Canada Has Updated Its Rules for Importing Goods from Ukraine: What Will Change for Businesses
18 June 12:54
Canada has extended the duty-free regime for most goods of Ukrainian origin for another year—until June 9, 2027. This was reported by "Komersant Ukrainian", citing Canada’s official government gazette, the Canada Gazette.
This exemption from import duties is provided under the Ukraine Goods Remission Order.
The decision is intended to support the Ukrainian economy, help exporters remain competitive in the Canadian market, and stimulate trade between Ukraine and Canada amid the war.
What exactly has Canada extended?
The Canadian Ministry of Finance has extended the order exempting Ukrainian goods from import duties for another year.
Previously, the exemption was set to expire on June 9, 2026. It has now been extended for another year.
The preferential treatment will be in effect from June 10, 2026, to June 9, 2027.
This means that most goods of Ukrainian origin can continue to be imported into Canada without paying import duties.
Separately, the document stipulates that the order itself will be repealed on June 9, 2029.
Why Did Canada Extend the Duty-Free Regime?
The main goal of this decision is to support Ukraine’s economic stability.
The explanatory note accompanying the document states that the Russian Federation, with the support of Belarus, continues to violate Ukraine’s sovereignty and territorial integrity.
The full-scale invasion has caused significant damage to Ukraine’s economy, infrastructure, and population.
That is why Canada has decided to extend trade support to Ukraine. The duty-free regime is intended to help Ukrainian producers maintain their export activity and support the country’s economic resilience.
How Much Have Ukrainian Businesses Saved?
Canada first introduced duty-free treatment for Ukrainian goods on June 9, 2022. Since then, it has been extended annually.
The preferential treatment applied to various categories of Ukrainian imports, including certain household appliances, cookies, vegetable oils, and frozen chicken products.
Since the initiative began, Ukrainian exporters have already saved approximately 9.5 million Canadian dollars, or about 7 million U.S. dollars.
According to Canadian government estimates, the latest extension of the preferential treatment through the summer of 2027 will allow Ukrainian businesses to save an additional 1.2 million Canadian dollars.
Which goods are eligible for the exemption
The import duty exemption applies to the vast majority of categories of Ukrainian imports to Canada.
This may be important for manufacturers of food products, industrial goods, light industrial goods, furniture, processed goods, and other Ukrainian exporters who are already operating in or planning to enter the Canadian market.
Duty-free access helps lower the final cost of goods and improves conditions for selling Ukrainian products abroad.
Which goods are not exempt from duties
At the same time, the preferential treatment does not apply to all goods without exception.
Certain categories are traditionally excluded from the exemption, as their sale in Canada is strictly regulated by the government through a quota system.
These include, in particular:
- eggs;
- chicken;
- dairy products.
These products remain subject to specific market access rules linked to Canada’s import control and quota system.
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Why This Is Important for Ukrainian Exporters
For Ukrainian businesses, the continuation of the duty-free regime means lower costs for entering the Canadian market.
During wartime, when logistics are complicated and producers face additional costs, every reduction in tariff burdens matters.
Duty-free access helps Ukrainian companies:
- maintain competitive prices;
- expand their export reach;
- find new partners in Canada;
- increase foreign currency revenue;
- maintain production in Ukraine.
How does this arrangement differ from a free trade agreement?
A Free Trade Agreement is in effect between Ukraine and Canada. It first entered into force on August 1, 2017, and an updated version took effect on July 1, 2024.
However, the Ukraine Goods Remission Order provides importers with a simpler mechanism for duty relief.
The document states that some importers may choose this regime specifically because of the reduced administrative burden compared to the rules of origin and transportation requirements under the free trade agreement.
How importers can take advantage of the benefit
Canadian importers can claim duty-free treatment when filing their customs declaration.
To do so, they must enter code 22-649 in the designated field of the Customs Automated Declaration. This allows them to omit calculating and entering the duty amount in the corresponding field of the declaration.
This approach simplifies operations for businesses, particularly small companies that import Ukrainian goods.
Import Monitoring
Canada will continue to monitor imports of goods from Ukraine under the updated regime.
The Canada Border Services Agency will monitor compliance with the conditions for duty exemption as part of its routine administration of customs and tariff legislation.
A separate customs notice with guidance on applying for duty exemptions or refunds will also be published for importers.
Ukraine and Canada Strengthen Their Trade Partnership
Canada remains one of Ukraine’s key political and economic partners. The duty-free regime for Ukrainian goods is part of the broader support Ottawa has provided to Kyiv since the start of the full-scale war.
This decision also complements cooperation between the countries in the areas of trade, food security, digitalization, laboratory testing, and the export of Ukrainian products.
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