The Certain Wood Cabinet and Vanity Goods Surtax Order, SOR/2026-169, imposes a temporary 25% surtax on specified imported wood cabinets, vanities and related subassemblies. The measure responds to the federal government’s preliminary determination that increased imports are causing, or threatening to cause, serious injury to Canadian producers. The surtax is a provisional safeguard measure intended to provide temporary protection while the Canadian International Trade Tribunal (CITT) investigates whether longer-term safeguard measures are justified.

The surtax applies for up to 200 days and is calculated at 25% of the value for duty of covered goods. It applies to cabinets and vanities made wholly or partly from wood products that are intended for permanent installation, as well as subassemblies such as frames, boxes, doors, drawers, back panels and end panels. The measure covers both solid and engineered wood, including plywood, particle board, fibreboard, strand board, block board and bamboo. It also applies regardless of whether products contain non-wood components, are finished or unfinished, assembled or unassembled, or sold in flat-pack or ready-to-assemble form.

The definition is deliberately broad. Covered products remain subject to the surtax when incorporated with countertops, sinks, plumbing or faucets, and whether they are intended for kitchens, bathrooms or closets. Permanent installation means installation in a fixed location as an integral part of a building or structure, even where the cabinet or vanity can subsequently be removed, relocated or replaced.

Several important exclusions apply. Goods originating in the United States, Mexico, Chile, Israel and other Canada-Israel Free Trade Agreement beneficiaries are excluded, as are goods originating in the developing countries and territories listed in Schedule 2. Casual goods and goods classified under Chapter 98 are also exempt. Freestanding furniture not designed for permanent kitchen, bathroom or closet installation is outside the measure.

Certain separately imported accessories are also excluded, including organizational inserts and dividers, rotating inserts, decorative solid-wood accessories such as corbels and rosettes, and non-wood hardware such as hinges, brackets, catches, locks, drawer slides, fasteners, handles and knobs. Small wall-mounted medicine cabinets meeting specified requirements are exempt, as are goods already in transit to Canada when the Order takes effect.

The government cites a 25% increase in the value of imports between 2023 and 2025, reaching approximately $340 million in 2025. It attributes the increase partly to tariff concessions under WTO commitments and unforeseen developments in global trade, including restrictions imposed or contemplated by other countries that may divert wood cabinet and vanity imports toward Canada. The government also identifies price undercutting, lost domestic contracts, production curtailments and facility closures as evidence of serious injury affecting manufacturers and related suppliers.

Canada (169/2026) August 18, 2026
Disclaimer: Insights are for informational purposes only and does not reflect RRI’s official position or constitute legal opinion.