How the 2025 U.S. Tariffs & Canadian Import Taxes Affect Faire Wholesale Sellers

How the 2025 U.S. Tariffs & Canadian Import Taxes Affect Faire Wholesale Sellers

If you're a U.S. small business owner using Faire wholesale to sell products to Canada, the new 2025 U.S. tariffs and rising import taxes from the USA to Canada could impact your pricing, sales volume, and customer satisfaction. These policy changes are affecting everything from shipping costs to profit margins especially for cross-border wholesale sellers.

Let’s unpack how this affects you and what steps you can take to stay competitive.

What Are the 2025 U.S. Tariffs All About?

The U.S. introduced new tariffs in 2025 on key consumer goods — the exact types of products many of us are selling through Faire wholesale. Categories impacted include:

Home goods and textiles (e.g., towels, tablecloths)

Kitchenware (e.g., utensils, small appliances)

Apparel and accessories

Personal care items

This means higher costs for U.S. Faire sellers who export to other countries especially Canada.

What Are Canadian Import Taxes in 2025?

If you’re shipping from the U.S. to Canada, Canadian retailers are responsible for import duties, which include:

Customs duty (varies by product category and origin)

GST (5%) applied to all imported goods

PST or HST, depending on the buyer’s province

Brokerage/handling fees

This adds a significant landed cost for Canadian stores ordering from U.S.-based Faire sellers.

How This Impacts You as a Faire Wholesale Seller

Whether you’re new or established on Faire, these changes matter:

1. Higher Product Costs

Your cost of goods may increase if raw materials or finished goods are subject to U.S. tariffs.

2. Buyers Face Extra Fees

Canadian shops using Faire may hesitate to reorder if their final cost is too high due to taxes and duties.

3. Losing Canadian Market Share

If you're not proactive, Canadian retailers may switch to domestic Faire wholesale suppliers who don’t require import clearance.

How to Stay Competitive on Faire Wholesale

Here are simple ways to adapt and thrive even with tariffs and taxes:

✔️ Reprice With Purpose

Adjust your Faire wholesale pricing to absorb small increases. Try bundling or offering tiered discounts to keep your offer attractive.

✔️ Communicate Clearly

Update your Faire shop with a note like:

"Canadian buyers are responsible for all duties, taxes, and import fees."

This builds trust and avoids surprises.

✔️ Offer Partial Shipping Relief

Free or discounted shipping is a powerful way to offset your buyers’ import burdens.

✔️ Use a Canadian Fulfillment Partner

If your Faire wholesale sales to Canada are growing, consider storing inventory in Canada to ship locally and avoid duties altogether.

now Your Product’s HS Code

Your HS (Harmonized System) Code determines the import duty rate. Getting this right can:

Prevent customs delays

Help your buyers plan costs

Improve checkout transparency

If you're a U.S. seller searching for a fulfillment center to grow your wholesale business in Canada, we’d love to connect. Let’s chat over coffee and see how we can support your expansion contact us today!