Canadian Tariff Countermeasures Update       March 18, 2025

The public comment period for the proposed countermeasures, with feedback from business, stakeholders, and Canadians regarding their impacts has been extended to April 2^nd.

Once again, we strongly encourage all industry stakeholders to submit their input through this comment submission form and request an exemption to the Canadian tariffs for purebred breeding and racing horses at

https://forms-formulaires.alpha.canada.ca/en/id/cm7upmkx9008rx268zhy9l6pj.

Please make sure you make a note of the following HS Tariff Items in your exemption request:

HS Tariff Item 0101.21.00 Pure-bred breeding animals

HS Tariff Item 0101.29.00.20 – Other For Racing

A few key points we would ask you to include in your submissions:

1.      The movement of horses across borders is essential for Thoroughbred, Standardbred and Quarter Horse breeding, racing, and sales, and any additional trade barriers would have severe economic consequences. Such tariffs could discourage international investment, limit market opportunities, and place an undue burden on Canadian Thoroughbred, Standardbred and Quarter horse breeders, trainers, and owners who rely on the ability to import and export horses efficiently.

2.      In order to avoid further negative impacts to important Canadian industries that support rural Canadians and that are already suffering negative impacts from the new U.S. tariffs, we strongly believe that purebred Thoroughbred, Standardbred and Quarter Horses used for breeding and racing purposes should be exempted from the implementation of the proposed countermeasures in response to the new U.S. tariffs on Canadian goods.

We will continue to provide updates as more concrete details become available. In the meantime, we appreciate your patience and encourage members to reach out if you have relevant information, insights, or experiences related to this issue.

For further inquiries or to share your feedback, please contact the CTHS National Office:

P: (416) 675-1370

E: info@cthsnational.com

Members Notice Regarding Impending Tariffs     March 12, 2025

On March 4, 2025, the U.S. enacted a 25% blanket tariff on all Canadian goods entering the country. While the measure has been tabled until April 2, if implemented, it will apply to pure-bred breeding and racing animals, including live horses, each time they cross the border.

To help members understand the impact of these tariffs on the Canadian Thoroughbred industry, the CTHS has received documentation from the Ministry of Agriculture and Agri-Food Canada and our border broker network. While the situation remains fluid and details are still emerging, we will continue to provide updates as new information becomes available.

EXPORTING TO THE U.S.

Mares for Breeding 

• If the mare was born (“originated”) in the U.S., the tariff does not apply.

• If the mare was born (“originated”) in another country, the tariff applies and must be paid upon entry into the U.S.

• A Temporary Entry permit is available for 30 days from the date of crossing. This requires cash to secure a bond equal to the tariff value, and the owner must provide proof of the mare’s value. If the mare returns to Canada within 30 days, the owner can request a refund of the bond from the U.S. government. However, proof of re-entry — such as a border services date stamp — will be required.

• If the mare is accompanied by a foal born in Canada, the foal will also be subject to the 25% tariff or require a separate Temporary Entry permit if returning to the Canada within the 30 day period.

Horses for Sale and Racing

• If the horse is intended to be sold in the U.S. at auction or by private sale and was born in the U.S. (“originated”) the tariff would not apply.

• If the horse was born (“originated”) in Canada, the tariff applies and must be paid upon entry into the U.S.

• A Temporary Entry permit is available for 30 days from the date of crossing. This requires cash to secure a bond equal to the tariff value, along with proof of the horse’s value.

• If the horse is not sold and returns to Canada within 30 days, the owner can request a refund of the bond from the U.S. government. However, proof of re-entry — such as a border services date stamp — will be required.

IMPORTING INTO CANADA

In response to the U.S. tariffs, Canada has announced retaliatory tariffs affecting approximately $30-billion worth of goods imported into Canada. While the initial round of tariffs did not apply to purebred breeding and racing animals, including live horses, it is likely that future rounds may include such tariffs, mirroring those imposed by the U.S.

The Ministry of Agriculture and Agri-Food Canada has indicated that purebred breeding animals (including live horses) could be included in a second round of tariffs. A complete list of potentially affected goods is available here.

Currently, a 21-day public comment period is underway for these proposed countermeasures, with feedback accepted until March 25, 2025. We strongly encourage all industry stakeholders to submit their input through this form and request an exemption to the Canadian tariffs for purebred breeding and racing animals.

Ongoing Updates & Industry Support

At this time, we do not have definitive confirmation of the full implications of these tariffs for the Thoroughbred industry. The CTHS will remain in close contact with industry stakeholders and government representatives to obtain the most accurate and up-to-date information.

The CTHS strongly advises all members crossing the border to utilize the services of a professional commercial carrier or a U.S. Customs broker to ensure compliance with regulations and facilitate a smooth entry process.

We recognize the financial and logistical challenges these tariffs may impose and will continue to provide updates as more concrete details become available. In the meantime, we appreciate your patience and encourage members to reach out if you have relevant information, insights, or experiences related to this issue.

For further inquiries or to share your feedback, please contact the CTHS National Office: 

P: (416) 675-1370

E: info@cthsnational.com