Canada Shipments out of Canada

Larry

Veteran Expediter
Charter Member
I would like to go a bit farther with the question about freight in and out of Canada. As a company owner what do I need to do to bring freight (which I purchased) out of Canada? I recently stopped at the booth coming into Detroit to find out if I would need a broker or not. The customs officer in the booth said that if the merchandise was less than $2,000 in value, that I would not require a broker and would just pay the tariff when I declared the product (this would be using my van and trailer). He said that if the merchandise was more than $2,000 in value, I would require a broker. Do you know if that is correct? Second part of the question is, I will be using my FL70 to bring in material from more than one Canadian manufacturer. I will purchase this material, carry it in my truck, which I will be driving, and I will be selling the material to US customers. The value of the merchandise will be greater than $10,000+. The Canadian suppliers say that they have brokers that they work with. Do I need to use different brokers to bring in these items, or should they be consolidated? Who fills out the paperwork? When would I be required to pay the tariffs, taxes etc.? Is there someplace I can call or a specific place I can go to get answers?

Thanks
 

davekc

Senior Moderator
Staff member
Fleet Owner
Yes you will need a broker. If you are buying from different people you can still run all your stuff through the same broker. In addition, I would call Canadian Customs to make sure you know exactly what you are doing. Certain items are treated differently in regards to tariffs ect. They should be able to explain this to you.
Also, make sure whatever you are coming out of Canada with, you have a declared value.
 

RobA

Veteran Expediter
Charter Member
I guess I should reply, but my expertise is going INTO Canada.
There are regulations to do with exports from Canada, but I imagine your main concern is entery into the USA.
Consult a broker, it doesn't hurt to check with the experts.
Your Canadian suppliers will have US brokers as selling from Canada to the USA usually includes being on a duty paid basis (the Canadian exporter taking responsibilty).
If you take the responsibilty for US Customs, maybe you can get a small break on the price.



http://www.cbsa-asfc.gc.ca/E/pub/cp/rc4116/README.html


Drive Safe(ly)
 

Larry

Veteran Expediter
Charter Member
Thank you for the information. When returning to the US with Canadian goods, how do I pay the charges? Do I pay the broker later (will he bill me), or do I pay up front? Does the broker collect the monies due the US Customs?

Thanks & Drive Safe
 

RobA

Veteran Expediter
Charter Member
>Thank you for the information. When returning to the US with
>Canadian goods, how do I pay the charges? Do I pay the
>broker later (will he bill me), or do I pay up front? Does
>the broker collect the monies due the US Customs?
>
>Thanks & Drive Safe



Hi Larry:
I imagine you would have to pay the broker before your transaction.
Billing accounts require credit searches etc. It will depend on the frequency you plan to do it, and how much your outlay will be.
Here in Canada, the Broker posts a bond with Customs, at least 1,000,000.00, and we get to clear shipments without paying the duties and taxes immediately.
I'm not sure exactly how it works going south into the USA, but I'm sure it's similar.
I hope this answers your questions.



Drive Safe(ly)
 
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