How Tariffs Are Affecting Amazon FBA Sellers in Canada

For Canadian-based Amazon FBA sellers, navigating international shipping and customs duties has become increasingly complex—especially when selling into the U.S. or importing products from China. With shifting trade policies and fluctuating tariffs, understanding the cost implications is more important than ever for maintaining profitability and staying competitive.

Shipping from Canada to the U.S.: Hidden Costs That Add Up

Amazon FBA sellers who store inventory in Canada and fulfill orders across the border often face surprise fees due to tariffs and duties. While the U.S. has historically maintained relatively low tariffs on many consumer goods, certain product categories—such as textiles, electronics, and furniture—may be subject to import duties even when shipped from Canada.

Additionally, when sellers use Fulfillment by Amazon (FBA) in the U.S., inventory must often be moved to U.S.-based fulfillment centers. This cross-border movement triggers customs checks and the potential for added costs. While the USMCA trade agreement has helped reduce tariffs on many products, sellers still need to be diligent about proper classification and documentation to avoid delays and unnecessary fees.

Importing from China to Canada: Rising Tariffs and Supply Chain Pressure

On the other side of the equation, sellers importing goods from China into Canada are facing rising tariffs, stricter inspections, and increasing shipping costs. In response to global trade tensions and supply chain disruptions, Canada has imposed higher duties on certain categories, including steel, aluminum, and some manufactured goods.

In addition to standard tariffs, sellers must account for brokerage fees, GST, and other taxes assessed at the border. These costs can significantly eat into margins if not properly calculated ahead of time.

What This Means for Amazon Sellers

For Amazon sellers managing logistics between China, Canada, and the U.S., tariff strategy is no longer optional—it’s essential. Here are a few ways to stay ahead:

Work with a 3PL partner like Avastro that understands cross-border compliance.
Classify products correctly under the Harmonized System (HS) to avoid overpaying on duties.
Consider shipping directly to U.S. fulfillment centers from China when possible, or using bonded warehouses.
Monitor trade updates closely and regularly review landed cost calculations.
As the trade landscape evolves, being proactive about tariff management can mean the difference between a thriving Amazon business and one that struggles to scale.