Canada Customs clearance introduction

The Canada Border Services Agency is devoted to safeguarding national and public security and promoting the free movement of people and goods. The newly-launched PIP (Partners in Protection) plan aims to deepen the cooperation between customs and companies, as well as improve border management and supply chain security.

Customs clearance basic procedure

Import preparation

Any individuals or enterprises who wish to export goods to Canada should first apply for a commercial code from the Canada revenue agency(CRA) and arrange import and export accounts accordingly; Then the importer should make confirmation and classify goods according to products information or samples; Also may contact with Border Information Services(BIS) or e-mail customs trading office to finally determine products HS code.

Taxes and fees definition

So far Canada Customs has 9 kinds of tariff rates according to the rates listed as follows: General tariff → most-favoured-nation tariff (MFN) → The British preferential tariff (BPT) → GPT tariff → the least developed countries tariffs (LDDCT) → Caribbean country customs tariffs (CCTA) → Mexico – the United States customs (MUST) → Mexico’s tariffs (MT) → The United States customs (UST)

Goods shipment, check and declare

Importers should determine transportation mode on time and declare to customs without delay, whether they import themselves or through other carriers.

Goods release
Three main types of Canada customs clearance
Complete data and payment release
The least-documents release
Commercial carry goods release
Tariffs and country of origin regime 

Tariff policy
Two main tariff types for goods to Canada:

  • Most-favoured-nation tariffs (MFN), applied to any country other than North Korea
  • Preferential tariffs, according to bilateral or multilateral trade agreement

Country of origin

Importers should submit certificates of the country of origin in accordance with provisions, Mexico – United States customs (MUST) is a special treatment for those which conform to the requirements of the North American Free Trade Agreement (NAFTA) country of origin but not the American tariffs. Origin rules are an inseparable part of the North American Free Trade Agreement, for goods to enjoy lower tariff treatment they must be native to the United States, Canada or Mexico.

Source: E-Heng Chinese Agent Group