TradeLane

Background

The United States-Mexico-Canada Agreement (USMCA), which replaced NAFTA in July 2020, is a trilateral free trade agreement between the United States, Mexico, and Canada. The Agreement includes a six-year review mechanism to determine whether it should be extended for another 16-year term. On July 1, 2026, the three governments met to conduct the review.

This week, we’ve received the same question from many clients: “I heard CUSMA wasn’t renewed. What does this mean for my business?”

The good news is that CUSMA has not expired, nor has it been terminated.

What importers need to know

The Canada Border Services Agency (CBSA) currently has three tools to assist in the imposition of import compliance. While they are a lighter version of a formal compliance verification audit, each one requires a certain level of CBSA action. 

What importers need to know

The Canada Border Services Agency (CBSA) has released updated proposals to amend the Valuation for Duty Regulations; these changes could significantly impact how Canadian importers determine customs value on imported goods. The consultation is open until January 23, 2026, and now is the time for businesses to understand what’s changing and why it matters.

In late winter and early spring of 2025, the United States imposed tariffs on Canadian-origin goods imported into the U.S. In response, the Canadian government introduced reciprocal surtaxes on goods of U.S. origin entering Canada. These measures have created challenges for many Canadian businesses, prompting the government to offer two distinct avenues for relief.