HRAI Advocacy Delivers Tariff Relief for Residential Gas Furnaces

HRAI has been working with members and federal government officials to seek relief from Canada’s steel and aluminum tariffs on residential natural gas furnaces. HRAI’s position, supported by members across the industry is that these products should be protected from such charges, as they are essential for Canadian homes and are not produced in sufficient quantities within Canada.

HRAI has consistently advocated for a tariff-free trade environment for HVACR products in North America. Tariffs increase equipment costs for homeowners, contractors, and building operators, and can create unnecessary supply chain challenges for essential heating and cooling equipment. Canada’s retaliatory steel and aluminum surtaxes on certain U.S. products have been in place since March 13, 2025.

On June 30, 2026, Canada published an amendment to the United States Surtax Remission Order (2025) that provides relief for residential gas furnaces, as requested by HRAI and its members. Based on HRAI’s understanding, affected residential gas furnaces are imported into Canada under tariff classification 7322.90.10.

For eligible goods, relief may be available either at the time of importation or via an adjustment for amounts already paid, provided the conditions of the remission order are met. Claims for remission must be made within the applicable time limits, including the requirement to make a claim within two years after the date of importation.

CBSA’s guidance indicates that special authorization code 25-0466M is to be used for eligible goods listed in Schedule 2 of the United States Surtax Remission Order (2025), where the goods are classified under the applicable tariff classification and meet the requirements of the Order.

This code may be relevant in two situations:

  1. claiming relief from charges at the time of importation; or

  1. seeking an adjustment for surtax previously paid, through CBSA’s Commercial Client Portal or Electronic Data Interchange.

Members that imported affected goods should review recent entries and consult their customs broker to determine whether a claim or adjustment is appropriate.

If you have any questions about Canadian tariffs, please contact Perry Chao, HRAI Director of Regulatory Affairs, at pchao@hrai.ca.

 

Reference documents

The June 30, 2026 notice, SOR/2026-154, is available on the Canada Gazette website: 
https://gazette.gc.ca/rp-pr/p2/2026/2026-07-01/html/sor-dors154-eng.html

The original United States Surtax Remission Order (2025), SOR/2025-122, is also available on the Canada Gazette website: 
https://gazette.gc.ca/rp-pr/p2/2025/2025-05-07/html/sor-dors122-eng.html


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