top of page
Search

Trade Turbulence in 2025: How a Customs Broker in Canada Can Help You Navigate the U.S. Tariff Tsunami

  • Writer: Erangie   Kulatilaka
    Erangie Kulatilaka
  • Jul 25
  • 5 min read

Updated: Sep 23


ree

From early announcements to rapid policy reversals, 2025 has brought trade uncertainty that few Canadian businesses could have anticipated. Since November, Canada–U.S. trade relations have experienced a wave of tariff activity that continues to evolve. Now, with a 35% U.S. tariff on Canadian imports set to take effect August 1, importers are facing renewed pressure to adjust their strategies—and fast. 


In times like these, having an experienced customs broker in Canada isn’t just helpful. It’s critical to staying compliant, competitive, and prepared. 

 

What Makes 2025 So Different 


Tariff changes have always been part of cross-border trade. What makes 2025 different is the pace of change, the frequency of updates, and the uncertainty around what’s coming next. Multiple sectors—including steel, aluminum, autos, and copper—have seen new duties imposed, adjusted, or paused within short windows of time. 

Canadian businesses are left to answer tough questions: 

  • How will tariffs affect our landed costs? 

  • Are our suppliers still viable? 

  • Will we qualify for trade agreement exemptions? 

  • Can we absorb or pass along new costs without losing customers? 

 

Month-by-Month: A Rapidly Changing Trade Environment 

November 2024 – March 2025 

  • Initial tariff announcements target most Canadian imports. 

  • Implementation begins in March, with Canada responding via countermeasures. 

  • Sector-specific tariffs on steel, aluminum, and autos are introduced or escalated. 

April – May 2025 

  • Additional measures affect global imports, with varying impacts on Canadian goods. 

  • Legal reviews and bilateral discussions begin to influence tariff enforcement and relief. 

  • Trade agreements like USMCA become increasingly important in mitigating costs. 

June – July 2025 

  • Canadian policy adjustments and global partnerships aim to stabilise trade. 

  • On July 10, a 35% tariff on all Canadian imports into the U.S. is announced, set to take effect August 1. 

  • Businesses are encouraged to act quickly to manage compliance and mitigate financial exposure. 

 

What This Means for Canadian Importers 


The impact of shifting trade policies is far-reaching: 

  • Higher costs from unplanned duties and surtaxes 

  • Regulatory confusion due to overlapping policies 

  • Risk of non-compliance under CBSA and CARM requirements 

  • Delays at the border from missing or incomplete documentation 

  • Operational disruption from last-minute changes to sourcing or pricing 


Rather than reacting to each new headline, businesses need a structured, proactive plan—and a knowledgeable partner to support it. 

 

The Strategic Role of a Customs Broker in Canada 


The Strategic Role of a Customs Broker in Canada 

For many importers, the term “customs broker” still conjures a limited definition—someone who files customs paperwork or processes shipments at the border. But in today’s environment, that definition falls far short of reality. 


A customs broker is a licensed professional or firm authorized by the Canada Border Services Agency (CBSA) to act on behalf of importers. Their role involves far more than clerical tasks. They are trade compliance experts, supply chain strategists, and risk managers rolled into one. Brokers interpret complex tariff schedules, navigate trade agreements, ensure regulatory compliance, and handle evolving programs like the CBSA Assessment and Revenue Management (CARM) initiative. Their value isn’t in the form they submit—it’s in the delays they prevent, the duties they save, and the peace of mind they deliver. 


Especially in times of uncertainty, a strong customs broker becomes an extension of your business. Here's how they make a strategic difference: 

 

✅ Up-to-Date Policy Guidance 

Trade policies don’t operate on a fixed schedule. They shift rapidly, often with limited notice. Whether it’s a new surtax, a rule adjustment under CARM, or clarification around a U.S. policy change, staying updated is a full-time job. 


Customs brokers monitor real-time updates from CBSA, CBP, and international trade agencies. They interpret and apply the guidance—so businesses don’t have to wade through regulatory jargon or guess at what’s required. 

Working with a customs broker gives you: 

  • Alerts on relevant trade announcements 

  • Clarifications around exemptions and tariff suspensions 

  • Deadlines for new program registrations 

  • Best practices based on the latest regulatory expectations 


This insight helps you act quickly and stay compliant, even as the rules evolve. 

 

✅ Accurate HS Classification 

Every product you import must be classified under the Harmonized System (HS) code—a global framework that determines tariff rates, trade statistics, and import eligibility. Misclassification is one of the most common—and costly—customs errors. 

A customs broker helps you: 

  • Identify the most accurate HS code for your product 

  • Avoid overpaying duties or triggering unnecessary inspections 

  • Qualify for preferential duty treatment under free trade agreements 

  • Maintain compliance during CBSA audits or reviews 


With tariffs rising in multiple sectors, accurate classification is essential to protecting your cost structure. 

 

✅ USMCA Compliance 

Trade agreements like the United States–Mexico–Canada Agreement (USMCA) have become more valuable than ever. They allow importers to eliminate or reduce duties—but only when compliance is properly documented. 

A customs broker ensures: 

  • Proper origin documentation is submitted 

  • Rules-of-origin requirements are met 

  • Your product’s journey is traceable and verifiable 

  • You don’t miss out on duty savings due to minor errors 


Brokers also help navigate more complex cases—such as partial qualification or blended content—and work with suppliers to ensure their certifications are complete and accurate. 

 

✅ CARM and RPP Readiness 

The CBSA’s rollout of the Assessment and Revenue Management (CARM) system marks one of the biggest changes in Canadian importing in decades. Under CARM, importers are responsible for: 

  • Registering on the CARM Client Portal 

  • Securing a Release Prior to Payment (RPP) financial bond 

  • Self-assessing duties and taxes 

  • Meeting ongoing compliance and reporting requirements 


Many businesses are still unprepared—or unsure how to proceed. 

A customs broker manages the entire process: 

  • Setting up your CARM registration correctly 

  • Managing the transition from interim solutions to full compliance 

  • Ensuring your RPP security is sufficient and current 

  • Providing monthly statements and import summaries for audit readiness 


Without this support, businesses face real risks of delays and penalties under CARM. 

 

✅ Scenario Planning and Cost Modelling 

Trade policy doesn’t just affect your goods at the border—it influences your pricing, margins, and long-term strategy. 


Customs brokers help businesses model different trade scenarios to answer key questions: 

  • What if a 35% tariff goes into effect next month? 

  • How will shifting from Supplier A (in the U.S.) to Supplier B (in Vietnam) impact duties? 

  • Will reclassifying this product save money—or trigger a compliance audit? 

  • Can we benefit from duty deferral or drawback programs? 


Using historical data, tariff schedules, and supplier profiles, brokers help you: 

  • Anticipate cost impacts 

  • Build flexibility into your pricing 

  • Maintain supply chain continuity 

  • Avoid reactive decisions that strain resources 


In a world of rolling trade disruptions, this kind of foresight is a competitive advantage. 

 

Why Acting Early Matters 

With new tariffs set to begin August 1, time is a critical factor. Importers without expert support risk: 

  • Paying unnecessary duties 

  • Missing exemptions under trade agreements 

  • Holding inventory they can’t move or sell 

  • Falling behind competitors who planned ahead 


Delays and compliance risks are costly. Partnering with the right broker means you're not left scrambling to catch up. 

 

Why Choose Hemisphere as Your Customs Broker 


Hemisphere's leading custom broker team

At Hemisphere, we’ve supported Canadian importers through changing trade environments for over 40 years. Our team brings deep expertise in tariff strategy, regulatory compliance, and real-time customs monitoring. 


What sets us apart: 

  • Dedicated client support available when you need answers fast 

  • CARM readiness and onboarding support to keep your clearances compliant 

  • Scenario-based planning tailored to your business and supply chain 

  • Proactive communication so you're never left in the dark about policy changes 


We don’t just react to trade policy—we help you plan for it. 

If you’re navigating new tariffs or looking for smarter customs solutions, we’re here to help. 


Contact Hemisphere today and discover the value of a broker who helps you move forward—confidently and compliantly. 

 


 
 
 
bottom of page