Canada Export Compliance

Canada is the largest US trading partner, but USMCA compliance is not automatic and retaliatory tariffs introduced in 2025 have complicated previously straightforward cross-border trade. Goods must meet USMCA rules of origin to qualify for preferential rates — failure to document origin correctly triggers standard MFN tariff rates and potential penalties. Canada maintains its own sanctions lists under the Special Economic Measures Act and the Freezing Assets of Corrupt Foreign Officials Act. US exporters are not required to screen against Canadian lists, but Canadian importers and distributors acting as end users are subject to Canadian law. Partner screening against OFAC and the Consolidated Screening List remains required for all US export transactions regardless of destination.