October 21, 2024. Please be informed of the recent announcement from the Canada Border Services Agency (CBSA) regarding the implementation of Customs Notice 24-36: China Surtax Order (2024). This notice introduces new surtax provisions on steel and aluminum goods originating from China, effective October 22, 2024.
Key Details of the China Surtax Order (2024):
- Surtax Imposed on Steel and Aluminum Goods:
Goods produced in China and classified under Schedule 2 of the China Surtax Order (2024) will be subject to a 25% surtax on the value for duty, in addition to any other applicable duties (including anti-dumping duties). - Goods Subject to the Surtax:
The surtax applies to both commercial and personal importations, regardless of whether the goods are shipped directly from China or through another country. Goods released from a Customs Bonded Warehouse on or after October 22, 2024 will also be subject to this surtax, regardless of the original importation date. - Exceptions to the Surtax:
Goods already in transit to Canada as of October 22, 2024, and certain temporarily imported goods, may be exempt from the surtax, provided proof of transit is available. Additionally, goods that are temporarily imported for repair or re-imported after repairs will not be subject to the surtax. - Surtax Calculation and Reporting:
Importers are required to calculate the surtax themselves and declare it using the appropriate surtax codes for steel (24187B) and aluminum (24187C) on their Commercial Accounting Declaration in the CBSA’s CARM system. - Duties Relief and Duty Drawback Programs:
Canadian businesses may apply for relief under the Duties Relief and Duty Drawback Programs, as per the provisions of the Canada-United States-Mexico Agreement (CUSMA). - CBSA CARM System:
As of October 21, 2024, the CBSA Assessment and Revenue Management (CARM) system will be the official platform for importers to manage their duties and taxes, including the self-declaration of the surtax amounts.
Please contact us at carm@buckland.com if you require assistance with surtax calculations or CBSA processes.