RETALIATORY TARIFFS ON US-MADE BOATS HAVE BEEN REMOVED

May 02, 2019

RETALIATORY TARIFFS ON US-MADE BOATS HAVE BEEN REMOVED

NMMA Canada and the Canadian Marine Trades Associations have been advised by the Government of Canada that effective April 30, 2019, all retaliatory tariffs on U.S. recreational boats entering Canada have been removed, marking the most positive development for our industry since this concerning issue first emerged.

The Canadian Marine Trade Associations have been advised that earlier this week, the Canadian government approved the “Order Amending the United States Surtax Order (Other Goods),” which ended the 10 percent retaliatory tariff on U.S. boats heading to Canada that was implemented in response to the U.S government’s Section 232 tariffs on steel and aluminum.

Specifically, this action removes the following boat-related HTC codes from the list of goods subjected to the surtaxes:

• 8903.10.00
• 8903.91.00
• 8903.92.00
• 8903.99.90

As such, we have been informed that all boats imported on or after April 30, 2019, are no longer subject to retaliatory tariffs (on a forward basis). At this time the government will not issue rebates or refunds for surtaxes paid on boats prior to this action.

We have been advised by Canadian government representatives that this Order will be officially published on May 15, 2019 in Part II Canada Gazette. The next few weeks may still have some challenges in sorting through the details; we urge you to continue collaborating and communicating to support the entire industry.

We are thrilled the Canadian government heard our concerns and addressed them head on. Together, the boating industry worked tirelessly to raise awareness of the unintended consequences that the tariffs and countermeasures were causing boating businesses. As you are aware, eliminating retaliatory tariffs on U.S. boats has been a top priority for the industry, and this new announcement is a major win for all of us.

Thank you for all your help in achieving this victory.

Sara Anghel

President, NMMA Canada

Thom Dammrich

President, NMMA