COMPANY NEWS

Tariffs paused for 30 days

February 3, 2025 – After a series of calls on Monday afternoon, the proposed tariffs of both the US and Canadian governments have been put on hold for the next 30 days. The proposed tariffs were slated to come into effect tonight. We will continue to monitor the situation and provide updates when they are available.

Canada to launch trade tariffs in response to US tariffs

February 2, 2025 – Effective February 4, the Government of Canada is imposing 25 percent tariffs on $30 billion in goods imported from the United States. These tariffs apply only to goods originating from the U.S., which shall be considered as those goods eligible to be marked as a good of the U.S. in accordance with the Determination of Country of Origin for the Purposes of Marking Goods (CUSMA Countries) Regulations. These countermeasures are effective immediately and will remain in place until the U.S. eliminates its tariffs against Canada. Canada’s countermeasures do not apply to U.S. goods that are in transit to Canada on the day on which they come into force. Additional details on the administration of these tariffs are available on the Canada Border Services Agency website: https://www.canada.ca/en/department-finance/news/2025/02/list-of-products-from-the-united-states-subject-to-25-per-cent-tariffs-effective-february-4-2025.html

CBSA preparing to implement retaliatory tariff measures

January 31, 2025 – The Canada Border Services Agency is fully prepared to implement any surtax orders that the Government of Canada may introduce in response to tariffs imposed by the United States. The Government of Canada is actively engaged in efforts to mitigate the impact of U.S. tariffs and is working closely with the U.S. government to avoid such measures. We have been advised by Finance Canada that remissions may be considered following the imposition of a surtax. It is CBSA’s understanding that the Government of Canada may implement a surtax immediately after the imposition of U.S. tariffs on a range of goods without prior consultation, with the possibility of later consulting Canadians on a broader range of goods. In either scenario, CBSA stands ready to promptly execute the surtax order. The surtaxes previously imposed against unfair practices of China (e.g., Customs Notice 24-36: China Surtax Order (2024) – Steel and Aluminum) have served as an excellent preparatory exercise for any potential retaliatory surtaxes. Stakeholders can anticipate receiving a customs notice from CBSA and guidance on how to self-assess the surtax in the Canadian Assessment and Revenue Management (CARM) system.

CN and CPKC both reach agreements with their unions

January 28, 2025 – Both CN and CPKC have announced new tentative four-year collective agreements, CN with the International Brotherhood of Electric Workers (IBEW), CPKC with Unifor. CN’s tentative pact ended the possibility that IBEW members would go on strike. The union had filed a 72-hour strike notice under which a work stoppage could have begun yesterday. No details of either tentative agreement have been released, pending ratification.

CBSA will not assess late accounting penalties until April 2025

January 24, 2025 – 1. In order to further support the transition to the CBSA Assessment and Revenue Management (CARM) system, effective January 20, 2025, and up to the March billing period due date of March 31, 2025, the Canada Border Services Agency will not be issuing late payment penalties and late payment interest.

2. Effective April 1, 2025, all accounts with an overdue balance from the March 2025 statement of account (SOA) will be subject to late payment penalties.

3. Effective April 4, 2025, late payment interest will start accruing on accounts with an overdue balance and will be included on the SOA to be issued on April 25, 2025.

4. An account for which an SOA has not been paid, as per the specified due date, will be subject to collection measures by the Canada Revenue Agency.

CPKC Union may go on strike later this month

January 15, 2025 – Workers represented by Unifor at Canadian Pacific Kansas City Railway have voted in favour of strike action if their union cannot reach a new deal with the company. The union says members voted 99 percent in support of the strike mandate.

Unifor Local 101R represents more than 1,200 members who work in mechanical shops, inspecting and maintaining locomotives and freight cars.

Negotiations between the union and the railway are set to resume in Calgary on January 24. The vote authorizes the union to initiate strike action if a deal is not reached by 12:01 am ET on January 29.

CIFFA advocates for extension of waiver for late accounting penalties

January 13, 2025 – On January 13, CIFFA wrote to the CBSA to formally request an extension of the 90-day grace period for late accounting penalties, as our members continue to face several unresolved issues arising from the transition to CARM. As you are aware, that transition has introduced various complexities that have made it difficult for the trade community to fully comply with the required timelines and procedures for submitting accurate accounting information. Despite best efforts to adapt, CIFFA members and others in the industry have encountered numerous challenges, which are outlined in the letter. As a result of these ongoing issues, our members have been unable to meet the required deadlines for accounting and customs-related submissions, despite their commitment to full compliance. We have made consistent efforts to resolve these challenges, but the transition process has proven to be more complicated and time-consuming than initially anticipated.

ILA potential strike on January 15, 2025

January 8, 2025 – A secret meeting between representatives of the International Longshoremen’s Association and the USMX port ownership group was held on Sunday to make headway on the issue of port automation that needs to be resolved by January 15 to avoid a new U.S. East and Gulf Coast ports strike. A document produced from the meeting indicates that ports are willing to pair any new technology with new union jobs, but that could introduce new risks to a deal, with added labour costs threatening terms agreed to in October for a 62% pay hike for union workers. Formal talks were set to resume on Tuesday, and it remains unclear if the full port ownership group will support the new language on automation.

Canada to impose more tariffs on Chinese imports

December 18, 2024 – Canada plans to impose tariffs on a slew of Chinese products from as early as next year, the government’s fiscal update showed, as part of its wider investigation into imports from the country. Prime Minister Justin Trudeau’s government has already slapped a 100% tariff on all Chinese electric vehicles and a 25% tariff on imports of Chinese steel and aluminum products, with the finance ministry previously saying it was also exploring options to widen the duties. The fiscal update presented on Monday showed that Ottawa has decided to apply tariffs to imports of certain solar products and critical minerals from China early in the new year, with levies on semiconductors, permanent magnets and natural graphite following in 2026.

Potential East Coast labour action in 2025

December 5, 2024 – After promising not to negotiate their new master contract in the media, the International Longshoremen’s Association and the United States Maritime Alliance issued statements arguing their positions on semi-automation technology for U.S. ports along the East and Gulf Coast. The ILA said the talks are at “a crossroads with ocean carriers and employers,” reporting an impasse over the use of semi-automated rail-mounted gantry cranes (RMGs). After four scheduled days of negotiations, the ILA contends that USMX introduced new semi-automation mid-way through the talks, “causing the talks to break down.”

“USMX-ILA negotiations ended when management introduced their intent to implement semi-automation – a direct contradiction to their opening statement where they assured the ILA that neither full nor semi-automation would be on the table,” said ILA President Harold Daggett. He said the stalemate over automation and semi-automation threatens to cause another strike in less than six weeks. USMX responded saying it is not seeking to eliminate jobs but that U.S. East and Gulf Coast ports need to be made more efficient. They point out that most of the ports lack land to expand, saying that to meet demand and handle more volume the only way is “to densify terminals – enable the movement of more cargo through their existing footprint.”