A Thanksgiving weekend shopping trip to the United States could deliver an expensive surprise for Canadians returning home with certain American-made products.
With Canadian Thanksgiving falling on Monday, October 12, 2026, the Canada Border Services Agency is reminding travellers to understand their personal exemptions and declare their purchases. The warning comes just weeks after Ottawa introduced new counter-tariffs of 15%, 25% and 50% on selected U.S.-origin goods.
The additional charges, which took effect September 8, apply to products ranging from household appliances and dairy items to certain cosmetics, furniture and electronics. They can also be added to existing duties and Canadian sales taxes.
However, not every American purchase attracts a tariff. The final cost depends on the product, where it originated, how long the traveller has been outside Canada and whether a personal exemption applies.
Canada’s New Tariffs Are in Effect for Thanksgiving Weekend
Canadians heading across the border this Thanksgiving are shopping under rules that changed just over a month ago. On September 8, the federal government introduced counter-tariffs of 15%, 25% and 50% on selected products originating in the United States. The measures cover approximately $27.6 billion in U.S. imports and represent one of Ottawa’s most significant recent responses to escalating trade restrictions imposed by Washington. For travellers accustomed to making occasional shopping trips to American outlets, the changes make checking a product’s origin and tariff classification more important.
The Canada Border Services Agency issued a Thanksgiving travel advisory on October 6, encouraging returning Canadians to understand their exemptions, keep purchase receipts and declare everything they acquired abroad. Although the advisory covered several travel concerns, the new surtaxes add another complication for shoppers. A discounted American-made product may still provide savings, but the final Canadian cost can be substantially higher than the price displayed at the store. That difference could become particularly noticeable when families purchase multiple items during the holiday weekend.
Why Canada Is Charging Three Different Tariff Rates
The three rates are part of Canada’s response to a renewed trade confrontation with the United States. On August 22, Washington imposed 50% tariffs on approximately $27.6 billion worth of Canadian products under Section 338 of the U.S. Tariff Act of 1930. Ottawa subsequently announced that it would impose matching countermeasures on selected American products. Rather than applying a single rate to everything imported from the United States, Canada introduced different charges according to the goods involved and the corresponding American tariffs.
The affected categories extend well beyond industrial materials. Government documentation identifies steel, aluminum, dairy products, appliances, agricultural equipment, furniture, electronics and several consumer goods. The rates generally correspond to the American measures affecting comparable products. However, a 50% tariff on one type of furniture does not mean every piece of furniture faces the same charge. Customs classification determines the applicable rate. This distinction matters for cross-border shoppers because items sold alongside each other in an American department store can face dramatically different treatment when brought into Canada.
Same-Day American Shopping Trips Have No Personal Exemption
One of the most important rules concerns how long Canadians remain outside the country. According to the CBSA, travellers who return after an absence of less than 24 hours do not qualify for a personal exemption. That means someone who crosses into the United States in the morning, visits several stores and drives back into Canada that evening cannot automatically bring those purchases home free of import charges. Applicable duties, taxes and counter-tariffs may be assessed, depending on the goods.
Consider a family that makes a same-day shopping trip from southern Ontario into western New York. Even if the family purchases only a few household items, eligible U.S.-origin products may face an additional tariff upon re-entry. A purchase worth C$100 that falls under a 50% surtax could generate C$50 in counter-tariffs alone, before sales taxes or other applicable charges. The amount ultimately payable depends on customs rules and the assessment made at the border. This makes short shopping excursions potentially less economical than their advertised discounts initially suggest.
Staying 24 Hours Unlocks a $200 Exemption, With a Catch
Canadians who remain outside the country for at least 24 hours can claim a personal exemption of up to C$200 in qualifying goods. Within that limit, eligible purchases can generally be brought into Canada without regular customs duties or taxes, including applicable counter-tariffs. The exemption applies to personal or household purchases, such as clothing, souvenirs and gifts. However, alcoholic beverages and tobacco products cannot be included in the 24-hour allowance.
The crucial restriction is what happens when a traveller exceeds C$200. Unlike the more generous 48-hour exemption, the 24-hour allowance disappears entirely if the total value of imported goods exceeds the limit. For example, someone returning after a 30-hour stay with C$250 in purchases cannot simply subtract C$200 and pay charges on the remaining C$50. Instead, applicable duties and taxes are assessed on the entire C$250. If those purchases include products subject to counter-tariffs, the additional charges can become significant. Travellers also cannot combine individual personal exemptions to cover one expensive item.
A 48-Hour Stay Raises the Duty-Free Allowance to $800
Remaining outside Canada for at least 48 hours changes the calculation considerably. Eligible returning residents can claim a personal exemption of up to C$800. Unlike the 24-hour allowance, this exemption is not completely lost when purchases exceed the limit. If a traveller returns with C$1,000 in qualifying purchases, applicable duties and taxes are generally assessed on the C$200 exceeding the exemption, with the taxable goods and their classification determining the precise charges.
This makes the duration of a Thanksgiving shopping trip financially important. A Canadian who leaves Friday evening and returns Sunday evening after a full 48 hours may qualify for a substantially larger exemption than someone returning Saturday. The allowance can include alcoholic beverages and tobacco products within specific quantity limits, although additional conditions apply. Each traveller must qualify independently, and exemptions cannot be transferred between family members. Children may have their own exemptions, but the goods must be intended for their use. A longer trip may reduce border charges, although hotel costs, meals and transportation expenses can offset some of those savings.
The 15% Tariff Can Affect Certain Air Conditioners and Cooling Equipment
The lowest rate in Canada’s new three-tier counter-tariff system is 15%, but that does not make it insignificant. The current tariff schedule includes several categories of American-origin air-conditioning equipment, including certain window-mounted, wall-mounted and split-system units. Some qualifying portable air conditioners and particular heat-pump systems also appear on the list. Their treatment depends on technical characteristics and the precise customs classification, rather than the broad product name alone.
For a homeowner considering an appliance purchase during a cross-border trip, the additional cost deserves attention. An eligible American-origin air conditioner with a customs value of C$600 would attract a C$90 surtax at 15% if no personal exemption covered the purchase. Other applicable taxes or duties could increase the total further. Different cooling equipment may fall under other tariff classifications, including a 25% category. This illustrates why checking the product description is essential before assuming a particular rate. A bargain on a heating or cooling appliance can become less attractive once the full import cost is calculated.
The 25% Tariff Includes Refrigerators, Freezers and Several Cheeses
A 25% counter-tariff applies to several products that Canadians might consider purchasing during an American shopping trip. Canada’s official schedule includes certain household refrigerators, freezers and refrigerator-freezer combinations. It also lists numerous types of cheese, including cheddar, mozzarella, brie, gouda, parmesan and other varieties. Each product must meet the relevant tariff classification and U.S.-origin requirements before the counter-tariff applies.
The potential financial impact becomes clearer with larger purchases. A qualifying American-made refrigerator valued at C$1,200 could attract C$300 in surtax if none of its value is sheltered by a personal exemption. Any applicable sales taxes or other duties would come on top. Food purchases can be more complicated because import requirements, quantity restrictions and tariff-rate quotas may also matter. Not every item on a supermarket shelf is subject to the same border treatment. A shopper buying cheese for a family gathering and another purchasing a household appliance may therefore encounter different customs considerations, even though both products appear within the 25% counter-tariff category.
Some Perfumes, Makeup and Game Consoles Face 50% Counter-Tariffs
The highest rate carries the greatest potential for surprise. Canada’s current counter-tariff schedule places certain U.S.-origin perfumes, lip makeup, eye makeup and manicure products in the 50% category. Natural honey, various plastic household products, selected furniture and certain sporting goods are also listed. Some video game consoles and exercise equipment fall within this tariff classification. However, the counter-tariffs apply only when the goods meet the applicable U.S.-origin requirements.
For someone purchasing an American-made fragrance or cosmetics as a Thanksgiving gift, the difference can be substantial. A qualifying item with a customs value of C$200 would attract a C$100 surtax if no exemption applied, bringing its value plus surtax to C$300 before any other charges. Notably, an American brand name does not automatically make a product American-origin. A gaming console or cosmetic sold in a U.S. store but manufactured elsewhere may not be subject to these particular counter-tariffs. The product’s actual origin remains central to determining the applicable rate.
Where a Product Was Made Matters More Than Where It Was Purchased
One of the most misunderstood aspects of Canada’s counter-tariff rules is the difference between buying something in the United States and buying a product that originates in the United States. The new measures target goods qualifying as U.S.-origin under applicable customs marking rules. A Canadian traveller who purchases a product manufactured in another country does not automatically owe these specific counter-tariffs simply because the transaction occurred at an American retailer.
This distinction is especially relevant for electronics, clothing and household products sold by multinational brands. A television purchased in Buffalo, for example, may have been manufactured in Mexico or another country. Similarly, an American company’s clothing or beauty products may originate outside the United States. Such purchases can still face ordinary duties and Canadian taxes when applicable, but their treatment under the new U.S.-origin surtaxes differs. Country-of-origin markings, packaging and manufacturer information can help clarify the situation, although complex cases may require a formal customs assessment. The CBSA ultimately determines the correct treatment using the applicable origin and classification rules.
Tariffs Can Increase the Amount of Canadian Sales Tax Owed
The counter-tariffs do not replace ordinary customs duties or Canadian sales taxes. Instead, the CBSA calculates the applicable surtax using the product’s value for duty, then includes that surtax in the amount used to calculate sales taxes where applicable. Consequently, a traveller may effectively pay tax on the additional tariff amount. The exact total depends on the goods, their value, the applicable duty treatment and the traveller’s province or territory of residence.
Consider a simplified example involving an eligible American-made cosmetic product with a customs value of C$100, no personal exemption and no additional regular duty. A 50% surtax would add C$50. Applying only the federal 5% GST to the resulting C$150 taxable value would produce another C$7.50, bringing the combined surtax and GST to C$57.50. The total would therefore reach C$157.50 before any applicable provincial taxes. This is an illustration rather than a universal border calculation. The CBSA’s online duty-and-tax estimator also cautions that surtaxes are not included in its estimates, making separate checks particularly important.
Receipts, Gifts and Accurate Declarations Are More Important Than Ever
The CBSA advises Canadians returning from international travel to declare everything acquired while outside the country. This includes ordinary purchases, gifts, prizes and goods bought at duty-free stores. Travellers should know the total value of their purchases in Canadian dollars and have receipts readily available. Amounts paid in U.S. dollars must be converted using the exchange rate recognized by the border agency, and foreign sales taxes can be relevant to the declared value.
Parents shopping with children should also understand that an individual exemption cannot simply be reassigned to another person. A child’s allowance applies to qualifying goods intended for that child, not automatically to expensive household purchases made by an adult. Likewise, goods imported for business or resale are not eligible for ordinary personal exemptions. Incorrect declarations can lead to additional assessments, penalties or seizure, depending on the circumstances. For families returning with several shopping bags, keeping receipts organized by product and purchase price can make the declaration process easier. The central requirement remains straightforward: declare purchases honestly and allow border officers to determine the applicable charges.
Thanksgiving Travel Brings Additional Border Warnings Beyond Tariffs
Tariffs are only one consideration for Canadians crossing back into the country over the October 10–12 Thanksgiving weekend. In its October 6 advisory, the CBSA warned that the Monday of holiday long weekends tends to be particularly busy at border crossings. The agency recommended checking estimated wait times, keeping travel documents ready and considering early-morning crossings when practical. It also warned that construction at Quebec’s Saint-Bernard-de-Lacolle crossing could cause additional delays.
Thanksgiving food purchases carry another important warning. The CBSA has advised travellers to avoid importing raw poultry products or by-products, including turkey, without checking current Canadian restrictions. Homemade dishes and leftovers containing poultry cannot be brought into Canada under the guidance issued for this holiday weekend. These restrictions operate separately from tariffs and personal exemptions. A food item can be inexpensive and still be inadmissible. For Canadians planning a cross-border shopping trip, the safest approach is to confirm the origin and admissibility of goods, calculate potential charges and prepare for border traffic. An American shopping bargain is only worthwhile when its actual cost and import requirements are understood before returning home.
