China is surely the leading country when it comes to manufacturing and supplying top-notch commodities of all types. However, if you’re willing to import from China to Canada, having a handful of knowledge can ease the process. So here’s the guide to help you understand and learn all about importing goods into Canada for resale.
List of Documents for Canadian Importers
You should have the following documents to import goods from China to Canada successfully:
Import Duties in Canada
Import duty in Canada is a specific amount you must pay to the Canadian government to get easy and legal customs clearance. This clearance helps you receive your goods from China.
Each product has its own duty mentioned in percentages or cents in the tariff list, and there’s no way you can escape import duties
Import Taxes in Canada
You also need to pay taxes on importing the products from China to Canada. Now, this is something important to understand. Each Canadian state has set its own GST. So if you’re importing goods in Alberta, the tax amount will be different compared to the GST when importing the same product to British Columbia.
Here’s the chart of General Sales Tax (GST) for each state that is applied to the total value of your import:
|Prince Edward Island||15%|
|Newfoundland and Labrador||15%|
Import Regulations and Restrictions in Canada
On the one hand, the Canadian government appears fair with the taxes. On the other hand, the authorities have strict policies on importing products into Canada.
So, here are a few names of restricted and prohibited goods to import in Canada. Contrarily, you can also check out the complete list on the website of CBSA.
Special Permits on Restricted Items to Import in Canada
It would help if you had a special permit for importing the following products from China to Canada:
List of Products with their Customs Duties
Here’s the list of 20 products along with their customs duties and tariff numbers.
Here’s the list of 20 products along with their customs duties.
|Products||Customs Duty||Tariff Number|
|Video game consoles||Free||95.04|
|Candles – Birthday/Christmas||5.5%||3406.00.10|
|Wheeled toys for children||8%||9503.00.10|
|Leather wallets and pouches||8%||4202.32.10|
|Jackets and Overcoats||10%||4303.10.90|
|Leather garments with furs||14%||4303.10.20|
|Ties/Cravats/Bow Ties (cotton)||18%||6215.90.00|
|Video game consoles||Free|
|Jackets and Overcoats||10%|
How to Calculate Customs Duty When Importing from China
You can calculate Canadian customs duty by yourself. All you need is the customs duty on the product you’re importing and the GST applicable in your province. Let’s understand the calculations with an example.
Suppose you are importing birthday candles worth 1,000 CAD from China to Alberta, Canada. Here’s how you calculate the duty using this simple formula:
In our case, we can get the following values:
- Value of Goods = 1,000 CAD
- Duty on the Product = 1,000 x 5.5% = 55 CAD
- GST = (Value of Goods + Duty on the Product) x 5% = 1,055 × 5% = 52.75 CAD