International Transport Canada

What are the 7 Biggest Challenges in International Transport Canada Businesses Face Today?

Running a business that ships goods across borders sounds straightforward until reality hits. International transport in Canada involves far more moving parts than most businesses anticipate. From shifting tariff policies and customs bottlenecks to driver shortages and sustainability pressures, Canadian businesses are navigating a landscape that changes faster than ever. In this post, we break down the seven biggest challenges in international transport Canada businesses are dealing with right now, and what you can do to get ahead of each one.

Let’s Discuss 7 Challenges International Transport Canada Businesses are Facing

1. Tariff Uncertainty Is Disrupting International Transport Routes

Arguably, the single biggest disruptor right now is tariff volatility. In early 2025, the U.S. imposed 25% tariffs on a wide range of Canadian imports. Canada responded with counter-tariffs on select American goods. While Canada lifted most counter-tariffs on USMCA-compliant goods by September 2025, tariffs on steel, aluminum, and automotive goods remain in place. This includes car freight shipping and remaining active on both sides of the border as of 2026.

What This Means for Your Shipments

For businesses involved in car shipping or any automotive-related freight, the cost structure has shifted significantly. Even experienced shippers are getting caught off guard by unexpected duty charges at the border. The key is to verify USMCA compliance before each shipment and work with a licensed customs broker who stays current with the latest trade rules.

2. Customs Documentation Errors Cause Costly Delays

One of the most preventable, yet most common, challenges in cross-border logistics is documentation errors. A mismatched declared value, a vague product description, or a missing HS code is enough to trigger secondary inspection of your shipment. At congested border crossings, that means days of delay, not hours.

The Fix Starts Before the Truck Leaves

Businesses must prepare their commercial invoices, bills of lading, certificates of origin, and customs forms with precision. Furthermore, all documents must match exactly across all forms. Getting the paperwork right before departure is far cheaper than resolving it at the border. A good logistics partner reviews documentation proactively, not reactively.

3. Capacity Constraints During Peak Seasons

Securing freight space during peak periods remains one of the most frustrating challenges in international transport Canada. When demand spikes, capacity tightens quickly. Spot rates climb, transit times stretch, and last-minute bookings become expensive and unreliable.

Plan Earlier Than You Think You Need To

Businesses that treat logistics as a reactive function consistently overpay during peak seasons. Instead, building a forward-looking freight calendar with a reliable partner helps lock in capacity at predictable rates. Additionally, diversifying across road, rail, and intermodal options gives businesses more flexibility when one mode becomes constrained.

4. The CARM Portal and Evolving Compliance Requirements

Canada’s CARM (CARM customs portal) has continued to generate operational challenges for shippers and carriers since its launch. Transitioning to new digital reporting systems while managing live shipments creates friction, especially for smaller businesses without dedicated compliance teams.

Compliance Is Not Optional, It Is Strategic

Businesses engaged in regular international transport Canada need to treat compliance infrastructure as an investment, not an overhead cost. This means using experienced freight forwarders, staying up to date on regulatory changes, and maintaining digital records that are accessible at any time. The businesses that treat compliance as a strategic function experience fewer delays and lower exposure to penalties.

5. Rising Costs in Car Shipping and Automotive Logistics

The automotive sector faces a specific set of headwinds. Car shipping freight routes between Canada and the U.S. are under pressure from both tariff changes and reduced carrier availability. Vehicle exports from Canada declined alongside broader contractions in automotive production. This creates uneven lane economics and unstable truck utilization rates.

Specialized Freight Demands Specialized Partners

This shipping is not standard freight. It requires carriers with the right equipment, the right insurance, and deep knowledge of cross-border automotive compliance. Furthermore, with tariffs still in effect on motor vehicles moving in both directions, businesses shipping vehicles internationally need to work with partners who understand both the logistics and the regulatory landscape.

6. Driver Shortages and Labor Gaps Across the Supply Chain

The trucking industry across Canada continues to face a significant driver shortage. An aging workforce, high training costs, and growing demand for long-haul capacity are creating coverage gaps, particularly on international corridors. This challenge affects delivery windows, rate predictability, and service reliability across the board.

Technology and Partnerships Bridge the Gap

Businesses can partially offset the impacts of driver shortages by using intermodal solutions. This combines rail and road transport to reduce dependence on truck-only routes. Smart logistics platforms that use real-time route optimization and load-matching also help maximize the efficiency of available capacity. Working with a well-connected freight partner gives businesses access to a broader carrier network than they could build on their own.

7. Sustainability Pressure Is Reshaping Transport Decisions

Environmental compliance is no longer just a government priority. It is a business expectation. Transport Canada’s push toward a net-zero transportation system by 2050 is already influencing procurement decisions, carrier certifications, and port operations. For businesses involved in international transport Canada, ignoring sustainability is increasingly a competitive and regulatory liability.

Green Logistics Is Good Business

Businesses that proactively embrace sustainable freight practices reduce both their carbon footprint and their long-term operating costs. Additionally, sustainability credentials are becoming a requirement in supplier vetting processes for major buyers. Starting now positions businesses ahead of mandatory requirements rather than scrambling to meet them later.

Closing 

The challenges businesses face in international transport Canada today are real, layered, and fast-moving. Tariffs shift, regulations tighten, capacity fluctuates, and sustainability demands grow. However, businesses that treat logistics as a strategic function, rather than a last-minute cost, consistently outperform those that react rather than plan.

At Export Depot, we help Canadian businesses navigate the full complexity of international freight, from documentation and customs compliance to specialized automotive and long-haul container solutions. Let us handle the complexity so you can focus on growing your business.