Enforcement of cross-border cargo regulations has significantly increased during the Trump administration, causing delays and financial burdens that deter trade, according to industry experts. With a growing tariff barrier between the U.S. and Canada, customs procedures have become more rigorous, leading to heightened freight inspections and penalties.
Breanna Leininger, in charge of U.S. operations at Pacific Customs Brokers in Vancouver, noted a tenfold rise in documentation requests for shipped goods compared to previous years. The scrutiny on product classifications and trade agreements has forced importers to provide extensive paperwork, including labor and manufacturing records, with requirements shifting frequently.
Customs and Border Protection data confirms the uptick in audits, expected to rise by 26% this year compared to 2024. The agency collected $70.6 million in trade penalties in the first half of this year alone, marking a 169% increase from all of 2024 and a 53% surge from 2025.
These enforcement measures coincide with an escalating trade dispute between Canada and the U.S., resulting in additional tariffs imposed by both nations. The resulting delays at the border and increased administrative demands are driving up costs and hindering cross-border trade, according to Alan Dewar, the executive vice-president at GHY, a customs brokerage in Winnipeg.
Leininger highlighted the significant challenges faced by businesses in navigating these complex regulations, leading some to give up due to the overwhelming obstacles. U.S. Customs and Border Protection emphasized the importance of importers providing accurate information and complying with regulations to mitigate risks and ensure smooth trade operations.
