Canada slaps a 10% provisional surtax on canned vegetables in metal cans
Effective June 19, 2026, Canada imposes a 10% surtax on certain canned vegetables (corn, peas, beans, mixed vegetables, chickpeas, etc.) as a provisional safeguard while the CITT investigates injury to domestic producers. The measure runs up to 200 days, exempts goods from the US, Mexico, Chile, Israel, developing countries, and goods already in transit, and importers must self-declare using safeguard code 26135A in field 87 of the CAD.
What happened
CBSA Customs Notice 26-14 implements the Certain Canned Vegetable Goods Surtax Order, effective June 19, 2026, imposing a provisional 10% surtax on the value for duty of listed canned vegetable goods (paras 1, 4). This is a safeguard measure meant to protect domestic producers while the Canadian International Trade Tribunal (CITT) investigates whether import surges are causing serious injury (para 2). The surtax runs for up to 200 days from June 19, 2026, and will narrow to only the goods the CITT finds are causing injury once its report is issued; if the CITT finds no injury, the surtax ends on the date of that finding (paras 5-7).
Who is affected
The surtax hits goods classified under the tariff numbers in Schedule 1 (Appendix A), covering canned corn, peas, green beans, wax beans, pea-and-carrot mixes, mixed vegetables, white/black/red/pinto beans, and chickpeas (para 8). It applies regardless of packaging format (retail, foodservice, industrial, bulk), preparation method (cleaned, cooked, sliced, diced), added ingredients (salt, sugar, preservatives), or whether the vegetables are organic (para 9). Critically, the surtax applies only to goods in metal cans — vegetables packaged in glass jars are not subject to the Order at all (para 10). It applies to Chapter 99 goods too, even those that would otherwise qualify for duty-free or reduced-duty treatment (para 12).
Exemptions and exceptions
Goods originating in the United States, Mexico, Chile, Israel or another CIFTA beneficiary are exempt, as are goods from developing countries listed in Schedule 2/Appendix B (paras 22-23). Casual goods, Chapter 98 goods, fresh/dried/frozen vegetables, ready-to-eat meals where vegetables aren't the primary component, and goods substantially altered into purées, powders, juices, spreads, dips or pastes are all excluded (paras 24-28). Country of origin for surtax purposes follows the standard CUSMA and non-CUSMA marking regulations (para 13).
The in-transit refund angle
Goods that were already in transit to Canada — under carrier control, bound for Canada but not yet arrived — on June 19, 2026 are not subject to the surtax, even if they arrive later (para 21). Importers must hold proof such as a bill of lading, report of entry, or cargo control documents to demonstrate this status if a CBSA officer requests it. Importers who paid the surtax on goods that were actually in transit, or who otherwise qualified for an exemption, can pursue a correction or refund through Memorandum D6-2-3 and D17-2-1 adjustment procedures (paras 35-36).
What importers should do now
Review shipments against the Appendix A tariff numbers and confirm whether goods are canned (metal cans) versus glass-jarred, and check origin against the exempt-country lists. When completing the Commercial Accounting Declaration, declare safeguard code 26135A and enter the amount owing in field 87 'Safeguard' — not field 85 'Surtax' (paras 29-30). Exempt goods must still be affirmatively declared as non-subject to the safeguard at accounting time (para 32), and the Duties Relief and Duty Drawback Programs remain available, with fuller relief possible for CUSMA-origin goods since the 'lesser of two duties' limitation doesn't apply to them (para 14).