U.S. 50% duty on Canadian waste starts October 30 as Ontario moves to cut reliance on U.S. landfills
Ontario's Building Ontario Faster Act, tabled October 27, answers the new Section 338 list. Other Canadian goods come off the list the same day.
Waste haulers and shippers of a handful of other Canadian goods have three days to sort out what changes at the border.
What Washington changed
A U.S. presidential proclamation signed on October 23 changes the list of Canadian products hit by the 50% additional duty under Section 338 of the Tariff Act of 1930. The changes apply to goods entered, or withdrawn from warehouse, on or after 12:01 a.m. ET on Thursday, October 30.
According to the White House fact sheet:
- Coming off the list: plywood sheets, some paper products, certain machinery and refrigeration equipment, and certain packing crates and boxes
- Going on the list: certain valves, carpets, waste products and others
The Section 338 duties apply whether or not a good qualifies under CUSMA (USMCA). They also stack on top of any Section 232 duties.
The exact tariff codes are in the annexes attached to the proclamation on the White House website.
What Ontario did
On October 27 the Ontario government introduced the Building Ontario Faster Act, 2026. Among other things, the province says the bill responds to the Section 338 tariffs on Canadian waste products "by reducing Ontario's reliance on the United States for landfill and waste storage capacity."
The release does not give a timeline or say how much capacity will be added.
The bill also gathers several measures announced earlier, including cutting construction timelines for the Highway 69 expansion by up to five years. Transportation Minister Prabmeet Sarkaria said the changes "will improve road safety, reduce costs for businesses" and help deliver the transportation network people depend on.
The province says it has reviewed 51% of its 375 business-facing permits so far and has eliminated, streamlined or transformed 65% of those reviewed.
What carriers should do
- Waste loads: if you haul Canadian waste into the U.S., confirm with your customer and customs broker whether the load falls under the new codes before October 30. A 50% duty changes the economics of the lane fast.
- Goods coming off: shippers of plywood sheets, some paper products, packing crates and the other removed items may see the duty drop on entries from October 30. Check the codes before quoting.
- Paperwork: the duty is owed by the importer of record, but loads can sit at the border while brokers sort out a classification. Build in time on the first runs after the change.