How does Canada Customs assign Duty Rates?
Posted by
Ana Webb on Thu, Jul 21, 2011 @ 04:12 PM
I often get asked what the duty rate is for this item or that item - people want to know what the various duty rates are for the items they want to import.

My first response is always "Where is it made?" This is because no matter what item it is - if it's made in the U.S.A., Canada or Mexico - the item will be duty free regardless of what it is. To get more technical, though - the item also has to qualify for NAFTA (North American Free Trade Agreement) - which makes these items duty free.
But, as a rule of thumb, if it's made in those 3 countries - you can be 90% sure it will not have any duty. (There will still be taxes, of course!)
There are other countries that have trade agreements with Canada and the U.S. as well - but the NAFTA agreement covers U.S., Canada and Mexico - as long as the items are made / manufactured in those countries - they will be duty free!