Many Canadian companies depend on Mexican suppliers. Jet Worldwide helps connect Canadian and Mexican companies. This post reviews the best options for shipping to Canada from Mexico.
Mexico and Canada have strong economic ties, largely due to their shared membership in the North American Free Trade Agreement (CUSMA/T-Mec) and CPTPP. Reduced tariffs and other trade barriers between the two countries make it easier for businesses in both countries to trade goods.
Mexico is a manufacturing powerhouse. Trade between the two countries is over $40 billion per year.
Goods to Canada can often clear duty-free. Low value goods and Mexican origin goods can clear duty free. Mexican goods benefit from both CPTPP and the CUSMA/ T-MEC (New NAFTA ) trade agreements.
The Canada Post strike leaves businesses and individuals across Mexico seeking shipping solutions to Canada. Protect your business and build a lasting alternative solution. Get a quote now!
This post discusses the key aspects of shipping from Mexico to Canada.
Disclaimer: The information in Jet Worldwide online content, including this post, is for general information only.
The cost to send to Canada from Mexico depends on the weight and dimensions of your package. The cost also depends on the service option (air versus ground), shipping address, carrier discount and fuel surcharge.
The cheapest option for an individual sending a small package or personal item is usually via the local post office. Ground shipping for larger shipments are significantly less than air. FedEX and UPS offer economy air options.
I hope these suggestions help! Is there anything else we can help with? Fill in the form below to contact Jet Worldwide for a shipping quote from Mexico to Canada.
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All shipments from Mexico to Canada are subject to import duty and taxes. Most shipments valued under $150 CAD can import duty free (but subject to sales tax if over $40 CAD).Mexican origin goods under CUSMA or CPTPP rules can benefit from duty free import to Canada. Read more: Understanding Canadian import fees.
Goos from Mexico benefit from higher duty free thresholds. The de minimis refers to the minimum threshold at which customs duties or taxes apply. The CUSMCA T-Mec increased the amounts from CAD$20.
Shippers and importers can choose to use CPTPP or CUSMA import benefits. Some professionals view the rules of origin under the CPTPP to be more favourable. Only one free trade agreement can apply at the time of import.
CUSMA and T-Mec are the same North American free trade agreement. The USMCA (USA), CUSMA (Canada) and T-Mec (Mexico) refer the same agreement.
Useful information: Shipping from Mexico versus Mexican Origin Goods
As part of the CUSMA (T-MEC), Canada has raised their low-value duty threshold (de minimis threshold) to CAD 150 CAD (around USD 110). Local sales taxes will still apply (but often times, businesses can claim this charge back). This higher duty-free threshold helps businesses and e-commerce merchants in the Mexico and Canada.
The Most Favoured Nation (MFN) tariff rates of Canada are generally applicable for imports from Mexico. Goods that meet CUSMA (or CPTPP)* rules of origin can qualify for duty free import. The MFN tariff rates of Canada apply to non-originating goods.
*Goods from Mexico can benefit from CPTPP -OR- CUSMA - but not both.
We get many questions regarding import fee's for shipments from Mexico to Canada. The factors affecting the total import fees include:
Jet Worldwide works with companies to help understand, estimate and manage their import fees.
Canadian customs brokers are a key element for accurate processing of your inbound shipments. Most companies in Canada have customs brokers to entries on their behalf. Read more about Canadian customs brokers.
There are several shipping options available for sending goods to Canada from. The best option for you will depend on your specific needs and preferences. Cost factors include the type and size of the goods you are shipping and the speed of delivery. Here are some common shipping options that you might consider:
Shipping to Canada via Correos de México/Parcel Post : Low-cost for shipping for small parcels from Mexico to Canada but limited tracking and support. Shipments sent via Correos Mexican Post to Canada imported via Canada Post.
Different duty assessment for goods shipped via Mexican Post versus Courier (see above regarding new USMCA/CUSMA duty free thresholds).
Shipping from Mexico via UPS and FedEx can be expensive for small businesses who ship parcels Mexico to Canada.
Jet Worldwide: A trusted brand offering international shipping for over 40 years! Jet Worldwide offers best low cost shipping options between Mexico and Canada for parcels, pallets, and online orders.
Read more about LTL shipping.
Jet Worldwide provides Canadian and North American logistics. Benefit from having a Canadian partner with global expertise. Our logistics supports your team with transparency and expertise.
Managing Canadian returns for Mexican online ordersSimplified processing for your customer:
Contact Jet's Canadian logistics team to manage returns for your Canadian orders.
All goods shipping to Canada from Mexico are subject to Canadian duty and taxes. Most parcels under CAD $40 can be import free of duty and taxes. Consignments under CAD $3,300 from Mexico can import via Canadian customs low-value shipment / LVS express clearance processes. Carriers charge a disbursement fee that averages around CAD $15. Read more about CUSMA T-MEC
Laredo is the largest inland port on theMexican border with all major transportation companies having facilities in Laredo. The city is on the southern end of highway I-35. It is near manufacturers in northern Mexico. Cross border trade has strained the resources causing delays. Contact Jet’s logistics team for Mexico, USA, Canada cross border solutions.
An average Mexico-U.S. border crossing usually can result in delays. For LTL and truck for shipping to Canada from Mexico are in bond. The actual clearance takes place at the US Canada border.
The default option for shipping internationally from Canada is Delivery Duty Unpaid (DDU). The default shipping term for many carriers is Ex Works (EXW). This essentially assigns all import related costs to the receiver. Shippers can choose to pay the import fees on behalf of the receiver. Delivery Duty Paid is an option from some carriers. Useful information regarding international shipping terms.
Note: Payment of import taxes cannot are not recoverable. The importing business may be able to claim back the value added tax paid at import.
There are many ground options that work best for heavier shipments. The ground options from Mexico include FedEx, UPS, and LTL carriers. Shippers of individual parcels often prefer using express delivery from Mexico. Ground service to Canada is a long transit time. Also, it does not include Canadian customs entry.
Jet Worldwide can arrange for combine express and LTL shipping to Canada from Mexico. Send a sampling of goods for arrival prior to the arrival of the bulk order.
Common shipping Routes from Mexico:
See section below : Information required for a shipping quote from Mexico to Canada
CUSMA/ T-Mec accommodates major commodity trading - such as auto parts, energy, and agriculture. It is also a great benefit for smaller specialty parts and other equipment.
The key parcel provisions of CUSMA T-MEC (i.e. new NAFTA) include:
For Mexican origin goods shipped to Canada with a value less than CAD $3,300, a simple certification of origin is acceptable. It can be part of the commercial invoice or another shipping document.
In addition to NAFTA /USMCA/CUSMA many shippers from Mexico are taking advantage of the duty-free CPTPP opportunities to Canada.
Goods approved with proper proof-of-origin supporting paperwork can export from Mexico for duty-free import to Canada. Shippers from Mexico to Canada can request preferential duty treatment under either the CPTPP or the CUSMA T-MEC.
Some experts express a preference for CPTPP-origin rules. Review both agreements prior to shipping. Choose which trade agreement to apply prior to import.
Exporters and importers can choose between the CUSMA / T-MEC or CPTPP free trade agreements. Both the CPTPP and the USMCA include rules of origin to determine which goods qualify for preferential treatment. They generally specify the percentage of a product's content that must originate from the participating countries in order to qualify for preferential treatment.
It's important to note that the rules of origin under both the CPTPP and the USMCA are complex and may change over time. It is important to verify compliance with industry experts and relevant government agencies prior to shipping.
Read more: Understanding a certificate of origin and the benefits
The key part of all trade agreements is ensuring the goods qualify under the rules of origin. Goods shipping to Canada from Mexico do not automatically qualify for duty free import. Country of origin not based solely from where the goods ship.
The country of origin rules under the CPTPP can be complex. The guidelines for country of origin qualification include:
Useful information: Understanding the difference between goods shipped from Mexico and Mexican origin goods.
Similar to CUSMA, parcels containing products valued less than CAD $3,300 require a simplified certification of origin to claim CPTPP preferential tariff treatment.
Duty free status can apply to consignments containing originating products under CAD $3,300. The conditions include:
If you are importing to Canada, it is important to become familiar with Canadian Customs online portal CARM.
Registration is mandatory for all commercial imports and requires a surety bond. Read more about CBSA Assessment and Revenue Management (CARM)
The main objective of issuing the Complmento Carta Porte is to prove the legal possession of merchandise during transport. Non compliant shipments are subject to penalties.
The Mexican Tax Authority (SAT) requires goods through Mexico to be compliant with the Carta Porte supplement. All freight, modes of transport and commodities require the supplement.
Information required by Complemento Carta Porte can include:
Regulated parties affected by the Carta Porte supplement includes the owner of the goods transferring, intermediaries and agents of transport, and hauling companies. The suppliers of transportation services should issue a CFDI of Revenues with the Carta Porte supplement.
Note that this information is public information. All parties should confirm compliance with Mexican Authorities prior to shipping.
Additional resources:
The CFDI, or Comprobante Fiscal Digital por Internet, is an electronic invoice used in Mexico to document transactions between businesses. Mexican businesses issue CFDIs for sales made within Mexico.
Only CFDI v4.0 with Carta Porte v2.0 is valid (other versions of the CFDI or Carta Porte are not acceptable).
Requirements include copies of the importer's passport and specific list of contents with estimated unit and total value. Personal goods to Canada must be self clear via the importer of the goods.
Determination of personal goods include 1 year old items for personal use only.
Jet Worldwide does not accept personal effects TO Mexico.
Jet Worldwide gives access to all companies seeking for spot quotes between Canada and Mexico for parcels, pallets, online orders.
Contact our team for special requests, reverse logistics or other ways we may be of assistance. As mentioned above, Jet offers transparency and expertise and we are not shy to recommend other options that best suite your needs. Need a quote and logistics support?