March 29, 2024 | Canada, CARM, Customs Bonds | Jason Palumbo

Important CARM Update for Customs Brokers and Importers

Share This:

On March 27th, the CBSA held a Trade Chain Partner Working Group meeting and announced the following changes related to CARM’s Release 2 (“R2”), coming May 13, 2024:

  • The minimum bond amount requirement will change from $25,000 to $5,000 for all importers with the implementation of R2.
    • The maximum bond amount will remain capped at $10,000,000 per RM account.
    • As a reminder, the bond amount will be calculated at 50% of the highest month of duties and taxes (including GST and all debts/accounts receivables) over the previous 12-month period.
  • CBSA cannot keep up with the paper bond filings (we have noticed a 6-8 week response time on bonds we submitted).  Therefore, CBSA is encouraging the trade to wait to file any new bonds until the May 13, 2024 R2 date.
    • Importers who have created their CARM Client Portal account before April 26, 2024, will be granted up to a 180-day grace period for obtaining and posting their financial security in CARM. Therefore, if a paper bond is in the process of filing, importers will have time to finalize their bond.
  • On March 21, 2024, the Standing Committee on International Trade (CIIT) held a meeting where it was encouraged to delay the release of R2 by several groups.  However, CBSA appears to be pushing forward with the May 13th release date. We encourage you to visit the CBSA website regularly for the latest updates and developments.

Roanoke’s FastBond™ will be ready for R2 to electronically file Release of Goods bonds in CARM! Stay tuned for FastBond™ updates coming soon.

To learn more, visit our Canada Customs Bond solution page or contact Glenn Patton, Managing Director – of Roanoke Insurance Group Canada, at glenn.patton@roanokegroup.com or call +1-800-ROANOKE.

Share This:

Related


CARM Release 2 Update: Compliance Insights for Customs Brokers and Importers

CARM Release 2 Important Update for Customs Brokers and Importers On August 11, 2023, CBSA’s CARM Engagement team released an important update on the next phase of the CARM project launch. Per their email to trade and logistics partners: “In October 2023, the CARM Release 2 system will be available for selected industry partners who […]

Customs Bonds

CBSA’s CARM Launch Update: What You Need to Know

The Canada Border Services Agency (CBSA) announced on April 19, 2024, a crucial update regarding the launch of its groundbreaking CBSA Assessment and Revenue Management (CARM) system. Amidst shifting labor dynamics and a commitment to ensuring a seamless transition, the CBSA has rescheduled the external launch of CARM to Trade Chain Partners (TCPs) to October […]

Roanoke Whitepaper – An Importer’s Guide to Antidumping & Countervailing Duties

Many Customs and trade laws carry significant financial consequences for importers, and of these laws, antidumping and countervailing duties pose some of the most dangerous ramifications. These provisions exist to protect domestic industries and producers from unfair foreign competition. Under U.S. law, goods are subject to assessment of “ordinary duties” based on their classification under […]

Customs Bonds

Professional Partnerships

Roanoke is the leading provider of insurance and surety solutions for transportation and logistics providers. In fact, we are recognized as the most reliable source for U.S. customs bonds.

Contact

If you have any questions or need help, feel free to contact with our team.

800-762-6653

US CORPORATE HEADQUARTERS

1501 E. Woodfield Road

Suite 400W

Schaumburg, IL 60173


CANADA CORPORATE HEADQUARTERS

390 Bay Street

Munich Re Centre, 22nd Floor

Toronto, ON M5H 2Y2

Solutions that Go the Distance.

© 2024 Roanoke Insurance Group Inc. A Munich Re company

Better Business Bureau logoCoverholder at Lloyd's logo