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Tariff Update: What is CUSMA-Compliant?

Tariff Update: What is CUSMA-Compliant?

Tariff Update:  What is CUSMA-Compliant?

Canadian businesses exporting to the US have received some relief from US tariffs if they are exporting goods that are deemed "CUSMA-compliant."   Being CUSMA compliant means that goods meet the CUSMA rules of origin and qualify for preferential tariff treatment under the trade deal, which is also sometimes called the USMCA or "new NAFTA".  Goods exported under CUSMA are exempt from the 25% tariffs that apply to non-compliant goods from Canada.  However, to avoid these 25% tariffs, exporters must ensure they meet the rules of origin and claim preferential treatment under CUSMA.

Here’s what Langley businesses and exporters need to know:

CUSMA qualification isn’t automatic — Even if your product is made in Canada, you must prove it meets the CUSMA rules of origin. That means ensuring a certain amount of your product’s value, components, or processing occurred within North America.  The importer into the US must then claim the preferential treatment to receive the tariff-free benefit. 

Claiming the benefit requires some paperwork — Exporters (or their importers) must complete a certification of origin to access CUSMA’s duty-free treatment. Without this, your goods will be subject to the new U.S. tariffs — even if they would have previously entered tariff-free under Most-Favoured-Nation (MFN) terms.   Either the importer, exporter, or manufacturer can fill out the certificate or origin.      Typically, goods would be classified as either being wholly produced in Canada, made completely in Canada but have parts from somewhere else outside North America, or manufactured within North America using only North American components.   There is no one template to use -- it just needs to have the necessary information.  Read this walkthrough on how to fill out a Certificate of Origin >        Watch this video from Chamber member Pacific Customs Broker on filling out a CUSMA certificate of origin > 

Knowing if your goods qualify -  Certain goods (e.g., vegetables harvested in Canada or minerals mined in Canada) must be wholly-obtained in Canada. Other goods can be manufactured using some imported materials, if they undergo enough work to qualify as "originating" in Canada.  Typically, this would mean either:

  • the final good's classification is different than its inputs (ie: a manufacturer could import oak wood to make a kitchen table under CUSMA, as the classification for the table is different enough from the raw material)
  • a certain percentage of the value of the final good is added to it in North America 
  • the good undergoes a certain process in North America (ie: a shirt must be "cut and sewn" in North America to comply with CUSMA)
For goods imported into the U.S., the final decision on the classification and tariff treatment of a good rests with the U.S. Customs and Border Protection.  Product-specific rules of origin and what counts as a material change can be found here >

Use the right classification — All goods are subject to product-specific rules based on their Harmonized System (HS) code. Understanding the exact HS classification of your product is key to knowing what rules apply.  Use the Tariff Finder to help identify your HS classification code >


This matters even if your tariffs were zero before — Many Canadian businesses never formally claimed CUSMA benefits because MFN tariffs were already low or zero. But that approach no longer works under the new U.S. tariff regime — you must actively claim CUSMA treatment to avoid duties.


If you’re unsure whether your goods qualify or how to properly claim preferential treatment, consulting with a customs broker is strongly recommended.  Find a local logistics/customs company > 

For help navigating tariffs, you can also seek support from Canada's Trade Commissioner Service.   Contact them by email or call their support line at 1‑833‑760‑1167.

For more more resources or assistance, visit our Tariff Toolkit at LangleyChamber.com/Tariffs >