CUSMA compliance creates new costs for some Canadian businesses

Some Canadian small businesses say compliance with the CanadaU.S.Mexico Agreement has created unexpected costs and shipping problems, even as it helped them avoid recent U.S. tariffs. The issue is affecting companies that sell across the border, especially those with lower sales volumes and limited administrative resources. Business owners interviewed by CBC News said brokerage fees, paperwork, and customs requirements have made crossborder shipping more complicated. In some cases, companies have limited U.S. shipping, moved inventory to American fulfilment centres, or shifted focus to the Canadian market instead. Industry groups say larger firms are often better able to absorb the costs of certification, while smaller businesses may find the process more burdensome than the tariffs they were trying to avoid. Some companies have also adjusted product lines or distribution strategies to reduce exposure to changing trade rules.