Canada to US: USMCA, duties and DDP pricing for makers
Facts checked 2026-11-03 · HTS Revision 22 (2026)
Two paths for a Canadian product
- USMCA-originating (made in Canada under the agreement’s rules of origin, and claimed): pays the HTS Special “S” rate, often Free, and is exempt from the Section 301 duty (heading 9903.05.93). Rules of origin are product-specific: see CBP’s USMCA page.
- Not claimed or not qualifying: pays the General rate + 10% under 9903.05.29 (HTS). The Government of Canada confirms the 10% Section 301 tariff on most goods from July 24, 2026, with CUSMA-qualifying goods exempt (source).
In DDPCalc, choose origin Canada and tick “Goods qualify for USMCA”. If the HTS line you picked has no “S” in its Special column, we warn you and keep the General rate.
Canadian Etsy fees
For a Canadian bank account, Etsy Payments charges 3% + CA$0.25 on domestic orders and orders from the US, plus a 0.50% regulatory operating fee, on top of the 6.5% transaction fee (Etsy, Etsy).
Carrier and entry notes
From January 20, 2027 CBP requires formal entry for postal shipments that claim free-trade-agreement treatment or owe Chapter 99 duty, unless the Entry Type 13 test is used (Federal Register). Couriers handle entries for you but add disbursement fees. Canada Post’s US duty-paid fee was not something we could verify from a published page, so enter it from your label provider.
Try it with your numbers. The link below opens the calculator prefilled for this case. Change anything.
Price a USMCA example →FAQ
Are Canadian handmade goods duty-free in the US?
Goods that qualify as originating under USMCA and are properly claimed can enter at the special “S” rate, usually Free, and are excluded from the 10% Section 301 duty. Non-qualifying Canadian goods pay the General rate plus 10%.
Does claiming USMCA change postal entry?
From January 20, 2027, postal shipments claiming free-trade-agreement treatment require formal entry (or the Entry Type 13 test). Ask your carrier.
Sources
- Trade Commissioner Service (Government of Canada): US tariffs
- HTS 9903.05.29 / 9903.05.93
- CBP: USMCA
- Federal Register 2026-21600
- Etsy Help: payment processing fees
Estimate and general information only, not legal, tax or customs advice.