Canada published the product list for its new counter-tariffs on US goods this week. The measures take effect at 12:01 a.m. on September 8. If you ship orders to Canadian customers, you have about a week to find out whether your SKUs are on the list.
Prime Minister Mark Carney announced the retaliation on August 22, after trade talks with Washington broke down. Al Jazeera reported that day that Canada would match US tariffs dollar for dollar. The tariff-item list followed, and customs brokers began publishing compliance alerts on August 25 and August 26.
What the order actually does
The counter-tariffs apply a rate of 15, 25, or 50 percent, set to match the US Section 338 and Section 232 rate on the same goods. According to an August 26 alert from customs broker GHY International, the measures cover roughly $27.6 billion in US-origin imports and take effect at 12:01 a.m. on September 8, 2026.
The sector list is wide. It covers steel, dairy, appliances, agricultural equipment, pulp and paper, electronics, seafood, beauty and personal care, clothing, and cooking appliances. PCB Global Trade reported on August 25 that existing counter-tariffs on steel and aluminum climb from 25 percent to 50 percent to match the US rate.
Two details matter more than the headline number.
The rate varies by tariff item, not by sector. GHY's alert says rates "vary by tariff item" and sends importers to the Department of Finance list instead of a category summary. So do not price your Canadian orders off a news roundup, including this one. Pull your HS codes and check them against the actual list.
Origin is decided by CUSMA marking rules. GHY warns that a product of US origin that does not qualify under CUSMA can face the most-favoured-nation rate plus the countermeasure duty. Brands assembling in the US from imported components should confirm where their goods actually land.
The small-parcel question
Here is the part most DTC brands will get wrong. The instinct is to assume a $70 order is too small to matter. Canada's courier thresholds under CUSMA back that up on ordinary duty: CBSA sets courier shipments from the US at duty and tax free up to CAD 40, and duty free from CAD 40 to CAD 150.
Surtax has not followed those thresholds. When Canada ran its 2025 counter-tariff order, CBSA Customs Notice 25-10 stated that the surtax applied to goods imported for commercial and casual purposes, and that surtax was applicable on shipments falling under de minimis thresholds. It reached goods otherwise eligible for relief under the Postal Imports Remission Order or the Courier Imports Remission Order. That order was repealed on September 1, 2025, and CBSA has not yet published a customs notice covering the September 8 measures.
My read: plan as though small parcels are covered. CBSA has already told the trade how it treats surtax on low-value shipments, and nothing so far points to a different approach. Waiting for confirmation until September 7 is not a plan. Watch for the customs notice and price for the worse outcome now.
Goods in transit get a pass
One real lever is available this week. GHY's alert confirms the countermeasures do not apply to US goods already in transit to Canada on the day they take effect, and tells importers to keep documentation supporting shipment timing.
If you hold Canadian wholesale inventory or a purchase order sitting on your dock, moving it before September 8 is worth a freight conversation. Keep the paperwork that proves when it left.
What this means for your brand
Four decisions, in this order.
- Pull your Canadian order volume for the last 90 days and the HS codes behind it. Every other decision depends on this one.
- Decide who absorbs the duty. Ship delivered-duty-paid and the surtax lands in your margin on September 8. Ship delivered-duty-unpaid and your customer gets a bill at the door, which some of them will refuse. Refused parcels come back as returns you pay for twice.
- Ask your customs broker about remission before you file. GHY notes remission should be claimed at time of entry, because refund requests filed afterward can take several months.
- Rewrite your Canadian shipping page and checkout messaging. Staying quiet about landed cost earns chargebacks and one-star reviews.
Cross-border is where a thin fulfillment operation shows its limits. Our international shipping program runs through FlavorCloud, DHL, UPS, and USPS, and it supports delivered-duty-paid so duties get collected upfront rather than surprising your customer at delivery. Orders leave Canal Winchester within 24 hours whether they are headed to Columbus or Calgary. When a lane gets expensive, the fix is usually pricing and paperwork.
If Canada is a meaningful share of your revenue and you are handling customs in-house, this is a good week to talk it through.
FAQ
Does this hit orders I ship to Canadian shoppers, or only bulk imports?
Both, if your goods are on the list. CBSA applied its 2025 surtax to commercial and casual shipments, including those below the de minimis thresholds. Confirm your tariff items and watch for the customs notice covering this order.
My products are manufactured in Asia and ship from a US warehouse. Am I clear?
Not automatically. Origin follows CUSMA marking rules, not the address the parcel ships from. Goods of US origin that do not qualify under CUSMA can face the most-favoured-nation rate plus the countermeasure duty. Your broker can confirm the classification.
Should I stop shipping to Canada?
Rarely the right answer for a brand with real Canadian demand. Reprice the lane, move to duty-paid so the customer sees an honest total at checkout, then revisit once the rates settle.
What happens to a shipment that leaves before September 8 but arrives after?
Goods in transit to Canada on the day the measures take effect are excluded. Keep documentation that supports the shipment's timing, because that paperwork proves the exemption.