UPS, FedEx and Canada Post brokerage fees in Canada (2026): what your buyer pays
A Canadian buyer orders a CA$75 item from a US shop, and UPS asks for about CA$47 at the door. Most of that is not tax: it is the courier's own brokerage fee for clearing the parcel. Here are the 2026 fee tables published by UPS Canada and FedEx, what Canada Post charges instead, worked examples, and how sellers and buyers can avoid the fee, with an official source and date on every number.
Calculate your own order for US → Canada
Quick answer
- What is a brokerage fee? The courier's charge for preparing the customs entry and paying duty and tax to the Canada Border Services Agency (CBSA) for the buyer. It is not a government charge, and CBSA does not set it.
- UPS Standard (the usual ground service from the US): CA$19.75 to CA$31.45 for parcels worth CA$40–150, plus a disbursement fee of at least CA$7.75 when it pays tax for you, plus CA$6.00 if it collects at the door.
- UPS Worldwide Express, Express Saver or Expedited: no entry fee for routine clearance; only the disbursement fee (at least CA$12.00) and the CA$6.00 collect-on-delivery fee.
- FedEx International Ground: Clearance Entry Fee CA$17.25 to CA$27.50 for parcels worth CA$40–150 (nothing up to CA$40).
- USPS → Canada Post: a flat CA$9.95 handling fee per item, but mail only gets the CA$20 tax-free limit (courier parcels from the US: CA$40).
- Avoid it: sellers can ship with duties and fees prepaid (DDP), use Canada Post for small orders, or use an express service; buyers can pay CBSA themselves at a CBSA office.
Worked example: what an Ontario buyer pays at the door
One item from a US seller, free shipping, buyer in Ontario (HST 13%), buyer pays on delivery (DDU). We assume 0% duty (for example a US-made item that qualifies under CUSMA and is not on Canada's counter-tariff list). Courier parcels from the US get the CUSMA limits: no tax up to CA$40, no duty up to CA$150. Fees are before any sales tax the carrier may add on its own fee.
| Item value | HST (courier) | Canada Post | UPS Standard | UPS Express | FedEx Ground | Try it |
|---|---|---|---|---|---|---|
| CA$35.00 | CA$0.00 | CA$14.50 | CA$13.00 | CA$0.00 | CA$0.00 | Post · UPS Standard |
| CA$75.00 | CA$9.75 | CA$19.70 | CA$47.05 | CA$27.75 | CA$31.00 | Post · UPS Standard |
| CA$140.00 | CA$18.20 | CA$28.15 | CA$63.40 | CA$36.20 | CA$45.70 | Post · UPS Standard |
| CA$300.00 | CA$39.00 | CA$48.95 | CA$123.00 | CA$57.00 | CA$93.00 | Post · UPS Standard |
Each carrier column is the total the buyer pays at the door: tax plus the carrier's fees. Canada Post (USPS parcels) = tax + CA$9.95. UPS Express means UPS Worldwide Express, Express Saver or Expedited. FedEx Ground = tax + FedEx International Ground Clearance Entry Fee. UPS columns include the entry preparation fee (Standard only), the disbursement fee (the higher of 3.7% of the tax or CA$7.75 on Standard, CA$12.00 on express services) and the CA$6.00 collect-on-delivery fee. The CA$35 UPS Standard figure is UPS's listed CA$7.00 entry fee for CA$20.01–40 plus the collect fee; no tax is due on it. FedEx can also add a disbursement fee when it pays the tax for you (see below); we leave it out because FedEx publishes it for FedEx shipments in general and we have not confirmed it for International Ground. Canada Post mail over CA$20 pays tax plus its CA$9.95 fee. The "Try it" links open the calculator with these figures.
UPS brokerage fees in Canada (2026)
UPS Canada charges an entry preparation fee on parcels arriving by UPS Standard (its ground service from the US) or handed to UPS by another carrier, by value for duty: CAD 0 up to CAD 20, CAD 7.00 up to CAD 40, CAD 19.75 up to CAD 60, CAD 23.55 up to CAD 100, CAD 31.45 up to CAD 150, CAD 35.90 up to CAD 200, CAD 70.25 up to CAD 350, CAD 78.15 up to CAD 500, CAD 93.15 up to CAD 750, CAD 105.25 up to CAD 1,000, CAD 124.20 up to CAD 1,600 and CAD 141.30 up to CAD 2,500, plus CAD 9.75 for each further CAD 1,000. Restricted or regulated goods under CAD 20 need a formal entry and pay CAD 7.00. Fees exclude duties and taxes.
| Value for duty | UPS Standard | FedEx Ground |
|---|---|---|
| CA$0.00 – CA$20.00 | CA$0.00* | — |
| CA$20.01 – CA$40.00 | CA$7.00 | — |
| CA$40.01 – CA$60.00 | CA$19.75 | CA$17.25 |
| CA$60.01 – CA$100.00 | CA$23.55 | CA$21.25 |
| CA$100.01 – CA$150.00 | CA$31.45 | CA$27.50 |
| CA$150.01 – CA$200.00 | CA$35.90 | CA$32.25 |
| CA$200.01 – CA$350.00 | CA$70.25 | CA$54.00 |
| CA$350.01 – CA$500.00 | CA$78.15 | CA$54.00 |
| CA$500.01 – CA$750.00 | CA$93.15 | CA$62.00 |
| CA$750.01 – CA$1,000.00 | CA$105.25 | CA$62.00 |
| CA$1,000.01 – CA$1,600.00 | CA$124.20 | CA$71.50 |
| CA$1,600.01 – CA$2,500.00 | CA$141.30 | CA$82.00 |
UPS amounts from the UPS Canada 2026 Rate & Service Guide, daily rates of 6 September 2026, page 115 (UPS Canada); FedEx International Ground Clearance Entry Fee list rates (FedEx). *CA$7.00 for restricted or regulated goods. FedEx's tiers are not the same as UPS's: FedEx charges nothing up to CA$40, then CA$17.25 up to CA$60, and one fee (CA$54.00) for the whole CA$200.01–500 band. The FedEx column shows the FedEx fee for a parcel at the top of each UPS band. Above CA$2,500 UPS adds CA$9.75 per CA$1,000.
When UPS is the broker, there is no entry preparation fee for routine clearance of UPS Worldwide Express Plus, Worldwide Express, Worldwide Express Saver, Worldwide Expedited and Worldwide Express Freight shipments, including up to three tariff lines. Charges may apply for more complex clearance.
UPS Canada charges a disbursement fee of 3.7% of the amount advanced or CAD 12.00, whichever is higher, on Express and Expedited services (CAD 7.75 minimum on UPS Standard).
Other UPS Canada import charges: CAD 6.00 Import Collect On Delivery (ICOD) fee when UPS collects the charges at the door (avoided by paying online in advance through UPS My Choice, or with a UPS importer account); CAD 6.00 per tariff line after the third; CAD 17.90 government agency fee for goods needing Health Canada, CFIA or Natural Resources Canada clearance; CAD 25.00 pre-release notification fee when the invoice lacks a proper description, the country of origin or quantities; CAD 15.00 low-value shipment amendment (by the 10th of the following month) or CAD 95.00 duty and tax amendment after that.
UPS says the importer of record pays duties and taxes unless the shipper specifies otherwise when preparing the shipment, and that charges must be paid online before delivery or are collected cash on delivery.
FedEx brokerage fees in Canada
FedEx International Ground (brokerage-inclusive) charges a Clearance Entry Fee on parcels to Canada, by customs value: CAD 0 up to CAD 40, CAD 17.25 up to CAD 60, CAD 21.25 up to CAD 100, CAD 27.50 up to CAD 150, CAD 32.25 up to CAD 200, CAD 54.00 up to CAD 500, CAD 62.00 up to CAD 1,000, CAD 71.50 up to CAD 1,600 and CAD 82.00 up to CAD 3,300, plus CAD 7.50 for each further CAD 1,000 (list rates for standard services).
FedEx adds the Clearance Entry Fee to the duty-and-tax invoice, billed to whoever pays duties and taxes. The shipper can choose the sender, the recipient or a third party as payer (the fee can go to the shipper or a third party as long as they are the importer of record); if that party does not pay, the shipper is ultimately responsible. With the Broker Select option the shipper can name its own customs broker instead.
FedEx charges a Canadian disbursement fee of CAD 12.00 or 3.10% of the duties and taxes, whichever is higher, from 20 July 2026.
Canada Post (USPS parcels): the CA$9.95 fee
On dutiable or taxable mail, Canada Post charges the buyer a CAD 9.95 handling fee per item, on top of duty and taxes.
Mail into Canada worth CAD 20 or less pays no duty or tax. Books, periodicals, alcohol and tobacco are excluded. Person-to-person gifts up to CAD 60 are exempt. Customs gift allowances by country
Courier shipments from the US or Mexico: no duty or tax up to CAD 40; duty-free (but taxed) up to CAD 150; duty and taxes above CAD 150. These thresholds go by where the parcel is shipped from, not where it was made.
So for a US order worth roughly CA$40 to CA$150, USPS and Canada Post usually cost the buyer far less at the door than a ground courier. Under CA$40 it is the other way round: a courier parcel from the US is free of tax, while mail over CA$20 pays tax plus CA$9.95. Above CA$150 a courier parcel also pays duty.
The tax and duty part
GST/HST is charged on imports at the buyer's province rate: 5% GST (AB, territories, and with provincial tax in BC, MB, SK, QC), HST 13% Ontario, 14% Nova Scotia (since 1 April 2025), 15% NB, NL, PEI. CBSA also collects PST on some imports. Canada GST/HST for sellers abroad
From 8 September 2026, Canada charges counter-tariffs of 15%, 25% or 50% on listed US-origin goods (50% includes clothing and apparel, furniture, steel and aluminium; 25% includes appliances and cheese). Earlier counter-tariffs on US autos remain.
Courier shipments from other countries (UK, EU, Australia…) are only free of duty and tax up to CAD 20.
Shipping from the UK, the EU or elsewhere? The same courier fee tables apply, but the duty- and tax-free limit for your courier parcels is only CA$20, so almost every order pays tax and a fee. More: UK → Canada · EU → Canada.
For sellers: how to stop your Canadian buyers paying brokerage fees
- Ship small orders by USPS. Canada Post's CA$9.95 fee is usually the lowest charge at the door for orders over CA$40.
- Prepay duties, taxes and fees (DDP). With UPS, the importer pays unless the shipper specifies otherwise when creating the shipment; with FedEx you can name yourself as payer of duties, taxes and the Clearance Entry Fee. Your buyer then pays nothing at the door and no collect-on-delivery fee applies. Price it into your shipping. See DDP vs DAP.
- Compare express services. UPS Worldwide Express Saver and Expedited have no routine entry fee, so for a CA$100–150 parcel the express label can cost your buyer less in fees than UPS Standard, even if postage is higher.
- Write a complete commercial invoice. UPS charges CA$25 when it has to chase a missing description, country of origin or quantity, and CA$6 per tariff line after the third. Help: customs forms and HS codes.
- Tell buyers before they order. Put "Canadian orders: shipped by Canada Post, you may pay HST plus CA$9.95 on delivery" (or "duties prepaid") in your listing or shipping policy, so nobody refuses the parcel.
A non-resident seller who is not registered for GST/HST and does not carry on business in Canada does not charge GST/HST when it sends goods by mail or courier from outside Canada to a buyer in Canada. GST/HST is collected on the importation instead (CRA's example: a US$100 item couriered from abroad to Alberta pays 5% GST on import).
Selling a lot to Canada from your own shop? Check whether you must register for GST/HST: Canada GST/HST for sellers abroad.
For buyers: can I avoid the courier's brokerage fee?
CBSA says customs clearance fees charged by couriers and customs brokers are separate from duties and taxes, are a private business-to-consumer transaction outside CBSA's control, and that consumers are not required to use a customs broker.
A buyer can self-account for a personal (casual) courier parcel at a CBSA office that offers accounting services to the public, which may save administrative fees: arrange it with the courier before arrival, or refuse delivery and tell the courier you will pay CBSA yourself; bring the tracking number, the invoice or receipt and photo ID; CBSA gives an official receipt, and you show a copy to the courier to arrange delivery.
Self-accounting saves the courier's entry and disbursement fees but costs a trip to a CBSA office that offers this service, with the tracking number, the seller's invoice and photo ID, and the parcel waits until you bring back the receipt. If you pay a UPS bill, paying online before delivery avoids the CA$6.00 collect-on-delivery fee. Before you buy from a US shop, ask how it ships to Canada: USPS or "duties prepaid" usually means no surprise at the door.
FAQ
Why is the UPS brokerage fee higher than the tax?
The tax is a percentage of the value (5% to 15% depending on the province), while UPS's entry fee is a fixed amount by value band, starting at CA$19.75 above CA$40, plus a disbursement fee of at least CA$7.75 and CA$6 if it collects at the door. On a CA$75 item that is CA$37.30 in fees against CA$9.75 in Ontario HST.
Do I pay brokerage on parcels under CA$40 from the US?
No duty or tax is due on a US courier parcel worth CA$40 or less, so there is nothing for UPS or FedEx to pay CBSA. FedEx lists no Clearance Entry Fee up to CA$40. UPS's table lists CA$7.00 for CA$20.01–40 on UPS Standard.
Is Canada Post cheaper than UPS for parcels from the US?
At the door, usually yes for orders over CA$40: Canada Post adds CA$9.95 to the duty and tax, while UPS Standard adds CA$19.75 to CA$31.45 plus fees for a CA$40–150 parcel. Under CA$40 a courier parcel is tax-free and mail over CA$20 is not.
Can I refuse a parcel because of brokerage fees?
You can refuse delivery. CBSA's process for paying the tax yourself starts with refusing delivery and telling the courier you will pay CBSA directly. Otherwise a refused parcel normally goes back to the seller under the seller's and carrier's terms, so ask the seller first.
Related guides: US → Canada route guide · Canada GST/HST for sellers abroad · DDP vs DAP (DDU) · Gift allowances (Canada CA$60) · Returns and duty refunds · Canada → US
This page is general information, not legal, tax or customs advice. Carrier fees are the carriers' published list amounts on the dates shown; your carrier contract, the service used and the goods can change them, and couriers may add tax on their fees. Check the sources below and your carrier before you ship. See the disclaimer.
Sources for this page
- UPS Canada 2026 Rate & Service Guide, Daily Rates (6 September 2026, PDF), UPS Canada. Accessed 10 Nov 2026. Verified
- Shipping to Canada: FedEx International Ground (Clearance Entry Fees list rates and tiers), FedEx. Accessed 10 Nov 2026. Verified
- Brokerage Options (FedEx Ground brokerage-inclusive service and Broker Select), FedEx Canada. Accessed 10 Nov 2026. Verified
- Disbursement Fee: adjusted fee amounts effective 20 July 2026 (PDF, all countries), FedEx. Accessed 24 Oct 2026. Verified
- Customs duty, taxes, and exemptions, Canada Post. Accessed 10 Nov 2026. Verified
- Importing by mail or courier – Determining duty and taxes owed, Canada Border Services Agency. Accessed 27 Oct 2026. Verified
- Increase to low-value shipment thresholds (CUSMA courier de minimis), Canada Border Services Agency. Accessed 27 Oct 2026. Verified
- GST/HST calculator (and rates), Canada Revenue Agency. Accessed 20 Oct 2026. Verified
- Canada announces targeted countermeasures … (25 Aug 2026), Department of Finance Canada. Accessed 20 Oct 2026. Verified
- Courier Low Value Shipment Program: Importing casual goods by courier, Canada Border Services Agency. Accessed 10 Nov 2026. Verified
- Supply of qualifying goods in Canada: GST/HST for digital-economy businesses, Canada Revenue Agency. Accessed 27 Oct 2026. Verified
Rules change often: the latest change we tracked was on 10 Nov 2026 (US: the 178 China Section 301 product exclusions are extended to 9 January 2027). Alerts send one short email, with the source, only when a rule changes on a route you pick.