Last summer the Canadian government levied a 10 percent tariffs on U.S.-built boats, causing severe disruptions for US boat builders and their Canadian dealers.

According to the Government of Canada, effective April 30, 2019, all retaliatory tariffs on U.S. recreational boats entering Canada have been removed, marking the most positive development for our industry since this concerning issue first emerged.

The Canadian Marine Trade Associations have been advised that earlier this week, the Canadian government approved the “Order Amending the United States Surtax Order (Other Goods),” which ended the 10 percent retaliatory tariff on U.S. boats heading to Canada that was implemented in response to the U.S government’s Section 232 tariffs on steel and aluminum.

Specifically, this action removes the following boat-related HTC codes from the list of goods subjected to the surtaxes:

• 8903.10.00
• 8903.91.00
• 8903.92.00
• 8903.99.90

All boats imported on or after April 30, 2019, are no longer subject to retaliatory tariffs (on a forward basis). At this time the government will not issue rebates or refunds for surtaxes paid on boats prior to this action.

This order will be officially published on May 15, 2019 in Part II Canada Gazette. The next few weeks may still have some challenges in sorting through the details; we urge you to continue collaborating and communicating to support the entire industry.

If you have questions, please contact MRAA Public Policy Manager, Will Higgins.