unclear whether a particular product or importer is covered, the Order lists exact tariff classifications and product descriptions; importers should check those details or contact the CBSA.

Why it matters#

• It reduces or removes the extra surtax cost for many specific U.S. imports that the government found were in short supply or whose purchase could not reasonably be avoided. That can lower input costs for affected Canadian businesses.
• It helps companies meet existing contracts or keep production running while they shift suppliers or redesign supply chains.
• It makes it easier for hospitals, safety services and other public entities to get certain items without the surtax penalty when those items are listed for public-health or public-safety reasons.
• The administration burden is limited: importers use existing customs forms with one extra code, and the CBSA aims to process refunds within 90 days (depending on volume and complexity).