After years of planning, negotiating, and ratifying, the United States-Mexico-Canada Agreement (USMCA) finally comes into force tomorrow.
There are some changes that importers and exporters should definitely keep in mind, and our friends at Livingston International put together a helpful sheet of highlights, including:
- Certificate of origin – a formal certificate is no longer required,
- Intellectual property – copyright terms have been extended from 50 to 70 years after an author’s death,
- Low-value goods threshold – de minimus threshold is now CAD $150 for customs duties and CAD $40 for taxes, and
- Sunset clause – while the terms remain for 16 years, the agreement can be reviewed at six years to assess the need for revisions or extensions.
The Canada Border Services Agency has a comprehensive list of changes for importers here. We recommend reviewing, so you’re prepared for the changes this week.
It’s a busy week. In addition to the USMCA, Canadians are celebrating Canada Day tomorrow, and Americans will celebrate Independence Day on July 4.
It’s difficult to pick the right holiday greeting during a pandemic. Most celebrations will be virtual, and many people cannot be near their friends and families due to lock-downs implemented to contain the spread of COVID-19. So this year, we’re wishing everyone on both sides of the 49th parallel a safe and healthy Canada Day and 4th of July – with an eye turned toward the better days that are sure to lie ahead.
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