News Releases
News Release:
March 4, 2025
DSA Canada - Informational Note on Canada/US Tariff Issues

UPDATE: On March 4, the US and subsequently Canada announced that they have introduced tariffs on each other's imported goods. This follows the delay of a similar proposed action in early February.
In brief, these announcements mean:
- As of March 4, any product entering the US originating from Canada has a 25% surtax added and collected by the US Government, charged to the company importing the product from Canada. This applies to finished goods, parts, and raw materials.
- As of March 4, select products entering Canada originating from the US have a 25% surtax added and collected by the Canadian Government, charged to the company importing the product from the US.
- Canada may bring in further tariffs, on a wider array of US products, in late March. These will likely also be at 25%.
- If a product is being transferred within a company, e.g., from a US company to a Canadian subsidiary, tariffs will still apply.
- The country of ownership of the businesses involved is immaterial, e.g., if a US-owned company is bringing products from Canada to the US, tariffs will still apply.
- The US has stated that the de minimis duties exemption for small packages entering the country will be removed. However, this exemption will remain in place until “adequate systems are in place to fully and expediently process and collect tariff revenue” for such goods. Canada has not announced any changes to its de minimis thresholds.
- Exclusions: Canadian oil, gas and energy exports to the US will be charged a 10% tariff; The import/export of intangible services will not face any tariffs.
Products
- The full list of products that Canada has added tariffs to can be viewed here: https://www.canada.ca/en/department-finance/news/2025/03/list-of-products-from-the-united-states-subject-to-25-per-cent-tariffs-effective-march-4-2025.html
- This list is virtually the same as that published in early February, apart from the addition of a small number of items under Chapters 98 and 99 of the Customs Tariff Schedule, which should not impact direct sellers.
- Impacted items sold by DSA Canada members may include:
- Personal care items, such as cosmetics, perfumes, soap, shampoo, sunscreen, manicure materials, deodorants, etc.
- Clothing
- Coffee and tea
- Spices
- Bags and luggage
- Jewelry and precious metals
- Knives, cutlery, and kitchenware
- Notebooks, diaries, and albums for collections
- For the second stage of Canadian tariffs, a full list of goods will be made available prior to implementation.
Next Steps
- DSA Canada will provide more information to members and stakeholders as this issue develops.
- DSA Canada is continuing to engage with elected officials and other stakeholders on both sides of the border, at both a federal and provincial/state level. We are advocating for de-escalation, negotiation, and the removal of direct sellers’ products from current and future tariffs and other retaliatory measures.
- To ensure compliance, it is recommended that members speak with a trade specialist from amongst the Association’s legal and logistics supplier community – https://dsa.ca/supplier_listing.
- Now is the time for members to understand how their products are classified and what their tariff responsibilities will be.
This is an issue of considerable significance, which has the potential to cause major short-term and long-term disruption, and to harm the direct selling industry in both Canada and the US. Members should not hesitate to contact Peter Maddox at peter@dsa.ca or 416.903.8518 at any time with questions or concerns.