Canada Border Services Agency (CBSA) is informing the importing community about updates to Canada’s tariff programs for developing countries, effective January 1, 2025.
Least Developed Country (LDC) Tariff Program:
Extension of the LDC Program: The program will be extended for 10 years starting January 1, 2025, continuing the current rules of origin until then.
Simplified Rules of origin for Apparel: To reduce compliance burdens, the origin rules for apparel will allow inputs from any source, effective January 1, 2025.
Amended Provisions:
Direct shipment requirements will no longer mandate a “through bill of lading.”
The six-month storage limit in intermediary countries will be removed.
Graduation of Bangladesh: Bangladesh will lose LDC status in November 2026, with a three-year transition. Canada plans to extend tariff benefits until 2029.
General Preferential Tariff (GPT) and General Preferential Tariff Plus (GPTP):
Simplified Rules of origin for the eligible apparel products: To reduce compliance burdens, the origin rules for apparel will allow inputs from any source, effective January 1, 2025.
Amended Provisions:
Direct shipment requirements will no longer mandate a “through bill of lading.”
The six-month storage limit in intermediary countries will be removed.
Proposal for GPTP Program: Canada is considering a new GPTP program, offering additional tariff benefits to countries that comply with international standards for sustainable development, labor, and human rights.
Canada’s Commonwealth Caribbean Countries Tariff (CCCT):
Expanded Duty-Free Goods under CCCT: Goods under Chapters 50 to 63 can now qualify for duty-free treatment under the CCCT, provided they meet origin and shipment requirements.
More information can be found in
For additional information, you can reach out to our team of Technical Consultants at [email protected]