TARIFF TRACKER
Canada raises surtax on some U.S. steel and aluminum to 50%
CBSA says certain U.S.-origin steel and aluminum goods are subject to a 50% Canadian surtax from September 8, 2026. Other listed U.S.-origin steel and aluminum goods remain subject to a 25% surtax.
Updated October 12, 2026
STATUS
In effect
·
EFFECTIVE
·
Canada
RATE
25% or 50%
25% or 50% of value for duty. From September 8, 2026, 50% applies to goods in Schedules 1.1 and 2.1, while goods in Schedules 1 and 2 remain at 25%.
COUNTRIES
United States
PRODUCT FAMILIES
Steel, Aluminum
COVERED GOODS
U.S.-origin steel and aluminum goods listed in Schedules 1, 1.1, 2 and 2.1 of the Canadian order. Goods classified in Chapter 98 or 99 are covered only if listed in Schedule 3 or 4 and otherwise classifiable under Schedule 1, 1.1, 2 or 2.1.
EXCLUSIONS
Does not apply to in-transit goods as stated, certain goods from U.S. territories, certain Chapter 98 or 99 goods not covered by the schedules, Akwesasne remission goods, Campobello Island resident imports meeting the stated conditions, and specified returning or repaired U.S.-made goods.
USMCA
Origin is determined by eligibility to be marked as U.S. goods under the CUSMA country-of-origin marking regulations. Duties Relief and Duty Drawback remain available subject to CUSMA.
WHAT TO DO (OUR GUIDANCE, NOT LEGAL ADVICE)
Check Canadian import lines against Schedules 1, 1.1, 2 and 2.1 and apply the correct CBSA surtax code. Keep proof for goods that were in transit on or before September 8, 2026, since the notice says those goods remain at the 25% rate.
SOURCES
CBSA Customs Notice 25-11: United States Surtax Order (Steel and Aluminum 2025) (September 7, 2026)
QUOTES FROM THE SOURCE
Signed: "Updated: September 7, 2026" (source)
Effective date: "Effective September 8, 2026 , the surtax rate increases to 50% of the value for duty for aluminum goods and steel goods" (source)
Rate: "the surtax rate increases to 50% of the value for duty for aluminum goods and steel goods listed in the new Schedules 1.1 and 2.1, respectively." (source)
Rate: "Aluminum goods listed in Schedule 1 and steel goods listed in Schedule 2 continue to be subject to a 25% surtax rate." (source)
Covered goods: "goods originating in the U.S are subject to a surtax at the applicable rate of 25% as set in Schedule 1 or 2 to the Order Amending the United States Surtax Order" (source)
Countries: "The surtax only applies to steel and aluminum goods that originate in the U.S., which shall be considered as those goods eligible to be marked as goods of the U.S." (source)
Exclusions: "The surtax does not apply to goods eligible to be marked as originating from Puerto Rico, Guam, the Northern Mariana Islands, American Samoa or the U.S. Virgin Islands." (source)
Exclusions: "The increased surtax rate from 25% to 50% effective September 8, 2026 , for certain steel and aluminum goods does not apply to goods that were in transit on or before September 8, 2026 ." (source)
USMCA: "Canada’s Duties Relief and Duty Drawback Programs will be available for surtax paid or payable, subject to the provisions of the Canada-United States-Mexico Agreement (CUSMA)." (source)
Covered goods: "The Schedules to the Order Amending the United States Surtax Order (Steel and Aluminum 2025) (SOR/2026-187) contain a complete list of goods subject to the surtax." (source)
Checked against source
on
Live CBSA notice (updated Sep 7, 2026): from Sep 8, 2026 U.S.-origin aluminum and steel in Schedules 1.1 and 2.1 pay a 50% surtax, Schedules 1 and 2 stay at 25%; Canada Finance says steel and aluminum counter-tariffs rise to 50% and other counter-tariffs continue.
Morsa reads your suppliers’ price-increase letters and POs in your inbox and flags the ones a tariff change touches. See how it works
