How CUSMA Can Reduce Your Import Duties

The Canada-United States-Mexico Agreement (CUSMA), also known as USMCA, replaced NAFTA in 2020. It continues to provide duty-free or reduced-duty access for qualifying goods traded between the three countries.

Key Benefits

  • **Zero duties** on most qualifying goods from the US and Mexico
  • **Streamlined rules of origin** for easier compliance
  • **Digital trade provisions** eliminating duties on digital products
  • Rules of Origin

    To qualify for CUSMA preferential rates, goods must meet specific rules of origin:

    1. **Wholly obtained**: Goods grown, harvested, or extracted in a CUSMA country

    2. **Substantial transformation**: Goods that undergo significant processing

    3. **Regional value content**: Meeting minimum value thresholds

    How to Use CUSMA with TCS Calculator

    1. Enter your HS code in the calculator

    2. Select US or Mexico as the country of origin

    3. The calculator automatically shows the CUSMA preferential rate

    4. Compare with MFN rate to see your savings