A Complete Guide on Shipping to Canada from Singapore

Canada's economy is the ninth largest in the world, and it’s deeply intertwined with international trade. Imports play a pivotal role in the country's economic well-being. Manufactured goods have dominated the import scene, among which automobiles and automobile parts take the top spot, followed closely by industrial machinery.

Singapore’s Top Exports to Canada 

Understanding Singapore's trade relationship with Canada is crucial for businesses looking to tap into the North American market. Singapore's position as a major trade hub in Southeast Asia makes it a strong exporter of several key products to Canada.

Some of Singapore's top exports to Canada include:

1.     Electronic Equipment

2.     Technical and Medical Apparatus

3.     Pharmaceutical Products

These exports solidify the strong trade ties between Singapore and Canada, making Canada a strategic partner for Singaporean businesses seeking to diversify their supply chains.

Blooming E-Commerce

Canada’s people spend an average of CA$2,703 on e-commerce purchases per year. In 2022, over 75% of the country’s population, accounting for 27 million residents, leveraged e-commerce platforms. This is projected to increase to 77.6% by 2025. This trend presents a lucrative market for businesses looking to expand their reach.

CCTPP: Reducing the Trade Barriers 

The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is a trade deal between Canada and 10 other countries bordering the Pacific Ocean, one of which is Singapore. The deal makes it cheaper and faster to ship goods back and forth between Canada and these other countries. As a part of the agreement, some tariffs (taxes on imports) are reduced or eliminated. It's important to note that the CPTPP doesn't eliminate all trade barriers, but it does make things smoother and potentially more affordable for the parties involved. 

Canada Shipping: Custom Regulations and Import Procedures 

1. Key Documents Required 

Air Waybill: This document must contain comprehensive details of both the sender and the consignee. Additionally, it should provide an accurate description of the goods being shipped, including quantity, weight, value, and a clear indication of billing terms.

Commercial Invoice: This invoice requires the full name and address of both the shipper and the consignee, a detailed breakdown of the products being shipped, including their description, quantity, unit value, total value for each product, currency used, country of origin/manufacturer, and ideally the 6-digit HS classification code.

Packing List (Optional): While not always mandatory, a packing list can be included to provide a detailed itemization of the goods within the shipment.

Country of Origin Certificate: This document serves as official verification that the goods originated from a specific country.

Additional Permits and Licenses (if applicable):

• Permits: In cases where the imported goods are regulated by a Participating Government Agency (PGA), a specific permit may be required.
• Licenses: Like permits, if the PGA deems the goods to be regulated, a relevant license will be necessary. For instance, an SFC license, or Safe Food for Canadians license, is often required for most food imports into Canada. This license can be obtained from the Canadian Food Inspection Agency (CFIA).

2. Customs Duty, Tariffs and Taxes in Canada

Goods and Services Tax: All goods imported to Canada are subjected to 5% GST.

Unless an exemption applies where:

• Goods are valued at CA$20 or less.
• Gifts from friends or family overseas when valued at CA$60 or less.

Duties: These are tariffs imposed by the Canadian government on imported goods. Duty rates vary depending on the type of good and its country of origin. You can visit the Canadian International Trade Commission's website to find the duty rate for your specific product.

Provincial Sales Tax (PST) or Harmonized Sales Tax (HST): Depending on the destination province in Canada, an additional provincial sales tax (PST) or harmonized sales tax (HST) may apply on top of the GST. The PST or HST rate varies by province.

Canada Border Services Agency offers a wealth of information on import requirements, duties, and taxes. 

3. Restricted and Prohibited Goods

Some commodities are prohibited from entering Canada or are subject to stringent regulations. These restrictions are in place to ensure the compliance, safety, and security of goods entering the country. Violating these constraints may lead to severe penalties.

Restricted Goods in Canada, which require special approval: 

• Firearms: The shipment of firearms is restricted and requires a carrier company possessing a valid license for the transportation of firearms.
• Cannabis: Personal shipments of cannabis are strictly prohibited. Commercial shipments may be considered under exceptional circumstances with a prior import exemption granted by Health Canada.
• Tobacco: Like cannabis, personal shipments of tobacco are prohibited. Commercial shipments may be permitted under specific regulations.
• Alcohol: Personal shipments of alcohol are not allowed. Commercial shipments can be facilitated through authorized brokers adhering to relevant regulations.
• Hemp: The import of hemp food products is restricted. Only products demonstrably free of Tetrahydrocannabinol (THC) will be considered for entry.
• Pesticides: Any pesticide imported into Canada must be registered under Health Canada. There is an exception for personal use if the pesticide meets certain conditions.

Prohibited Goods in Canada include:

• Narcotics & Drugs
  
• Live Animals
• Corrosive and Nuclear Substances
• Firewood
• Weapons such as tasers, pepper spray and brass knuckles
• Prison made goods.

Send a parcel to Canada with DHL Express

While international shipping may seem difficult, partnering with the right courier service can transform it into a smooth and convenient experience for you. As a leader in global logistics, DHL Express holds a proven track record of reliability and expertise in customs regulations tailored to Singapore’s requirements.

Our dedicated team is here to guide you through every step of the process, addressing all the challenges that may arise. 

Let DHL Express handle the complexities, so you can focus on what matters most – your business!

Open a business account with DHL Express today and discover how our expertise in shipping and delivery can empower your business to reach new heights.