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BROKERAGE SALES: 1.800.754.1918 Brokerage Service: 1.866.535.1918 Logistics: 1.866.945.5378

CANADA

Tariffs in Effect
Bonds
CARM

Page Last Updated: 09/04/2025

TARIFFS IN EFFECT

25% tariffs on motor vehicles from the United States.

IN EFFECT

9 April, 2025

  • Non-CUSMA-compliant U.S.-made vehicles, and
  • Non-Canadian and non-Mexican content of CUSMA-compliant U.S.-made vehicles

25% tariff on $30B of U.S. goods.

IN EFFECT

4 March, 2025

25% tariff on $29.8B of U.S. goods.

IN EFFECT

13 March, 2025

  • $12.6B of U.S. origin steel
  • $3B of U.S. origin aluminum, and
  • $14.2M of additional U.S. goods

25% tariff on another $125B of US goods.

PENDING

TBD

Bonds

For further information on bond saturation and additional resources, please visit our partners at Roanoke Insurance Group.

LEARN MORE

NAVIGATING FINANCIAL SECURITY WITH CANADIAN IMPORTER BONDS

CARM & RPP: ESSENTIAL FAQS FOR CANADIAN IMPORTERS

This FAQ is tailored for Canadian importers who need guidance on complying with the upcoming Release Prior to Payment (RPP) changes under the Canada Border Services Agency (CBSA) Assessment and Revenue Management (CARM) initiative.

1. What is the Release Prior to Payment (RPP) program?

The RPP program allows importers to have their goods released by the Canada Border Services Agency (CBSA) before they pay duties and taxes. However, importers must now provide their own financial security to participate in RPP, as they can no longer rely on their customs broker’s financial security.

Without RPP, importers must pay all duties and taxes at the time of importation before their goods are released.

2. When does the RPP transition period end?

The RPP transition period ends on April 19, 2025.

To continue using RPP after this date, importers must post financial security through the CARM Client Portal before the deadline.

3. What happens if I don’t provide financial security by April 19, 2025?

If you do not provide the required financial security by the deadline, you will no longer be eligible for RPP. This means you must pay duties and taxes at the time of importation before CBSA releases your goods.

4. How do I determine how much financial security I need to provide?

CBSA calculates your required financial security based on your highest monthly accounts receivable balance (including duties and GST) over the last 12 months for each of your program accounts (RM accounts).

This required amount will be visible in your CARM Client Portal.

5. How do I register for the CARM Client Portal (CCP)?

You can access the CARM Client Portal (CCP) from the CBSA website:

https://ccp-pcc.cbsa-asfc.cloud-nuage.canada.ca/en/homepage 

To register, you need your Business Number (BN9) plus Importer Program Number (RM). This 15-character BN15 is structured as follows:

 Example BN15: 123456789RM0001

  • The BN9 is the unique business number assigned by the Canada Revenue Agency (CRA).
  • The RM number identifies the CBSA program associated with the business.

🔹 For Canadian-based businesses: Most already have a BN9. If not, they can obtain one during CCP registration.
🔹 For Non-Resident Importers (NRIs): They must get a BN9 from CRA before registering on the CCP.

💡 RM Program Number Details:

  • The CBSA program number (RM) defines the type of user and their activities on the portal.
  • Importers, brokers, warehouses, and sureties each have distinct RM numbers.
    • Carriers and Warehouses must obtain a unique RM Program Number specific to their activities.  Additionally, Carriers and Warehouses must request CBSA link their Carrier Code with their BN9 before any financial security may be filed. This request may be submitted using the CBSA Client Support Contact webform.
  • RM numbers are assigned sequentially (e.g., RM0001, RM0002, etc.).

6. What are the options for posting financial security?

There are two ways to provide financial security:

  1. Written Security Agreement  (from a financial institution such as a bank or surety provider)
    • Must be at least 50% of the required financial security (minimum CAD $5,000 per RM account).
    • One option for financial security is an RPP bond, which can be arranged through your customs broker. Many brokers collaborate with surety providers, such as Roanoke, to help importers facilitate the process. 
    • You must first contact a financial security provider to set up an agreement before entering the details in the CARM Client Portal.
  2. Security Deposit (made directly in the CARM Client Portal)
    • Must be 100% of the required financial security.
    • There is no minimum deposit requirement.

7. Is there a maximum financial security limit?

Yes, the maximum financial security allowed is CAD $10 million per RM account, regardless of the type of security posted.

8. What should I do now to prepare for the RPP changes?

To ensure you remain eligible for RPP:

  1. Log in to the CARM Client Portal and check your required financial security amount.
  2. Decide whether to use a written security agreement or a security deposit.
  3. If using a written security agreement, contact a financial institution (e.g., surety provider or bank) to arrange the agreement.

TARIFF FAQS

Tariffs are taxes or duties imposed by a government on goods and services imported into or exported out of a country. They are typically used to:

  1. Protect Domestic Industries: By making imported goods more expensive, tariffs encourage consumers to buy domestically produced products, thereby supporting local businesses and industries.
  2. Generate Revenue: Tariffs are a source of income for governments, especially in countries that rely heavily on trade.
  3. Regulate Trade: They can be used as a tool to influence trade relationships and address trade imbalances or disputes between countries.
  4. Promote Fair Competition: Tariffs can counteract practices like dumping, where foreign companies sell goods at unfairly low prices.

Types of Tariffs

  1. Ad Valorem Tariffs: Calculated as a percentage of the value of the goods (e.g., 10% of the product’s value)
  2. Specific Tariffs: Fixed amounts charged per unit of goods (e.g., $50 per ton).
  3. Mixed Tariffs: Combine both ad valorem and specific tariffs.

Effects of Tariffs

  1. On Consumers: Higher prices for imported goods.
  2. On Producers: Increased competition for foreign exporters; potential benefits for domestic producers.
  3. On Trade Relations: Can lead to trade wars if countries impose retaliatory tariffs.

Tariffs are a key component of trade policy and can significantly impact global and local economies.

Tariffs are ultimately paid by importers, but their cost often gets passed along the supply chain, impacting different groups:

  1. Importers: The company or entity importing the goods pays the tariff directly to the customs authorities of the importing country. For example, if a Canadian company imports goods into the U.S., it must pay the U.S. tariff.
  2. Consumers: Importers often pass the cost of tariffs to consumers in the form of higher prices for goods. For example, if tariffs increase the cost of raw materials, the final products made from those materials might become more expensive for buyers.
  3. Businesses Along the Supply Chain:
    • Retailers: May face higher wholesale costs if suppliers increase prices due to tariffs.
    • Manufacturers: If they rely on imported components, tariffs can raise production costs, which might be passed to customers or absorbed as lower profit margins.
  1. Exporters: While exporters don’t directly pay tariffs in the importing country, they may face reduced demand if their products become less competitive due to higher costs.

Disclaimer: The information provided on this website is for informational purposes only and is offered without liability on the part of Willson International. It is based on the best available information; however, the tariff environment is rapidly changing, and some details may become outdated. Any advice and/or information contained in this communication is not binding on U.S. Customs and Border Protection (CBP) or the Canada Border Services Agency (CBSA), nor does it satisfy the requirements for “reasonable care” in conducting your customs business. For the most up-to-date and accurate information, please contact your customs broker or trade advisor.

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