Honda Canada Remission of Customs Duties
Honda Canada Inc. Remission Order: SOR/2026-146
The Order remits up to $493,106 in customs duties paid by Honda Canada for motor vehicles imported between 2020-06-07 and 2020-07-07 after a June 7, 2020 cyberattack prevented the company from providing NAFTA proof of origin. The Order came into force on 2026-06-22 and requires Honda Canada to submit a claim for remission within two years of that date.
Summary
Summary#
The Honda Canada Inc. Remission Order gives Honda Canada Inc. back up to $493,106 in customs duties that it paid on motor vehicles imported between June 7 to July 7, 2020. The government says the payments happened because a June 7, 2020 cyberattack on Honda North America prevented the company from providing the trade documents needed for duty-free treatment. The order was registered and came into force on June 22, 2026.
What it does#
- Grants remission under the Customs Tariff of customs duties paid (not exceeding $493,106) for motor vehicles imported in the period June 7 to July 7, 2020.
- Explains the cause: because of the cyberattack, Honda could not provide proof of origin and therefore paid the 6.1% Most-Favoured-Nation tariff at import.
- Requires a claim for remission to be made to the Minister of Public Safety and Emergency Preparedness within two years after the order comes into force (i.e., by June 22, 2028).
- States the order will be repealed on its second anniversary (repeal date June 22, 2028).
- Assigns routine administration of the remission to the Canada Border Services Agency.
Who's affected#
- Primarily Honda Canada Inc., which is the only company named as receiving the remission.
- The Canada Border Services Agency and the Department of Finance are the government bodies involved in administering and recommending the remission.
- The order does not apply to other importers; the source says it is specific to Honda Canada.
Why it matters#
- It returns $493,106 to Honda Canada Inc. for duties the company says it should not have had to pay if it had been able to show eligibility for NAFTA preferential treatment.
- It shows the government can make a one-off exception under the Customs Tariff when extraordinary events (here, a cyberattack) prevent an importer from meeting paperwork deadlines.
- For businesses, it is a reminder that loss of electronic records or IT outages can have real costs, and that there are limited remedies available in exceptional cases.
- The government says there are no broader trade impacts from this single remission.
Key topics
Source: Canada Gazette