CBSA Extends RPP Contingency Measures Until August 9, 2025

CBSA Extends RPP Contingency Measures to August 9, 2025 – What Importers Need to Know

Dear Trade Chain Partners,

Maska International Customs Broker would like to share an important update from the Canada Border Services Agency (CBSA) regarding Release Prior to Payment (RPP) contingency measures.

On July 10, 2025, the CBSA announced that the RPP contingency period — originally set to expire on July 31 — will now continue until August 9, 2025. This extension ensures that importers, customs brokers, and other trade partners have additional time to prepare for the transition under CARM while maintaining operational flexibility.

Key Points from the CBSA Update:

  • The contingency period applies to all goods, including those stored in sufferance warehouses.

  • Importers without RPP security in place may continue to use their BN15 contingency account, provided they pay a $4,999.99 deposit to CBSA.

  • During this period, importers can obtain release prior to full payment, but final customs accounting declarations (CADs) must be submitted within five business days after release.

  • These measures will remain in place until midnight, August 9, 2025.

Why This Matters for Importers
This extension gives importers an additional buffer to finalize their CARM readiness, secure proper financial guarantees, and adjust internal processes without risking compliance. However, late CAD submissions or failure to meet security requirements could still result in penalties.

Maska International Customs Broker remains committed to helping our clients navigate these changes efficiently. Our team can guide you through:

  • Establishing RPP security

  • Managing BN15 contingency accounts

  • Preparing for CARM full implementation

If you have any questions about how this extension affects your shipments, please reach out to our team for a one-on-one consultation.

Warm regards,
Maska International Customs Broker
Anton

CBSA’s July 2025 Trade Verification Priorities – What Importers Should Expect

CBSA’s July 2025 Trade Verification Priorities – What Importers Should Expect

Dear Trade Chain Partners,

The Canada Border Services Agency (CBSA) has released its July 2025 Trade Verification Priorities, outlining the main focus areas for import compliance audits in the coming months.

These verifications ensure that goods are classified correctly, country of origin is declared accurately, and surtaxes are applied where required. For importers, this means a renewed emphasis on documentation accuracy and tariff compliance.

Top Audit Targets for July 2025:

  1. Tariff Classification

    • Gloves

    • Bags

    • LED lamps

    • Washers and dryers

    • Bicycle parts

    • Non-domestic furniture

  2. Origin Declarations

    • Bedding and drapery, especially for correct country-of-origin documentation.

  3. Surtax and Remission Compliance

    • U.S.-origin goods subject to special surtaxes, and ensuring any claimed remissions meet CBSA requirements.

Audit Process and Timeline
CBSA audits typically allow for a four-year review period under the Customs Act, meaning importers can be asked to provide records dating back several years. Businesses should ensure that supporting documentation is organized, complete, and readily accessible.

Why This Matters for Canadian Businesses
Misclassification or incorrect origin declarations can lead to retroactive duties, penalties, and increased audit scrutiny. With CBSA’s clear focus on these categories, now is the time for importers to review their tariff classifications and supplier declarations.

How Maska International Can Help
Our team offers:

  • Tariff classification reviews to confirm accuracy

  • Origin verification support to ensure documentation matches CBSA standards

  • Compliance training to prepare your staff for potential CBSA audits

By taking proactive measures now, you can reduce audit risk and maintain smooth cross-border operations.

Warm regards,
Maska International Customs Broker
Anton

CBSA’s July 2025 Verification Priorities: Key Goods Under Risk – and How to Prepare

CBSA’s July 2025 Verification Priorities: Key Goods Under Risk—and How to Prepare

Dear Trade Chain Partners,

The Canada Border Services Agency has published its latest trade compliance verification priorities, effective July 2025, with targeted focus on tariff classification and origin validation

Key Compliance Priorities

CBSA verification will now emphasize:

  • Classification: gloves (Round 3), ceramic bags, spent fowl, LED lamps, washers/dryers, bicycle parts, and furniture for non-domestic use

  • Origin validation: bedding and drapery imported under CETA or CUKTCA claiming preferential duty treatment

These reflect a strategic shift to enforce accuracy in trade declarations and tariff treatment

Why It Matters
  • Audit risk is elevated for targeted product lines

  • CBSA may issue Trade Advisory Notices (TANs), compliance letters, or monetary assessments

  • Errors can lead to retroactive duty recalcultions, interest, and penalties — up to four years back

Recommended Actions Now
 
ActionDescription
Audit targeted categoriesReview imports in CBSA’s priority list for classification and origin accuracy
Collect documentationMaintain purchase, valuation, and origin proof records
Self-assessmentFix any errors via corrected CAD before CBSA intervention
Structured compliance reviewIntegrate findings into internal protocols for future checks
How Maska International Can Assist

We offer tailored support to strengthen compliance:

  • Conduct pre-audit reviews for high-risk goods

  • Assess classification, valuation, and origin documentation

  • Prepare and submit Corrected Declarations (CADs)

  • Provide advice on future TANs and verification responses

Final Word

The new CBSA verification list reflects heightened regulatory focus. Proactive compliance today can prevent costly reassessments tomorrow. Maska International stands ready to help you prepare and protect your import operations.

Warm regards,
[Maska International]
[Anton]

Canada Imposes New 50% Surtax on Steel from Non‑FTA Countries: What Importers Need to Know

Canada Imposes New 50% Surtax on Steel from Non‑FTA Countries: What Importers Need to Know

On June 27, 2025, the Government of Canada, in coordination with CBSA and Global Affairs, enacted a 50% surtax on certain steel imports from countries that do not have a free trade agreement with Canada

This new tariff-rate quota (TRQ) applies unless importers hold a shipment-specific permit issued by Global Affairs Canada.

Key Details at a Glance

Scope: Steel goods listed under Item 82 of the Import Control List originating from non‑FTA countries
Requirement: A GAC-issued EIPA permit, available up to 15 days before arrival, is needed to avoid the surtax
Calculation: 50% of value for duty
Stacking Risk: Surtax may stack with existing orders (e.g. China surtaxes), leading to combined duties up to 75%
Exemptions: Goods in transit before June 27, casual goods, goods of Free Trade Partner origin, and those classified under Chapter 98

Impact for Importers

This sudden hike impacts cash flow and landed cost calculation significantly. For importers shipping steel from affected countries:

⦁ Permit acquisition is now essential
⦁ Forecasting duty exposure becomes more complex
⦁ Compliance documentation must be robust to support origin claims

How Maska International Can Support You

⦁ Conduct permit feasibility reviews
⦁ Assist with submission and tracking of EIPA number applications
⦁ Validate shipment origin documentation
⦁ Forecast and model duty stacking scenarios
⦁ Provide quick responses to CBSA and GAC queries

Final Word

This 50% surcharge marks a significant shift in steel import strategy. If you’re importing affected goods, now is the time to act. We’re here to help secure permits and minimize duty exposure.

Warm regards,
Maska International Customs Broker
Anton

CBSA TRADE VERIFICATION PRIORITIES

CBSA’s July 2025 Audit Focus: Imports That Shouldn’t Be Overlooked

Dear Trade Chain Partners,

On July 10, 2025, the CBSA updated its trade compliance verification priorities—a semi-annual review. The new July list highlights three key audit areas: tariff classification, valuation, and origin, and points to several specific product groups currently under scrutiny

What CBSA is Prioritizing
  • Tariff Classification: Focus on items like frozen desserts with over 5% dairy content, gloves, and LED lamps

  • Valuation: Apparel under Chapters 61 and 62

  • Origin: Bedding and drapery under Chapters 63.01–63.03, especially under CETA/CUFTA rule.

CBSA’s risk-based verifications target misclassifications, undervaluation, or improper origin claims—any of which can lead to retroactive duty reassessments, interest, and administrative penalties up to four years post-import
How This Affects Importers
  • Increased likelihood of audits for specific categories

  • Mandatory internally documented processes for classification, valuation, and origin

  • Need for corrected Commercial Accounting Declarations (CADs) and supplemental documentation upon request

 

How Maska International Can Assist

Our team provides comprehensive import compliance support:
  • Classification audits to ensure proper HS codes

  • Valuation reviews matching CBSA requirements

  • Origin documentation verification, particularly under free trade deals (CUSMA, CETA)

  • CAD adjustments and voluntary disclosures to minimize penalties

  • Guidance through CBSA verification processes, documentation, and defense

Final Note

CBSA’s fresh compliance focus highlights the need for proactive controls. Let Maska International guide you in strengthening your customs processes, maintaining compliance, and mitigating audit risk.

Warm regards,
Maska International Customs Broker
Anton

 
 

CARM RPP CONTINGENCY EXTENSION

CBSA Extends RPP Contingency Plan: What Importers Must Know

Dear Trade Chain Partners,

Maska International Customs Broker is thrilled to announce a significant milestone in the evolution of trade operations in Canada. In today’s email, the Canada Border Services Agency (CBSA) announced that it has officially launched the CBSA Assessment and Revenue Management (CARM) system internally. This marks a pivotal step towards CARM becoming the official system of record that importers and other trade chain partners will rely on for years to come.

Why the Extension Matters

This extension buys crucial time as businesses complete their transition to full RPP enrollment under CARM. With the external launch having taken place last fall, importers must have electronic security posted directly in the CARM Client Portal—no longer relying on broker securities. This means:

  • Immediate relief for time-sensitive goods still in transit or awaiting payment security

  • Continued workflow fluidity while importers finalize their Full RPP setup

Your Next Steps
  1. Ensure RPP Enrolment is Complete

    • Verify your importer’s RM accounts are linked in the Client Portal.

    • Check current security coverage for any lagging shipments.

  2. Update Bond or Security Requirements

    • Ensure the value of posted security matches current import volumes—even perishables.

  3. Stay Informed of Potential Extensions

    • CBSA announcements may include further extensions; stay connected via Customs Notices.

How Maska International Can Support You

At Maska International Customs Broker, we’re already assisting clients to:

  • Finalize their RPP registration and security posting

  • Confirm all sufferance warehouse holdings are covered under the extension

  • Monitor and advise on further developments or new Customs Notices

If you’re unsure about your current RPP status, or have goods in transit, contact us today to ensure seamless import release.

Final Word

The extension until August 9 offers a crucial window to finalize your transition under CARM’s new RPP framework. Let us help ensure your import operations remain timely, compliant, and resilient.

Warm regards,
Maska International Customs Broker
Anton

Understanding Release Prior to Payment (RPP) Under CARM: What Canadian Importers Need to Know

Release Prior to Payment (RPP) in Canada: CARM 2024 Update

As we move closer to the external launch of the CBSA Assessment and Revenue Management (CARM) system in October 2024, Canadian importers are navigating significant changes to customs procedures. One key area of focus is the transition of the Release Prior to Payment (RPP) program, which has historically allowed importers to obtain release of goods before paying duties and taxes.

With CARM becoming the system of record, the ability to use RPP privileges is shifting from customs brokers to importers directly, making this a crucial time to prepare.

What is Release Prior to Payment (RPP)?

RPP allows qualified importers to obtain goods from CBSA control before duties and taxes are paid. Traditionally, customs brokers posted financial security on behalf of their clients. Under CARM, however, importers must secure their own financial bond or security agreement in order to continue using RPP.

If you intend to maintain release privileges under CARM, your business will need to:

  • Register in the CARM Client Portal

  • Link your business number (BN9) and RM accounts

  • Post a surety bond or cash security

  • Understand how to manage and remit payment through the portal

Why This Matters

After CARM’s external launch, brokers will no longer be able to use their own bonds on behalf of clients. If importers do not secure their own RPP security, they risk shipment delays, demurrage, and warehouse storage fees.

This transition represents a major shift in responsibility and requires both technical setup and financial planning.

How Maska International Can Help

We are currently helping clients:

  • Register and onboard in the CARM Client Portal

  • Set up financial security and advise on surety bonds

  • Understand payment processes and deadlines

  • Review RPP alternatives and transitional support if full bonding is not feasible

As CARM moves forward, we’re committed to ensuring that your operations continue with minimal disruption and full compliance.

If you’re unsure of your RPP status, or haven’t secured a bond yet, please reach out. Our team is ready to provide one-on-one consultation to help you navigate the process.

Final Note

CARM is more than a digital upgrade—it’s a full modernization of Canada’s import framework. Let’s make sure your business stays ahead of the curve.

Warm regards,
[Maska International]
[Anton]

Bonded Warehousing in Canada: A Strategic Tool for Importers in 2025

Bonded Warehousing in Canada: A Strategic Tool for Importers in 2025

In today’s dynamic trade environment, many Canadian businesses are seeking smarter ways to manage inventory, reduce duties, and stay competitive. One underutilized yet highly strategic tool is the bonded warehouse.

At Maska International Customs Broker, we support importers who want to optimize their cash flow and simplify compliance through CBSA-authorized bonded warehousing solutions.


What is a Bonded Warehouse?

A bonded warehouse is a licensed facility under CBSA control where imported goods can be stored without payment of duties and taxes until the goods:

  • Are sold domestically (then duties apply),

  • Are exported (then no duties apply),

  • Or are used in a qualified customs procedure.

This system allows businesses to defer large cash outflows and increase operational flexibility—especially when importing goods in bulk or awaiting market demand.


Benefits for Canadian Importers

Bonded warehousing offers a wide range of strategic advantages, including:

  • Duty and tax deferral until goods are released for consumption

  • Improved cash flow and reduced working capital tied in customs fees

  • Simplified re-export processes

  • Compliance with CARM and modern customs practices

  • Support for e-commerce and global fulfillment models

As your inventory grows or you consider international expansion, bonded warehousing becomes even more valuable.


Requirements and Compliance

Operating a bonded warehouse requires a license from the CBSA, as well as:

  • A secure physical location

  • Accurate inventory tracking systems

  • Strong recordkeeping and audit processes

  • Alignment with Trusted Trader or other CBSA-recognized standards

Many companies can benefit from bonded warehousing without running their own facility—we assist clients in accessing shared or third-party bonded sites while staying fully compliant.


How Maska International Can Help

Our services include:

  • Assessing bonded warehousing eligibility

  • Preparing CBSA license applications

  • Coordinating with warehouse providers

  • Ensuring inventory controls meet regulatory standards

  • Advising on RPP, duty deferral, and other related customs programs

If you are considering a new warehousing strategy or just want to understand your options, we offer full support from start to finish.


Final Note

Bonded warehousing is no longer just for large manufacturers. It’s a flexible, compliant solution for Canadian importers of all sizes. Let us help you implement it the right way.

Warm regards,
[Maska International]
[Anton]

How Trusted Trader Readiness Can Help Canadian Importers Reduce Costs and Simplify Customs Procedures

How Trusted Trader Readiness Can Help Canadian Importers Reduce Costs and Simplify Customs Procedures

 

Dear Trade Chain Partners,

As Canada’s trade environment continues to modernize, many importers are not only preparing for the upcoming external launch of CARM in October 2024, but also revisiting how they manage duties and customs procedures in the long term. At Maska International Customs Broker, we are working closely with businesses that are planning for growth—whether through expanded imports, bonded warehousing needs, or long-term cost reduction strategies.

One important trend we’re seeing is that companies with higher duty exposure or those entering new international markets are looking for ways to reduce customs costs while staying compliant with CBSA regulations. This is where customs procedures and CBSA’s Trusted Trader frameworks come into play.


Trusted Trader Alignment & Customs Readiness in Canada

While Canada does not operate an “Authorized Economic Operator (AEO)” program in name like the European Union, it does have two equivalent programs under CBSA’s Trusted Trader umbrella:

  • Partners in Protection (PIP) – focused on supply chain security

  • Customs Self Assessment (CSA) – designed for pre-approved, low-risk importers

These programs not only offer operational advantages such as faster processing and reduced risk assessments, but also simplify access to certain customs procedures, including:

  • Bonded Warehousing

  • Release Prior to Payment (RPP)

  • Temporary Importation

  • Inward and Outward Processing

  • Duty Deferral Options

To access these programs or apply for certain licenses, CBSA requires that your business adheres to standards that mirror Trusted Trader requirements. In some cases, companies must complete a self-assessment questionnaire proving internal controls, trade compliance, and procedural integrity—even if they are not formally enrolled in CSA or PIP.


Being “Ready” vs. Being Certified

A common question we receive is:
“If we already meet CSA or PIP criteria, should we apply for the program?”

Our response depends on your specific needs.

If your business is only pursuing one or two customs procedures, it may be more practical to stay “Trusted Trader-ready” rather than take on the added cost and maintenance of full program enrollment.
However, if you plan to apply for multiple customs authorizations, increase bonded operations, or reduce customs bonds, becoming a formal CSA or PIP member may provide added efficiency and long-term value.


CARM and Customs Procedure Licensing

With CARM’s external launch scheduled for October 2024, businesses must also ensure they are aligned with new requirements around:

  • Electronic bonding (RPP transition)

  • Delegation of authority via the CARM Client Portal

  • Accurate linkage of RM account numbers to importer profiles

  • Interim rules as noted in Customs Notice 24-18

During this transition period, the CBSA will be evaluating importers more closely, especially those requesting new customs privileges. Whether your company is considering bonded warehousing, import/export licensing, or inward processing, demonstrating Trusted Trader readiness will speed up approvals and reduce administrative delays.


How Maska International Can Support You

At Maska International Customs Broker, our team is actively assisting businesses with:

  • CARM Client Portal readiness and compliance

  • Applying for customs procedures and licenses

  • Assessing Trusted Trader eligibility

  • Preparing for CBSA audits and procedural reviews

  • Clarifying written security agreement requirements

If your company is navigating expansion, considering bonded storage, or exploring duty savings through customs programs, now is the time to evaluate your level of compliance readiness.

We are here to provide clarity, consultation, and customized support—whether you’re applying for new customs procedures or preparing for long-term strategic certification.


Final Note

We appreciate your ongoing trust in our expertise and invite you to reach out for a tailored consultation. As the CBSA modernizes its systems and elevates compliance expectations, your proactive planning today will help avoid delays and reduce costs tomorrow.

Warm regards,
[Maska International]
[Anton]

Understanding Canada’s 25% Surtax on U.S. Goods: What You Need to Know​

Understanding Canada’s 25% Surtax on U.S. Goods: What You Need to Know

Dear Trade Partners,

As part of ongoing trade measures, the Government of Canada has introduced a 25% surtax on selected goods imported from the United States, including items such as steel, aluminum, and certain automotive products. These tariffs, collected at the border by the Canada Border Services Agency (CBSA), are applied in the form of a surtax and are intended to address ongoing trade imbalances.

In this post, we aim to clarify how these tariffs affect importers, travelers, and individuals bringing goods into Canada for personal use—whether by vehicle, mail, or courier.

Which Goods Are Affected?

The 25% surtax applies to both new and used goods that fall into the following categories:

Marked as made in*, produced in, or originating from the United States
Goods with *no country of origin marking**, but believed to originate in the U.S.
Items entering Canada for *commercial use**, temporary exhibition, or personal use, including gifts over \$60 in value
* Goods transiting through Canada to a third country
Imports that exceed *personal exemption limits**

If a product is clearly labeled as being from another country (e.g., Made in Germany), it will generally not be subject to the surtax—even if purchased in the U.S. However, the responsibility to prove country of origin lies with the importer.

For a detailed product list, refer to: Customs Notice 25-10: United States Surtax Order (2025-1)

 Impact on Travellers Entering Canada

Whether you’re a Canadian resident returning home or a visitor arriving for a stay, the surtax may apply depending on the goods you bring and their declared origin.

Canadian Residents

If your purchases from the U.S. exceed your personal exemption (based on the duration of your absence), you’ll be required to pay duties, taxes, and this additional 25% tariff. For example:

* After 24 hours away, residents are eligible for a \$200 exemption
* After 48 hours or more, the exemption increases to \$800
Same-day trips do not qualify for any exemption

More info: [Personal exemptions for returning residents](https://www.cbsa-asfc.gc.ca/travel-voyage/declare-eng.html)

Campobello Island Exception

Residents of Campobello Island, New Brunswick, benefit from a unique exemption. Due to limited access to mainland Canada (by ferry in summer or via the U.S. year-round), goods brought back after short trips of less than 24 hours are not subject to the 25% surtax, as long as:

* The importer resides on the island
The goods are for *personal or household use**
* Items are in the importer’s possession at the time of return

Refer to Section 22 of Customs Notice 25-10 for complete details.

Visitors to Canada

International travelers, including U.S. citizens, are not subject to this surtax on items they bring for temporary personal use, such as luggage, personal effects, and vehicles.

However, if an officer determines that goods exceed a reasonable quantity for the duration of your visit, the excess may be subject to duties, taxes, and tariffs.

Common allowances apply to alcohol, tobacco, meat, and dairy.

How to Calculate the Surtax

The surtax is applied to the value for duty of the imported item—*before taxes such as GST/HST*. Here’s how it’s calculated:

Example

* Item value for duty: $50
* Surtax rate: 25%
Surtax payable: $12.50

Keep in mind, this is in addition to applicable GST/HST and duties.

Need Assistance?

At Maska International Customs Broker, our priority is helping you navigate Canada’s changing trade environment. Whether you’re a business managing commercial imports or an individual seeking clarity on personal exemptions, we’re here to offer guidance and full-scale consultation.

Visit our [services page](https://maskacustoms.com/services) or contact us directly for expert advice on your import needs.

Warm regards,
Maska International Customs Broker
Anton