Canada’s steel quotas and surtaxes: what an importer pays in 2026

Canada caps tariff-free steel imports from non-CUSMA countries at 20% or 75% of 2024 volumes; imports above quota pay a 50% surtax. What importers pay.

By Loharo EditorialPublished Updated 2 min read
Imported steel coils and beams on a port quay with a cargo ship berthed
Illustration

Verification status: Partially verified on 15 October 2026. Checked against Finance Canada and CBSA Customs Notice 25-24 (updated 27 June 2026). We have not yet checked the quarterly quota volumes in Global Affairs Canada’s Notice to Importers No. 1163, so treat quota levels for the year from 28 June 2026 as provisional.

Canada limits tariff-free steel imports from countries outside CUSMA with tariff rate quotas. Since 26 December 2025 the quotas are set at 20% of 2024 import levels for countries without a free trade agreement with Canada, and 75% of 2024 import levels for free trade partners (CBSA).

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Imports above the quota pay a 50% surtax. Steel originating in Canada, the United States and Mexico is exempt from this measure.

Canada also applies a 25% surtax on certain steel from China. Canada applies only one of these measures to a good: Chinese steel subject to both pays 25% within the quota and 50% above it.

The order was amended again with effect from 27 June 2026 (SOR/2026-0119). The amendment extends the surtax to 27 June 2027, sets new volumes for certain quotas and moves some tariff lines between product classes. Global Affairs Canada’s Notice to Importers No. 1163 lists the volumes for the quarters from 28 June 2026 (CBSA Customs Notice 25-24).

Worked example

Turkish HRC at C$900/t pays no surtax inside the quota. Above the quota, the 50% surtax adds C$450/t. Illustration only. Loharo’s Steel Trade Measures Tracker follows Canada’s tariff quotas alongside the EU and UK.

Ask the Analyst

“1,000 t HRC from Turkey into Canada”: landed cost with duty, quota and CBAM in one answer.Ask the Analyst

Sources

By Loharo Editorial. Facts, analysis and uncertainty are labelled in line with our editorial standards. Report an error – corrections are dated and noted on the article. Information and analysis only, not investment advice.