Tariff Rate Comparison
Lumber & Wood Products| Rate Type |  CanadaUSMCA |  GermanySave 25.0pp vs highestEU bilateral |
|---|---|---|
| MFN Base RateMost Favored Nation tariff | 2.50% | 2.50% |
| Section 122Emergency surcharge (expires ~Jul 24, 2026) | 0.00% | 0.00% |
| Section 232Steel & aluminum tariff | 10.00% | 10.00% |
| Section 301China-only additional tariff | N/A | N/A |
| Bilateral DealNegotiated rate replaces S122 | 35.00% | N/A |
| Total Effective Rate | 37.50% | 12.50% |
Rate Comparison by Product Category
| Product | Canada | Germany | Savings ($10K) |
|---|---|---|---|
| lumber wood products | 37.5% | 12.5% | $2,638 |
| industrial machinery | 37.0% | 17.0% | $2,110 |
| auto parts components | 38.0% | 28.0% | $1,055 |
| chemicals industrial compounds | 38.5% | 18.5% | $2,110 |
| pharmaceutical ingredients | 37.0% | 2.0% | $3,693 |
Trade Agreement Status
Canada is a USMCA member — qualifying goods enter the US duty-free at 0%. Germany has no bilateral agreement with the US and faces the standard Section 122 rate of 15% on most imports. For products under Section 232 national security tariffs, the bilateral deal or Section 122 rate does not apply — S232 rates govern instead. China-origin goods additionally face Section 301 tariffs that stack on top of all other duties, making trade agreement status a defining factor in the total tariff burden.
When to Source from Each Country
Germany offers lower tariff rates across all focus product categories in this comparison, making it the more cost-effective sourcing origin from a tariff perspective. Source from Canada when its supplier ecosystem, lead times, quality standards, or logistics infrastructure outweigh the tariff cost difference. Always model total landed cost — freight, insurance, MPF, and HMF — not just tariff rates, before making final sourcing decisions.
Full Landed Cost — $10,000 Shipment
Lumber & Wood ProductsCanadaFull Landed Cost Breakdown
Based on a $10,000 ocean shipment (FOB value)
GermanyFull Landed Cost Breakdown
Based on a $10,000 ocean shipment (FOB value)
Savings Analysis
On a $10,000 shipment of lumber wood products, importing from Germany saves $2,638 in duties compared to Canada — a 66.7% reduction in total import costs. Germany incurs $1,319 in duties on the $10,000 shipment, while Canada incurs $3,956. This difference compounds across larger order volumes and is a key factor in supplier selection decisions for importers sourcing lumber wood products.
Frequently Asked Questions
The total effective tariff rate on lumber wood products is 37.5% from Canada and 12.5% from Germany under current 2026 tariff policy. These rates include the MFN base rate, applicable Section 122 surcharge or bilateral deal rate, Section 232 duties for covered products, and Section 301 tariffs for Chinese goods. Use the CalcMyTariff.com calculator above to enter your specific invoice value and shipping details for a precise landed cost breakdown.
Yes, Canada is a member of USMCA (the United States-Mexico-Canada Agreement). Goods that qualify under USMCA rules of origin enter the US at 0% duty, bypassing the Section 122 surcharge and all other tariff layers. Non-qualifying goods from Canada face the applicable tariff rates.
Germany does not have a bilateral trade agreement with the US. Standard Section 122 surcharge rates apply on top of MFN base rates for imports from Germany.
Germany is cheaper for industrial machinery with a 17% total tariff rate, compared to 37% from Canada. On a $10,000 shipment, this 20% rate difference saves $2,000 in duties when sourcing from Germany.
Section 122, enacted in February 2026 for up to 150 days, imposes a global surcharge on most US imports. Canada's bilateral deal rate of 35% replaces the standard Section 122 rate. Germany is exempt from Section 122 for this product category. Note that Section 122 is scheduled to expire on July 24, 2026 — importers should model both current and post-expiry scenarios when planning shipments.