Effective July 31, 2026, the Government of Canada has introduced a 25% provisional safeguard surtax on specific wood cabinet and vanity products. This measure is intended to address challenges facing Canadian manufacturers, including the effects of increased imports and trade diversion resulting from changes in global trade patterns.
The surtax will remain in effect while the Canadian International Trade Tribunal (CITT) conducts its safeguard inquiry and may remain in place for up to 200 days.
Products Subject to the Surtax
The surtax applies to goods classified under the following tariff items:
- 9403.40.00.10
- 9403.60.10.31
- 9403.60.10.39
- 9403.91.00.90
Ongoing CITT Investigation
The CITT launched its safeguard inquiry in April 2026, at the request of the Government of Canada. The Tribunal is examining whether increased imports of certain wood products are causing, or threatening to cause, serious injury to Canadian manufacturers.
The inquiry is expected to conclude by January 15, 2027, at which time the Tribunal will provide recommendations regarding any appropriate trade remedies.
If the CITT determines that imports are not causing injury to Canadian industry, the provisional safeguard surtax will cease to apply on the date of the Tribunal’s finding.
In accordance with Canada’s international trade obligations, wood cabinets and vanities manufactured in the United States, Mexico, Israel, Chile, and developing countries will be excluded from the provisional safeguard measure.
Willson International will continue to provide updates through our newsflash distribution.
Concerns or questions can be directed to the Canadian Regulatory team.