Notice To Members Regarding Impending Tariffs

Standardbreds trucking to racetrack
Published: March 12, 2025 03:44 pm EDT

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

To help horsepeople understand the impact of these tariffs on the Canadian racehorse industry, the Canadian Thoroughbred Horse Society (CTHS) and Standardbred Canada (SC) have obtained information 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 per cent tariff or require a separate Temporary Entry permit if returning to 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 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. Industry stakeholders can offer feedback through this form and request an exemption to the Canadian tariffs for purebred breeding and racing animals.

Ongoing Updates & Industry Support

At this time, there is no definitive confirmation of the full implications of these tariffs for the Canadian Standardbred and Thoroughbred industries. Both SC and the CTHS will remain in close contact with industry stakeholders and government representatives to obtain the most accurate and up-to-date information.

SC and CTHS strongly advise 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.

Understanding the financial and logistical challenges these tariffs may impose, 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.

(with files from CTHS)

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