What the Case Is
On August 17, 2026, the Canada Border Services Agency started investigations under the Special Import Measures Act into the alleged dumping and subsidizing of paperboard cups and containers originating in or exported from China. The complaint came from Great Pacific Enterprises Limited Partnership, which operates as Genpak in Mississauga, Ontario, and says it represents most Canadian production. It alleges price undercutting, lost sales and reduced employment.
On October 16, 2026, the Canadian International Trade Tribunal (inquiry PI-2026-004) determined there is a reasonable indication that the dumping and subsidizing have caused injury to the domestic industry. That keeps the case moving to the CBSA's preliminary determinations.
Which Products Are Covered
The CBSA's definition of the subject goods is: paperboard cups and containers rolled from coated paperboard stock (excluding enhanced clay-coated paperboard stock), and blanks or flats for forming them, originating in or exported from China. In practice that means:
- Cups of roughly 4 to 32 oz, single or double walled, for hot or cold drinks
- Containers, including low "squat" bowl-style containers, of roughly 2 to 40 oz, for food
- Blanks and flats cut for forming cups and containers
Not covered: cups and containers packaged in party sets with other tableware, enhanced clay-coated containers (such as ice cream containers), paperboard food pails formed by folding, molded fibre products, and uncut printed rolls.
The CBSA lists tariff classification numbers 4823.69.00.10 and 4823.69.00.90 for reference, but those numbers also cover goods that are not subject. What matters is whether the product itself fits the definition. CBSA estimates that imports from China held about half of the Canadian market in 2023 to 2025 and 56% in the first quarter of 2026.
How a Dumping and Subsidy Case Works
Canada's Special Import Measures Act (SIMA) lets Canadian producers complain that imports are being dumped (sold to Canada below their normal price at home) or subsidized by a foreign government, and that this is hurting them. Two agencies then work in parallel:
- The CBSA investigates whether the goods are dumped or subsidized, and by how much
- The Canadian International Trade Tribunal (CITT) decides whether the imports are injuring Canadian producers
The case moves through fixed stages. Within 60 days of the start, the CITT decides whether there is a "reasonable indication" of injury. Within 90 days (135 if extended), the CBSA makes preliminary determinations. From that day, provisional duties can be charged on subject cups and containers released from customs. The CBSA then has 90 days to make final determinations, and the CITT holds a full injury inquiry, with a finding due within 120 days of the preliminary determinations. If both find against the imports, anti-dumping and countervailing duties stay in place, normally for five years before a review.
Provisional duty is a deposit based on the CBSA's preliminary estimates. It can't exceed the estimated margin of dumping or amount of subsidy, and it's adjusted when the final decision comes.
What to Do Before November 16
- Check the scope. Compare each product you import against the definition above: material, coating, size and how it's formed. Keep the supplier's product specifications on file
- Confirm origin and exporter. The case covers goods originating in or exported from China. Goods routed through another country can still be subject
- Review orders landing after November 16. Provisional duty applies to goods released from customs on or after the preliminary determination date, not to goods already in Canada
- Model the landed cost. Use the CBSA's initiation estimates as a worst-case scenario for budgeting, while remembering the actual provisional rate will be set per exporter on November 16
- Keep your records. Purchase orders, invoices, pricing and shipping documents for the period matter if your supplier's rate is reviewed later
- Answer the CBSA if asked. The CBSA sent its Importer Request for Information to 296 potential importers. If you received one, respond; it's your chance to put your numbers on the record
What Not to Assume
- That November 16 is the end. It's the preliminary stage. Final determinations follow within 90 days, and the CITT's final injury finding within 120 days
- That the provisional duty is the final rate. Provisional duty is a deposit based on estimates. It's refunded or adjusted once final rates are set
- That cups from other countries are affected. This case is about China only
- That stock already in Canada is caught. Provisional duty applies to goods released on or after the preliminary determination. One exception: if the CITT later finds massive importations caused injury, duty can reach back to goods released in the 90 days before the preliminary determination
How Garden City Helps
When provisional duties start, they're assessed on the import declaration, so your customs broker needs to know which of your products are subject goods and which exporter they come from. Garden City Customs Services Inc. clears commercial imports at any port of entry in Canada, and we can review your product list against the CBSA definition before November 16. Contact our team or call 888-481-2048.
Frequently asked questions
What is a provisional duty?
A deposit charged on subject goods from the date of the CBSA's preliminary determination until final decisions are made. It can't exceed the CBSA's estimated margin of dumping or amount of subsidy, and it's adjusted or refunded when the final rates are set.
Does this affect paper cups from countries other than China?
No. The investigations cover paperboard cups and containers originating in or exported from China only.
What if I already have stock in Canada?
Goods released from customs before the preliminary determination aren't subject to provisional duty. The exception is a retroactive duty on massive importations, which the CITT can apply to goods released in the 90 days before the preliminary determination if it finds those imports caused injury.
When will the case be over?
The CBSA's final determinations are due within 90 days of its preliminary determinations, and the CITT's injury finding within 120 days of them. The CBSA's own schedule shows the case concluding in February 2027.
Official sources
- CBSA news release: investigations into paperboard cups and containers from China (Aug 20, 2026)
- CBSA Statement of Reasons: initiation of investigations, paperboard cups and containers (PCC 2026 IN)
- CITT: determination of reasonable indication of injury, paperboard cups and containers (PI-2026-004, Oct 16, 2026)
- CBSA: anti-dumping and countervailing (SIMA) program
This update is general information, not legal advice. Tariff measures change often; the official source is the authority, and how a measure applies depends on your specific goods, so confirm with a licensed customs broker before you ship.