Recently, the US Federal Maritime Commission (FMC) announced it will introduce enforcement actions aimed at increasing the collection of the Harbor Maintenance Tax (HMT).
The Harbor Maintenance Tax is a charge set at 0.125% of a shipment’s commercial value and is used to fund maintenance work at US ports.
Since it applies to foreign cargo entering the United States, some shippers choose to reroute their goods through Canadian and Mexican ports to avoid paying the tax.
Under the new enforcement measures, the tax must also be collected on goods that arrive through Canadian and Mexican ports before crossing the land border into the country. The directive ensures all applicable duties, taxes, and fees are paid when such cargo enters the US.
The directive also requires a 10% admin fee to support additional processing work carried out by border authorities. This fee only applies to the tax amount and not to the cargo value.
Officials at the FMC described the move as a significant adjustment to trade enforcement, arguing that the long‑standing exemption had distorted traffic flows and competition between ports.
The commissioners stated that the previous arrangements enabled cargo to enter the US at a lower cost when moved through Canada or Mexico, adding that such practices had influenced port development and freight patterns for many years.
They argued that the new requirements would remove the price difference that had favoured non‑US gateways and had contributed to the expansion of facilities outside the country.
Impact on Canadian ports
The implementation comes at a time when Canadian port activity has been strengthening.
Prince Rupert reported a notable rise in container throughput and overall tonnage in 2025, despite ongoing concerns from its main rail service provider about economic uncertainty.
Canadian ports have historically funded their own upkeep without an equivalent federal tax, making them an alternative route for goods destined for US markets.
The new enforcement coincides with additional pressures on Canadian logistics networks, including proposed tariffs and reduced investment plans from the rail operator serving these gateways.
Future cargo routing decisions will depend on how shippers respond to the added charges and how consistently the requirements are applied.
