SlideShare a Scribd company logo
1 of 11
X
The New NAFTA (CUSMA)
The Impact on Your Business’ Supply Chain
Speakers
Vice President of Sales and
Marketing at eShipper
Export Help Advisor,
Export Development Canada
IMTIAZ KERMALI EMILIANO INTROCASO
eShipper.com edc.ca
Agenda
On July 1, 2020, the new
Canada-United States-Mexico
Agreement (CUSMA) entered into force.
✓ What is the New NAFTA?
✓ Who is impacted?
✓ How Canadian Businesses Can Stay
Competitive Through Their Supply Chain
Strategy
✓ Certification of Origins: No more NAFTA
Certificates!
✓ The New De Minimis Thresholds
How they can help your Export Business?
• A new Canada-United States-Mexico Agreement which
came into effect on 1st July, 2020
• Canada has raised its de minimis level, the threshold
within which low-value
• More US businesses are able to export to the Canadian
market more freely
• Allow small Canadian businesses access to international
supply chains
What is the New NAFTA?
Who is Impacted?
• Positives:
- Online Shopping for Consumers
• Impact on Canadian retailers
• Solutions for Canadian retailers:
- Expanding your business to the US
• Impact on US businesses selling to Canadians
• Impact on Canadian eCommerce sellers as
competition in he Canadian market increases
• Offer free shipping
• Offer low flat-rate shipping
• Lower shipping costs to make free and
flat rate shipping more accessible
• Minimize shipping times
• Use a fulfillment centre
• Create a stellar shipping & returns policy
How Canadian Businesses Can Stay Competitive
Through Their Supply Chain Strategy
How to Certify a Canadian
Product in CUSMA?
NAFTA CUSMA
NAFTA Certificate of Origin Certification of Origin
• Under the NAFTA, a Certificate of
Origin (single shipment or blanket)
used to be completed by the exporter
or producer
• Needed before a claim for
preferential tariff treatment
• Usually required by your customs
broker to process import declarations
• Nafta solicitations
• No specific Certificate of Origin form
• Importer, exporter or producer must provide a certification
(i.e., on the commercial invoice or document accompanying
the shipment)
• Data to include for the certification:
A. Certifier name (exporter, producer, or importer)
B. Certifier address
C. Exporter name and address
D. Producer name and address
E. Importer name and address
F. Product description
G. Origin criteria
H. Blanket period covered
I. Authorized signature and date
J. + signature statement
How does the certification look
like in an actual document?
CUSMA
Certification of Origin
• Certifier name (exporter,
producer, or importer)
• Certifier address
• Exporter name and address
• Producer name and address
• Importer name and address
• Product description
• Origin criteria
• Blanket period covered
• Authorized signature and date
• + signature statement
“I certify that the goods described in this document
qualify as originating and the information contained in
this document is true and accurate. I assume
responsibility for proving such representations and
agree to maintain and present upon request or to
make available during a verification visit,
documentation necessary to support this
certification."
Click here or on the document to learn
more!
How Can the New De Minimis Thresholds Help
Your Export Business?
Old New De Minimis - NAFTA New De Minimis - CUSMA
Thresholds for Low-Value Goods:
NAFTA thresholds which low-value goods enter
NAFTA countries duty-free:
• Canada: $20 for taxes - $40 for customs.
• Mexico: $50 for taxes - $100 for customs.
• United States: $800.
Thresholds for Low-Value Goods:
CUSMA thresholds for low-value goods enter
Canada, Mexico and the USA duty-free:
• Canada: $40 for taxes, $150 for customs.
• Mexico: $50 for taxes, $117 for customs.
• United States: Remains $800
• De Minimis applicable to Low-Value Goods
• Updated under CUSMA
• Benefitting small exporter or SMEs shipping consumer goods
• Warehouse in Canada, ship to USA, and take advantage of one of the largest markets!
Appendix
FITTSkills Lite
How to leverage
CUSMA to enter new
markets
eShipper’s Blog -
Intelligence
Trade Commissioner’s
CUSMA insights
EDC’s Export
Help Hub
Canada Border Service
Agency (CBSA) - Proof
of Origin
Own an eCommerce business?
Join our Facebook group Shopify - eCommerce store owners for
resources, discussions, and the latest eCommerce tips and best practices
X
Thank You

More Related Content

Similar to The New NAFTA (CUSMA) The Impact on Your Business’ Supply Chain

The State of International Mailing and Shipping
The State of International Mailing and ShippingThe State of International Mailing and Shipping
The State of International Mailing and Shipping
Krish Iyer
 

Similar to The New NAFTA (CUSMA) The Impact on Your Business’ Supply Chain (20)

Precision Customs Brokers
Precision Customs Brokers Precision Customs Brokers
Precision Customs Brokers
 
Lucas Landesman - eCommerce DAY GLOBAL Online [Live] Experience - Keynote Ses...
Lucas Landesman - eCommerce DAY GLOBAL Online [Live] Experience - Keynote Ses...Lucas Landesman - eCommerce DAY GLOBAL Online [Live] Experience - Keynote Ses...
Lucas Landesman - eCommerce DAY GLOBAL Online [Live] Experience - Keynote Ses...
 
What does a customs broker do
What does a customs broker doWhat does a customs broker do
What does a customs broker do
 
CV Presentation
CV PresentationCV Presentation
CV Presentation
 
The State of International Mailing and Shipping
The State of International Mailing and ShippingThe State of International Mailing and Shipping
The State of International Mailing and Shipping
 
Grocery Certificate Incentives
Grocery Certificate IncentivesGrocery Certificate Incentives
Grocery Certificate Incentives
 
Gas And Grocery Incentives
Gas And Grocery IncentivesGas And Grocery Incentives
Gas And Grocery Incentives
 
Gas And Grocery Rebates
Gas And Grocery RebatesGas And Grocery Rebates
Gas And Grocery Rebates
 
Gas And Grocery Incentive
Gas And Grocery IncentiveGas And Grocery Incentive
Gas And Grocery Incentive
 
Gas And Grocery Certificate
Gas And Grocery CertificateGas And Grocery Certificate
Gas And Grocery Certificate
 
Gas and Grocery Certificates
Gas and Grocery Certificates Gas and Grocery Certificates
Gas and Grocery Certificates
 
Gas and Grocery Incentives
Gas and Grocery IncentivesGas and Grocery Incentives
Gas and Grocery Incentives
 
Gas And Grocery Certificates
Gas And Grocery CertificatesGas And Grocery Certificates
Gas And Grocery Certificates
 
Gas And Grocery Certificates
Gas And Grocery CertificatesGas And Grocery Certificates
Gas And Grocery Certificates
 
Gas Certificate Incentives
Gas Certificate IncentivesGas Certificate Incentives
Gas Certificate Incentives
 
Gas And Grocery Certificates
Gas And Grocery CertificatesGas And Grocery Certificates
Gas And Grocery Certificates
 
Avalara ecommerce Expo South Florida Sales Tax
Avalara ecommerce Expo South Florida Sales TaxAvalara ecommerce Expo South Florida Sales Tax
Avalara ecommerce Expo South Florida Sales Tax
 
U.S. Commercial Service
U.S. Commercial ServiceU.S. Commercial Service
U.S. Commercial Service
 
Deciphering PARS and PAPS: Streamlining Food Imports into Canada
Deciphering PARS and PAPS: Streamlining Food Imports into CanadaDeciphering PARS and PAPS: Streamlining Food Imports into Canada
Deciphering PARS and PAPS: Streamlining Food Imports into Canada
 
How to Import into the USA
How to Import into the USAHow to Import into the USA
How to Import into the USA
 

Recently uploaded

Tech Framework Integrated Workspace Management System
Tech Framework Integrated Workspace Management SystemTech Framework Integrated Workspace Management System
Tech Framework Integrated Workspace Management System
Sushant Joshi
 
"NEON LIGHT CITY" AR PC game from M.A.D tronics Studios
"NEON LIGHT CITY" AR PC game from M.A.D tronics Studios"NEON LIGHT CITY" AR PC game from M.A.D tronics Studios
"NEON LIGHT CITY" AR PC game from M.A.D tronics Studios
tess51
 

Recently uploaded (6)

AI Data Engineering for SMEs - some tricks and tools
AI Data Engineering for SMEs - some tricks and toolsAI Data Engineering for SMEs - some tricks and tools
AI Data Engineering for SMEs - some tricks and tools
 
Tech Framework Integrated Workspace Management System
Tech Framework Integrated Workspace Management SystemTech Framework Integrated Workspace Management System
Tech Framework Integrated Workspace Management System
 
"NEON LIGHT CITY" AR PC game from M.A.D tronics Studios
"NEON LIGHT CITY" AR PC game from M.A.D tronics Studios"NEON LIGHT CITY" AR PC game from M.A.D tronics Studios
"NEON LIGHT CITY" AR PC game from M.A.D tronics Studios
 
Dropbox DBX Q1 2020 Investor Presentation.pdf
Dropbox DBX Q1 2020 Investor Presentation.pdfDropbox DBX Q1 2020 Investor Presentation.pdf
Dropbox DBX Q1 2020 Investor Presentation.pdf
 
Financial management icar entrepreneurship development
Financial management icar entrepreneurship developmentFinancial management icar entrepreneurship development
Financial management icar entrepreneurship development
 
Facebook_Meta_Q4-2018-Earnings-Presentation.pdf
Facebook_Meta_Q4-2018-Earnings-Presentation.pdfFacebook_Meta_Q4-2018-Earnings-Presentation.pdf
Facebook_Meta_Q4-2018-Earnings-Presentation.pdf
 

The New NAFTA (CUSMA) The Impact on Your Business’ Supply Chain

  • 1. X The New NAFTA (CUSMA) The Impact on Your Business’ Supply Chain
  • 2. Speakers Vice President of Sales and Marketing at eShipper Export Help Advisor, Export Development Canada IMTIAZ KERMALI EMILIANO INTROCASO eShipper.com edc.ca
  • 3. Agenda On July 1, 2020, the new Canada-United States-Mexico Agreement (CUSMA) entered into force. ✓ What is the New NAFTA? ✓ Who is impacted? ✓ How Canadian Businesses Can Stay Competitive Through Their Supply Chain Strategy ✓ Certification of Origins: No more NAFTA Certificates! ✓ The New De Minimis Thresholds How they can help your Export Business?
  • 4. • A new Canada-United States-Mexico Agreement which came into effect on 1st July, 2020 • Canada has raised its de minimis level, the threshold within which low-value • More US businesses are able to export to the Canadian market more freely • Allow small Canadian businesses access to international supply chains What is the New NAFTA?
  • 5. Who is Impacted? • Positives: - Online Shopping for Consumers • Impact on Canadian retailers • Solutions for Canadian retailers: - Expanding your business to the US • Impact on US businesses selling to Canadians • Impact on Canadian eCommerce sellers as competition in he Canadian market increases
  • 6. • Offer free shipping • Offer low flat-rate shipping • Lower shipping costs to make free and flat rate shipping more accessible • Minimize shipping times • Use a fulfillment centre • Create a stellar shipping & returns policy How Canadian Businesses Can Stay Competitive Through Their Supply Chain Strategy
  • 7. How to Certify a Canadian Product in CUSMA? NAFTA CUSMA NAFTA Certificate of Origin Certification of Origin • Under the NAFTA, a Certificate of Origin (single shipment or blanket) used to be completed by the exporter or producer • Needed before a claim for preferential tariff treatment • Usually required by your customs broker to process import declarations • Nafta solicitations • No specific Certificate of Origin form • Importer, exporter or producer must provide a certification (i.e., on the commercial invoice or document accompanying the shipment) • Data to include for the certification: A. Certifier name (exporter, producer, or importer) B. Certifier address C. Exporter name and address D. Producer name and address E. Importer name and address F. Product description G. Origin criteria H. Blanket period covered I. Authorized signature and date J. + signature statement
  • 8. How does the certification look like in an actual document? CUSMA Certification of Origin • Certifier name (exporter, producer, or importer) • Certifier address • Exporter name and address • Producer name and address • Importer name and address • Product description • Origin criteria • Blanket period covered • Authorized signature and date • + signature statement “I certify that the goods described in this document qualify as originating and the information contained in this document is true and accurate. I assume responsibility for proving such representations and agree to maintain and present upon request or to make available during a verification visit, documentation necessary to support this certification." Click here or on the document to learn more!
  • 9. How Can the New De Minimis Thresholds Help Your Export Business? Old New De Minimis - NAFTA New De Minimis - CUSMA Thresholds for Low-Value Goods: NAFTA thresholds which low-value goods enter NAFTA countries duty-free: • Canada: $20 for taxes - $40 for customs. • Mexico: $50 for taxes - $100 for customs. • United States: $800. Thresholds for Low-Value Goods: CUSMA thresholds for low-value goods enter Canada, Mexico and the USA duty-free: • Canada: $40 for taxes, $150 for customs. • Mexico: $50 for taxes, $117 for customs. • United States: Remains $800 • De Minimis applicable to Low-Value Goods • Updated under CUSMA • Benefitting small exporter or SMEs shipping consumer goods • Warehouse in Canada, ship to USA, and take advantage of one of the largest markets!
  • 10. Appendix FITTSkills Lite How to leverage CUSMA to enter new markets eShipper’s Blog - Intelligence Trade Commissioner’s CUSMA insights EDC’s Export Help Hub Canada Border Service Agency (CBSA) - Proof of Origin Own an eCommerce business? Join our Facebook group Shopify - eCommerce store owners for resources, discussions, and the latest eCommerce tips and best practices