Order Imposing a Surtax on the Importation of Certain Steel Goods (SOR/2025-148)

Interpretation

Marginal note:Origin of goods

1 For the purposes of this Order, the origin of goods is determined in accordance with the rules of origin set out in the Determination of Country of Origin for the Purpose of Marking Goods (CUSMA Countries) Regulations or the Determination of Country of Origin for the Purpose of Marking Goods (Non-CUSMA Countries) Regulations, as the case may be.

Surtax

Marginal note:Surtax — countries with no trade agreement

• 2 (1) Subject to section 3, goods that are classified under a tariff item set out in column 4 of Schedule 1 and do not originate in a country listed in Schedule 3, as well as those that are otherwise classifiable under one of those tariff items but are classified under a tariff item of Chapter 99 of the List of Tariff Provisions, are subject to a surtax in the amount of 50% of their value for duty determined in accordance with sections 47 to 55 of the Customs Act if

  • (a) the quantity of goods of the same class imported during the same quarterly period exceeds the total set out in column 2 for that class; or

  • (b) the quantity of goods of the same class that originate in the same country and are imported during the same quarterly period exceeds the quantity determined by multiplying the percentage set out in column 3 by the total set out in column 2 for that class.

• Marginal note:Transitional measures

  (1.1) For the period beginning on August 1, 2025 and ending on September 25, 2025, the surtax referred to in subsection (1) applies if

  • (a) the quantity of goods of the same class imported during that period exceeds the quantity determined by the formula

    A − B

    where

    A

    is the quarterly total set out in column 2 of Schedule 1 for goods of the same class, and

    B

    is the quantity of goods of the same class that are imported during the period beginning on June 27, 2025 and ending on July 31, 2025 under a permit that is issued under subsection 8(1) of the Export and Import Permits Act in respect of steel goods referred to in item 82 of the Import Control List; or

  • (b) the quantity of goods of the same class that originate in the same country and are imported during the period beginning on June 27, 2025 and ending on September 25, 2025 under a permit that is issued under subsection 8(1) of the Export and Import Permits Act in respect of steel goods referred to in item 82 of the Import Control List exceeds the quantity determined by multiplying the percentage set out in column 3 of Schedule 1 by the quarterly total set out in column 2 of that Schedule for that class.

• Marginal note:Quarterly period

  (2) For the purposes of subsection (1), a quarterly period is a three-month period, the first of which begins on the day on which this Order comes into force.

• (3) [Repealed, SOR/2025-155, s. 1]

• Marginal note:Import permit

  (4) Goods are considered to be imported in excess of the limits set out in subsection (1) if they are not imported under a permit that is issued under subsection 8(1) of the Export and Import Permits Act in respect of steel goods referred to in item 82 of the Import Control List and that is valid at the time at which the goods are accounted for under subsection 32(1), (3) or (5) of the Customs Act.

Marginal note:Surtax — countries with trade agreement

• 2.1 (1) Subject to section 3, goods that are classified under a tariff item set out in column 4 of Schedule 2 and originate in a country listed in Schedule 3, as well as those that are otherwise classifiable under one of those tariff items but are classified under a tariff item of Chapter 99 of the List of Tariff Provisions, are subject to a surtax in the amount of 50% of their value for duty determined in accordance with sections 47 to 55 of the Customs Act if

  • (a) the quantity of goods of the same class that are imported during the same quarterly period exceeds the quarterly total set out in column 2 of Schedule 2 for that class; or

  • (b) the quantity of goods of the same class that originate in the same country and are imported during the same quarterly period exceeds the quantity determined by multiplying the percentage set out in column 3 of Schedule 2 by the quarterly total set out in column 2 of that Schedule for that class.

• Marginal note:Transitional measures

  (2) For the period beginning on August 1, 2025 and ending on September 25, 2025, the surtax referred to in subsection (1) applies if

  • (a) the quantity of goods of the same class imported during that period exceeds the total set out in column 2.1 of Schedule 2 for that class; or

  • (b) the quantity of goods of the same class that originate in the same country and are imported during that period exceeds the quantity determined by multiplying the percentage set out in column 3 of Schedule 2 by the total set out in column 2.1 of that Schedule for that class.

• Marginal note:Quarterly period

  (3) For the purposes of subsection (1), a quarterly period is a three-month period, the first of which begins on September 26, 2025.

• Marginal note:Import permit

  (4) Goods are considered to be imported in excess of the limits set out in subsection (1) if they are not imported under a permit that is issued under subsection 8(1) of the Export and Import Permits Act in respect of steel goods referred to in item 82 of the Import Control List and that is valid at the time at which the goods are accounted for under subsection 32(1), (3) or (5) of the Customs Act.

Marginal note:Exceptions

3 The following goods are not subject to the surtax and are excluded from the determination of the quantity of goods imported:

• (a) goods referred to in subsections 2(1) and (1.1) that are in transit to Canada on or before June 27, 2025;

• (a.1) goods referred to in subsections 2.1(1) and (2) that are in transit to Canada on or before August 1, 2025;

• (b) goods originating in Canada, the United States or Mexico;

• (c) casual goods as defined in section 2 of the Persons Authorized to Account for Casual Goods Regulations; and

• (d) goods that are classified under a tariff item of Chapter 98 of the List of Tariff Provisions, even if the goods are otherwise classifiable under a tariff item set out in column 4 of Schedule 1 or in column 4 of Schedule 2.

Marginal note:Other surtaxes

3.1 Despite any other order made under the Customs Tariff, if a good that is subject to a surtax under this Order is also subject to any other surtax under the Customs Tariff, only the surtax under this Order is applicable to the good.

Repeal of this Order

4 This Order is repealed on the first anniversary of the day on which it comes into force.

Repeal

5 The Order Imposing a Surtax on the Importation of Certain Steel GoodsFootnote ¹ is repealed.

• Return to footnote ¹SOR/2018-206

Coming into Force

Marginal note:June 27, 2025

6 This Order comes into force on June 27, 2025, but if it is registered after that day, it comes into force on the day on which it is registered.