Transporting between the US and Canada

109
5/ 5stars
5/5
Pub: · Upd:
Industry: LOGISTICS

Every year there is a $525 billion USD cash turnover between the two neighboring countries and 68% of this amount is transported through freight. This was the 2020 statistic, the year of the first wave of the pandemic. It is predicted that these numbers will only increase further in the future. 

The freight traffic between these countries is a titbit for both brokers and logistics companies. Every day, more than 30,000 trucks move between the two countries.  But to start transporting personal food and drink across our Canada border, there must be a number of permits and special documents. 

Let's take a look now at what documents and permits will be required for transport between countries, and what common transport mistakes are worth avoiding. 

_1_1

Primary documents for crossing the border 

In order to cross the US-Canada border with cargo, a large list of documents is required. In addition to the basic set of documents that drivers must have, such as a DOT inspection, a certificate for work, and of course a driver's license, the driver must provide some special documents at the border. 

Common Certifications 

The first thing your driver will be asked for when crossing the US-Canada border is a Bond, authorizing the export of goods. This can be obtained from Canadian Customs at the point of crossing. The Canada Border Services Agency issues the Bond forms.

_5_1

The driver must also have an IRP registration protocol. This protocol indicates an agreement for mutual registration between the neighboring provinces of the United States and Canada.

The principle of the IRP protocol is as follows – one truck can only be registered in one state. Therefore, each vehicle needs only one IRP or PRP number. In addition to this protocol, the driver must have a CIP card that lists the jurisdictions in which the truck is valid for business and also what weight it is registered to carry in that state. 

To obtain this document, you must go to the registration office in the state in which your business is registered.  The certificate needs to be renewed every year and costs approximately $2,000. 

Rate code 

A tariff code is a code for each individual product, registered and documented by the system (HS). The first 6 digits of each such code are the same in all countries, the rest can be changed by each country. You will need both the US code and the Canadian code to cross the border. 

Ask your customs broker to correctly explain to you how to declare your goods and what duty to pay. 

_3_1

Canadian Border Patrol (PARS/PAPS)

To avoid standing long at the border, a broker can also use the Pre-Arrival Review System (PARS) at the Canadian border. This allows Canadian border officials to get through the border more quickly. It enables a trader to see the goods before they arrive at the border. 

The same option is available at the US border, and this system is called PAPS, or Pre-Arrival Processing System. 

Cross border trucking requirements: what not to do while crossing 

You now know what basic documents are needed for U.S. customs and border transporting vehicles from Canada to the USA. You can also get more detailed information from your broker, who will tell you what additional documents are needed for any particular goods you are carrying. 

_4_1

Now we should tell you some basic tips to help you cross the border in 2022.

1) Pay close attention to the information on the commercial invoice and the BOL. When the information does not match in both documents, it may not only cause problems at customs but also problems when clearing the vehicle. 

2) Take into account transit time. A common mistake of brokers is not to take into account dwell time at the border. This often results in customer dissatisfaction with the fact that the truck did not arrive with the cargo on time.

3) Waiting too long for the customs broker. The customs broker's waiting time should not be too long, as this can significantly affect the delivery time of the consignment.

_2_1

Be ready for the new ways of shipping!

Don't be afraid to discover new delivery routes in your trucking business! Many trucking companies, after discovering a new destination in Canada, start thinking about other destinations, more southward. So once the border with Canada is no longer something intimidating for you, you can think about the border with Mexico. 

Get the latest news and articles from the Wezom blog!
We will add your info to our CRM for contacting you regarding your request. For more info please consult our privacy policy.
Wait! You might be interested in these books!
Think and Grow Rich Napoleon Hill
Lean Supply Chain and Logistics Management
Thinking, Fast and Slow Hardcover
Think and Grow Rich Napoleon Hill
"This is not a novel. It is a textbook on individual achievement that came directly from the experiences of hundreds of America's most successful men. It should be studied, digested, and meditated upon." (Dr. Miller Reese Hutchison). After reading the story, you will realize that you are about to come into possession of a philosophy which can be transmuted into material wealth, or serve as readily to bring you peace of mind, understanding, spiritual harmony and help you master physical affliction.
We will add your info to our CRM for contacting you regarding your request. For more info please consult our privacy policy.
Lean Supply Chain and Logistics Management
System 1 is fast, intuitive, and emotional; System 2 is slower, more deliberative, and more logical. The impact of overconfidence on corporate strategies, the difficulties of predicting what will make us happy in the future, the profound effect of cognitive biases on everything from playing the stock market to planning our next vacation―each of these can be understood only by knowing how the two systems shape our judgments and decisions.
We will add your info to our CRM for contacting you regarding your request. For more info please consult our privacy policy.
Thinking, Fast and Slow Hardcover
System 1 is fast, intuitive, and emotional; System 2 is slower, more deliberative, and more logical. The impact of overconfidence on corporate strategies, the difficulties of predicting what will make us happy in the future, the profound effect of cognitive biases on everything from playing the stock market to planning our next vacation―each of these can be understood only by knowing how the two systems shape our judgments and decisions.
We will add your info to our CRM for contacting you regarding your request. For more info please consult our privacy policy.
Thank you, we have sent the book to your email
If you didn't receive the book, be sure to check your spam folder.
5/5
Utility
Voted 2
How do you like the article?
Guzenko Sergey
WRITTEN BY
Guzenko Sergey
Founder and owner Wezom
Maybe
Y O U   W I L L   B E
I N T E R E S T E D
Less-Than-Truckload shipping, or less-than-load shipping, is one of the types of cargo transportation, which implies…
Eugen Pataliak
Eugen Pataliak
The best delivery route planner app can help you speed up your work and manage…
Fetisov Mikhail
Fetisov Mikhail
Finding truck drivers to work for your company is an important task and the success…
Eugen Pataliak
Eugen Pataliak