The short version
You can keep shipping to the US with Canada Post through Shopify once you activate duty collection for the United States, because Shopify's Canada Post page says every Canada Post label to the US must now be DDP, with duties paid before the parcel leaves.
Per that page, each of those shipments carries a $1.99 CAD processing fee inside the label price, on top of duties and taxes.
Add an HS code and a country of origin to every product, and choose whether customers see duties as a line item at checkout or you include them in your prices.
If you want US customers to pay duties on delivery instead, ship those orders DDU with DHL Express, or with Purolator after checking that Purolator Ground US appears when you buy a label.
The Quick Verdict
Decide who pays duties first, then find your row; the rest of the page is how to set up each route and what it costs.
Which route for your US orders
| Your situation | Pick | Why |
|---|---|---|
| You want to keep Canada Post for US orders | Activate duty collection for the US | Shopify then sells Canada Post DDP labels for orders placed after you activate it |
| You keep Canada Post but don't want duties added at checkout | Duties included in price; raise US prices if you don't want to subsidize tariff costs | Shopify says duty-inclusive pricing can minimize negative conversion impact |
| Your US customers should pay duties on delivery | DHL Express or Purolator, DDU | Shopify names both for DDU; before moving US rates to Purolator, check that Purolator Ground US appears when you buy a label |
| Your products qualify for CUSMA preferential rates | A commercial carrier such as DHL Express, DDP | Canada Post charges a flat duty rate by country of origin; commercial carriers can apply treaties |
| You ship on your own Canada Post account connected to Shopify | Shopify's Canada Post DDP, or another carrier | DDP labels can't be bought on your own account, even with your own Zonos account |
| You sell through Managed Markets | DHL Express or FedEx label through Managed Markets | Managed Markets orders can't ship with Canada Post |
If you ship from Canada with Canada Post through Shopify, a US order can now stall at the label. Shopify's Canada Post page says DDU shipments to the US are blocked at label creation, and a US shipping zone that offers only Canada Post carrier-calculated DDU rates has Canada Post DDU label purchase blocked at checkout. Per that page, the Canada Post labels to the US that do go through carry a $1.99 CAD processing fee inside their price.
All three come from one rule on that page: Canada Post shipments from Canada to the US must now go DDP, delivered duty paid, with duties pre-paid before the parcel ships, instead of DDU, where duties are left for the customer at delivery. This guide covers the two ways forward: turn on duty collection so Shopify sells you Canada Post DDP labels, or move US orders to a carrier that still ships DDU.
What Changed for Canada Post Shipments to the US
Key takeaway
Shopify's Canada Post page, whose situation table says Canada Post DDU shipping into the US is no longer available, states the rule and its date, August 29, 2025, in two sentences:
All Canada to United States shipments using Canada Post must be sent as DDP (Delivered Duty Paid). This requirement took effect on August 29, 2025.
Shopify's Canada Post page says that, to make it work, Shopify set up a partnership with Canada Post and Zonos for mandatory duty pre-collection on all shipments to the United States. Canada Post's Ship to the U.S. page explains the carrier side: it requires a Declaration ID, a 13-character code, as proof that duties were prepaid before it can generate a label for a US parcel.
On Shopify the DDP-only rule follows the carrier, not the destination: Shopify's Canada Post page names DHL Express and Purolator as carriers you can still ship DDU with. Managed Markets has a prepaid-duties requirement of its own, and that one is a rule of the service rather than a country's law.
Shopify's Canada Post page says the requirement took effect on August 29, 2025. Its Buying DDP shipping labels page and the label requirements page both say shipments from Canada to the US with Canada Post must be DDP starting August 28, 2025, and the changelog post of that day gives both: duty pre-collection effective August 28, 2025, and postal shipments to the US sent as DDP starting August 29. All four pages were read on November 10, 2026.
Both dates have passed, so the difference changes nothing you do today: per Shopify's Canada Post page, every Canada Post label to the US you buy now needs duty collection on the order.
What Is Blocked and What Still Works
Key takeaway
Shopify's Canada Post page and its DDP label page describe what each setup now produces. Find your row:
Canada Post to the US: what each setup produces
| Your setup | What happens | What to do |
|---|---|---|
| You haven't made Shopify's required changes for Canada Post | Your Canada Post labels to the US are blocked; DDU shipments are blocked at label creation | Activate duty collection for the US, or ship DDU with DHL Express or Purolator (check Purolator Ground US first) |
| Your Canada to US zone has only Canada Post carrier-calculated rates, and you ship DDU | Canada Post DDU label purchase is blocked at checkout | Add a flat rate, add DHL Express DDU rates, or switch to DDP with duty collection and DDP carrier rates |
| You collect duties, but DDU carrier rates are still in the zone | Customers might choose a DDU option at checkout, but duties are collected | Shopify suggests deactivating the DDU carrier rates: you can't buy DDU labels when duties are collected |
| The order was placed before you activated duty collection | No DDP label: DDP labels are available only for orders placed after activation | Activate duty collection before the next US order comes in |
| Duties were collected, but the carrier you picked has no DDP label in Shopify | You can't buy a label for that order through Shopify's carrier accounts | Shopify's two options: buy the label externally or refund the order |
| You ship on your own Canada Post account connected to Shopify | Canada Post DDU into the US is no longer available, and DDP labels can't be bought on your own account | Use a Shopify-supported carrier such as Canada Post DDP, DHL Express or Purolator (check Purolator Ground US first) |
Shopify Help Center: Shipping with Canada Post and Buying DDP shipping labels, read November 10, 2026.
When it is one international order that refuses a label while others go through, that case has its own walkthrough.
Keep Canada Post With DDP, or Switch Carriers?
Key takeaway
The choice turns on who pays duties, and when. With Canada Post, Shopify's Canada Post page now fixes the answer: duties are paid up front, by you or by your customer at checkout. If you want US customers to settle duties on delivery, the route goes through another carrier.
Shopify's label requirements page, read on November 10, 2026, lists four carriers for locations in Canada: Canada Post, DHL Express Canada, Purolator and UPS. Their duty options for US shipments differ, and of the four only Canada Post and DHL Express Canada appear on Shopify's list of carriers for DDP labels:
US routes from a Canadian location
| Route from a Canadian location | DDP label through Shopify | Duties paid on delivery (DDU / DAP) | What to know for US shipments |
|---|---|---|---|
| Canada Post | Yes, for US destinations only, once you collect duties | No: Shopify's Canada Post page says DDU shipments are blocked at label creation | Flat duty rate by country of origin, without CUSMA rates; per Shopify's Canada Post page, a $1.99 CAD processing fee on each shipment |
| DHL Express Canada | Yes | Yes | A commercial carrier: can apply HS codes and preferential treaties such as CUSMA |
| Purolator | No | Yes (DAP; the Canada Post page calls it Purolator DDU) | Shopify's Purolator page names Purolator Ground US for the United States; the label requirements page lists Purolator as domestic only |
| UPS | No: UPS isn't on Shopify's DDP label list | Shopify's UPS Canada page: duties, taxes and brokerage fees might apply to your customers | Shopify can't sell a UPS label for an order where duties were collected |
| Managed Markets orders | A DHL Express or FedEx label bought through Managed Markets | Not covered here | Canada Post can't ship Managed Markets orders |
Shopify Help Center: Buying DDP shipping labels, Shipping with Canada Post, and the DHL Express Canada, Purolator and UPS Canada carrier pages, read November 10, 2026.
The label requirements page lists Purolator for Canadian locations as "domestic only". Shopify's Purolator page says Purolator offers a Purolator Ground US service for shipping to the United States, and the Canada Post page lists Purolator DDU among the carriers you can keep selling with. All three pages were read on November 10, 2026.
If you plan to move US orders to Purolator, check that Purolator Ground US appears among the services when you buy a label, before you move your US rates to it.
DHL Express Canada is the one carrier that covers both answers: it supports DDP and DAP labels. UPS Canada ships to the United States, but Shopify says that if you use any carrier outside its DDP list with Shopify's carrier accounts, you can't purchase a label for orders where duties have been collected.
If you've activated Managed Markets, its international orders follow Managed Markets' own carriers: Shopify says they need a DHL Express or FedEx label purchased through Managed Markets, while Canada Post stays available for domestic orders and for international orders where you're the merchant of record. Which Managed Markets services carry DDP is covered in whether Managed Markets gives you a DDP label.
What a Canada Post US Shipment Costs Now
Key takeaway
Shopify's Canada Post page says each Canada Post shipment to the US includes a $1.99 CAD processing fee, captured within the label cost Shopify shows you and charged in addition to duties and taxes. The charges Shopify's pages list for a Canada Post DDP shipment:
What a Canada Post DDP shipment adds up to
| Charge | Who sets the amount | Where it shows up |
|---|---|---|
| Label postage | Shopify's account with Canada Post | The label price in your admin |
| Processing fee, $1.99 CAD per shipment | Shopify's Canada Post page: included in each Canada Post shipment to the US | Inside the shipping label cost Shopify shows you |
| Duties and import taxes | Estimated by Shopify at checkout; assessed by US customs at the border | The order's Duties line; paid by your customer or by you, depending on your display setting |
| Transaction fee for calculating duties | Shopify, as a percentage transaction fee on the order (rates below) | Every order with duties calculated at checkout, even when they come to zero |
| Duties adjustment | The carrier, after customs | The Bills section of your Billing page, labeled Duties adjustment |
Shopify Help Center: Shipping with Canada Post, Buying DDP shipping labels and Collecting international duties and import taxes at checkout, read November 10, 2026.
Canada Post's own Ship to the U.S. page, read on November 10, 2026 through the Internet Archive capture of October 27, 2026, says the U.S. executive order does not apply to goods over US$800: duties for these items will continue to be collected upon delivery (DDU), a Declaration ID must still be created for each shipment over US$800, and a note on the page reads "There is no processing fee applied to these shipments." Shopify's Canada Post page doesn't mention a US$800 threshold.
Calculating duties has a price of its own. As of November 10, 2026, Shopify says the transaction fee for calculating duties and import taxes has been temporarily lowered to 0.5% for all merchants, effective February 2, 2025, with no end date given. When that lower rate isn't in effect, Shopify's duties page sets the fee at 0.85% for stores whose primary gateway is Shopify Payments and 1.5% for stores on other payment providers.
The fee applies to every order with duties calculated at checkout, even when the amount is zero. Orders shipped to the store's own country, orders between EU member countries and abandoned checkouts aren't charged.
The processing fee is the easiest line to budget, because Shopify's Canada Post page gives it as a fixed amount per shipment: the fee for 100 US shipments in a month comes to $199 CAD, before postage, duties or taxes. Shopify's advice is to review your US market pricing to account for these changes.
How label charges work in general is in our breakdown of Shopify shipping label costs.
US duties are a separate system from the sales tax you charge Canadian customers; for GST and HST on your Canadian sales, see our guide to Canadian sales tax on Shopify.
How to Set Up Canada Post DDP Labels in Shopify
Key takeaway
The steps below follow Shopify's five required changes, plus the postal duty rates setting and the label-stage checks Shopify documents on its duties pages.
DDP shipping labels are available only for orders placed after you activate duty collection in your Shopify admin. A US order placed before that point doesn't qualify, so activation is the step to finish first.
Turn On Duty Collection for the United States
Key takeaway
These steps follow Shopify's page on collecting duties at checkout, with what our test admin showed on November 10, 2026:
- From your Shopify admin, go to Settings › Taxes and duties.
- In the Duties and import taxes section, click Set up.
- Confirm that your shipping carriers and third-party integrations support delivered duty paid (DDP).
- Select the shipping countries or regions where you want to collect duties: here, the United States. Our test admin on November 10, 2026, in a store with an address outside Canada, showed a Select markets list at this point instead, with no United States entry; in that store the United States sat inside the International market.
- Review the products flagged as missing HS codes and a country or region of origin, and add the missing information.
- Confirm that you've updated your store policy and notifications for international sales.
- Review the terms and conditions, then click Agree and activate. Our test admin on November 10, 2026 showed a Terms and conditions dialog that ends with Save instead.
- Settings
- Taxes and duties
- Settings
- Taxes and duties
Show Duties at Checkout or Build Them Into Prices
Key takeaway
Who pays the duties is set per market. The Shopify Help Center pages we read on November 10, 2026, on Canada Post, DDP labels and duties at checkout, describe no duty setting for one carrier only. Shopify's steps for a market, with what our test admin showed on November 10, 2026:
- From your Shopify admin, go to Markets and click the market that covers the United States.
- Click the + icon next to Taxes and duties. A preview shows what customers see at checkout.
- Activate Collect duties and import tax. By default the collection is set to Dynamic tax display and Show as line item. Our test admin on November 10, 2026 showed this toggle as Duties and import tax, with Tax display on Show as included and Duty display on Show as line item.
- For duties, keep Show as line item to add them to the customer's total, or select Duties included in price to pay them yourself.
- Click Done, review the terms of service and the transaction fee, click Done, then click Save in the top bar.
- Markets
- International
The two choices put the cost in different places:
- Show as line item: your US customer sees duties as a separate line at checkout and pays them there.
- Duties included in price: you pay the duties. Shopify's Canada Post page says you can minimize negative conversion impact with duty-inclusive pricing, and that if you don't want to subsidize tariff costs, you must also increase your US catalog prices.
Either way, the amount is an estimate. Shopify estimates import taxes and duties at checkout and pre-collects them, US customs assesses them at the border, and Shopify notes that tariff costs might vary.
Add HS Codes and Country of Origin to Every Product
Key takeaway
Shopify's Canada Post page asks you to use the bulk editor to add HS codes and country of origin to all products. Select your products in Products, open them in the bulk editor, add the HS code and country of origin columns, then fill both in and save. For a large catalog, Shopify's HS codes page points to a CSV file instead.
- Products
- Bulk editor
On a single product, both fields sit in the product's shipping details.
- Products
- Product
Why both fields matter, when Canada Post ignores one of them for the rate itself, comes down to how postal carriers calculate duty. Shopify's section on postal duty calculations puts the limit plainly:
Postal carriers must charge a flat tariff rate based on the country of origin, regardless of your product's Harmonized System (HS) code or CUSMA compliance status.
So even CUSMA-compliant products with proper documentation don't get preferential treaty rates through Canada Post. In Shopify's words, this is a limitation of the postal system and not an error in your setup. The carrier type decides what the duty rests on:
How duties are worked out by carrier type
| Carrier type | Examples Shopify names | What the duty is based on | CUSMA preferential rates |
|---|---|---|---|
| Postal carrier | Canada Post | A flat tariff rate based on the country of origin, regardless of HS code | Not applied, even with proper documentation |
| Commercial carrier | DHL Express | HS codes and preferential treaties | Can be applied |
| Reshipping service | ChitChats, Stallion Express | Treated as commercial carriers | Can be applied to shipping labels |
Shopify Help Center, Shipping with Canada Post, section on postal carrier duty calculations and CUSMA compliance, read November 10, 2026. Shopify names these services as examples, not as recommendations.
Keep the HS codes anyway. Shopify says HS codes might be required for customs clearance and commercial carriers use them for accurate duty calculations.
And Shopify's Canada Post page says that if a product doesn't have both an HS code and a country of origin, duties calculations aren't performed. Shopify's general duties page says otherwise for a missing HS code: calculations are then based on the product's description and product category instead. The two pages don't reconcile this, so fill in both fields.
Turn On Postal Duty Rates for US Checkouts
Key takeaway
By default Shopify calculates duties the same way for commercial and postal carriers, from your HS codes and country of origin. If you ship with a postal carrier such as Canada Post, Shopify's postal duty rates setting calculates duties for US packages ad valorem, on the value of the contents, and by country of origin, which Shopify says can result in lower duties and import tax:
- From your Shopify admin, go to Settings › Taxes and duties.
- In the Duties and import taxes section, click Manage.
- In the Related settings section, toggle Use postal duty rates into the United States.
- Click Save.
- Settings
- Taxes and duties
- Duties and import taxes
The setting needs a country of origin on each product. You can also set a default country of origin, which Shopify uses for any product without one.
Once activated, postal duty rates apply to all international checkouts with the United States as the destination, regardless of the shipping options available to your customers. If you also ship US orders with a commercial carrier, Shopify says you cover any difference in the duties and import tax customs authorities charge.
Review Your US Shipping Zone Rates
Key takeaway
Shopify asks you to review the US shipping zone so its rates reflect DDP carriers and collect enough from customers for your shipping strategy. If the zone offers only Canada Post carrier-calculated rates and you ship DDU, Shopify gives three ways to unblock checkout:
- Add a flat rate.
- Add DHL Express DDU carrier rates.
- Switch to DDP: activate Shopify's duty calculations and add DDP carrier rates to the US zone from carriers such as DHL Express or Canada Post.
Once you collect duties, Shopify suggests deactivating any DDU carrier rates still in the zone. Customers might pick a DDU option at checkout while duties are collected anyway, and you can't buy DDU labels when duties are collected. If the zone needs a new rate, the steps are in our guide to adding a flat, order amount or weight rate.
Buy the DDP Label and Check the Order
Key takeaway
Shopify's additional tasks for duties and its Canada Post page add these checks at the label stage:
- Check the Duties line. When duties are collected on an international order, a Duties line item is included in the order's details. Verify it before you buy a DDP label. An order with $0 duties can still ship on a DDP label; if a checkout error meant duties weren't collected, Shopify says to use a standard shipping label for that order.
- The Declaration ID takes care of itself. Shipments need a declaration ID confirming DDP was paid to Canada Post, but it doesn't need to be printed on the label; the duties-paid information and the ID are displayed when the label is scanned.
- Mark the commercial invoice DDP. Every international order requires a commercial invoice, and an order with paid duties is marked DDP in its terms of delivery.
- Pick a supported package. Shopify sells Canada Post labels only for box and soft package types: envelopes aren't supported, tube or cylindrical packaging isn't supported and might bring label adjustment fees from the carrier, and Regular Parcel rates aren't available for shipping labels.
- Orders
- Order
Checklist: Before Your Next US Label
Key takeaway
Step four is optional and fits stores where Canada Post carries most US orders; the rest apply to every store keeping Canada Post.
Canada Post to the US: DDP setup checklistTick each step as you finish it; your progress stays in this browser.
Canada Post to the US: DDP setup checklist
Tick each step as you finish it; your progress stays in this browser.
In Settings › Taxes and duties, click Set up in Duties and import taxes, confirm your shipping carriers and third-party integrations support DDP, select the United States, review the products flagged as missing HS codes and a country or region of origin, confirm your store policy and notifications are updated for international sales, then click Agree and activate.
Before you tick this off
- Shipping carriers and third-party integrations confirmed for DDP
- The United States is among the countries where duties are collected
- Products flagged as missing HS codes and a country or region of origin reviewed
- Store policy and notifications updated for international sales
- Activation happened before the next US order
In Markets, open the market that covers the United States, click + next to Taxes and duties, activate Collect duties and import tax, and keep Show as line item or pick Duties included in price.
Before you tick this off
- Duties display chosen for the US market
- US prices reviewed if you include duties in them
Use the bulk editor, or a CSV file for a large catalog, to give every product you sell to the US an HS code and a country of origin.
Before you tick this off
- No product shipped to the US is missing an HS code
- No product shipped to the US is missing a country of origin
If Canada Post carries most of your US orders, decide whether to turn on Use postal duty rates into the United States in Related settings.
Before you tick this off
- Decided whether postal duty rates suit your carrier mix
- Every product has a country of origin, or a default one is set
Make sure the US zone offers DDP carrier rates that cover your shipping costs; once you collect duties, Shopify suggests deactivating DDU carrier rates.
Before you tick this off
- The US zone has a rate customers can use
- DDU carrier rates deactivated, as Shopify suggests, once you collect duties
If you use a fulfillment partner in Canada, confirm it can generate Canada Post DDP labels.
Before you tick this off
- Fulfillment partner confirmed for Canada Post DDP labels, if you use one
Confirm the order shows a Duties line, mark the commercial invoice DDP, then buy the Canada Post DDP label in a box or soft package.
Before you tick this off
- The order shows a Duties line, even if it is zero
- The commercial invoice terms of delivery say DDP
- The package type is a box or a soft package
Own Canada Post Account, Apps and Fulfillment Partners
Key takeaway
Your Own Canada Post Account Connected to Shopify
Key takeaway
Connecting your own Canada Post account is third-party carrier-calculated shipping, which needs the Advanced or Plus plan, or on Grow a monthly fee or yearly billing. For US shipments, Shopify's Canada Post page draws the line in one sentence:
You can't buy DDP labels using your own shipping carrier account that you connect to Shopify, even if you have your own Zonos account.
The situation table on Shopify's Canada Post page says Canada Post DDU shipping into the US is no longer available, and points own-account shippers to Shopify-supported carriers that support international shipping into the US, such as Canada Post DDP, DHL Express DDP or DDU, or Purolator DDU.
Canada Post's Ship to the U.S. page adds from its side that using your own Canada Post account for carrier-calculated shipping isn't supported for US-bound shipments on Shopify, which has its own built-in integration with Canada Post and Zonos.
Return labels follow the same split: Shopify sells Canada Post return labels only at its own discounted rates, not on your connected account. What a connected carrier account changes at checkout and on the label for other carriers is in what your own carrier account changes.
Shipping Software and Partners Outside Shopify Labels
Key takeaway
For a fulfillment partner in Canada, Shopify's requirement is short: confirm that your fulfillment provider can generate Canada Post DDP labels. Everything in the list below comes from Canada Post's Ship to the U.S. page, read on November 10, 2026 through the Internet Archive capture of October 27, 2026.
- The rule is wider than the post. Canada Post says the regulations under Executive Order 14324 apply to all shipments by a business from Canada, whether sent through the postal channel, another courier or freight company, or the commercial channel.
- No Declaration ID, no label. Without a Declaration ID, Canada Post says you can't create a Canada Post shipping label for US shipments.
- Two ways to pay. Canada Post offers two methods of US duty payment for ecommerce merchants: automatic billing with Zonos, which it recommends, and paying duties manually per shipment in the Zonos App.
- Some systems are left out. Canada Post says its DDP solution is currently not available for merchants using a custom developed shipping system or a third-party shipping system.
If you've already collected duties from your customers at checkout, Shopify says you must buy a DDP label from one of the Shopify-supported carriers to pass those duties to customs. If you buy an external DDP label instead, your customers will likely be charged duties again on delivery.
The Shopify Help Center pages we read on November 10, 2026 describe Shopify labels and your own account connected to Shopify; for other shipping apps and integrations, the details come from Canada Post and the app's own documentation.
Returns and Duty Refunds
Key takeaway
Refunds and returns sit across three sources: Shopify's Canada Post page, Shopify's duties refund section and Canada Post's Ship to the U.S. page.
Returns and refunds on Canada Post US shipments
| Situation | What the source says | Source |
|---|---|---|
| A US customer sends an item back | Canada Post return labels in Shopify cover domestic returns within Canada only; you can't buy them for returns from the US | Shopify, Canada Post page |
| You refund duties on a fulfilled order | Up to you: you can refund the duties and import taxes to the customer | Shopify, duties tasks page |
| You refund an order that shipped on a DDP label | The funds you used to buy the DDP label aren't returned to you by the carrier | Shopify, duties tasks page |
| The parcel already cleared US customs | Not eligible for a duty refund | Canada Post |
Shopify Help Center (Shipping with Canada Post; Additional tasks for collecting duties and import taxes), read November 10, 2026, and Canada Post (Ship to the U.S.), read on November 10, 2026 through the Internet Archive capture of October 27, 2026.
The Bottom Line
Key takeaway
Per Shopify's Canada Post page, staying on Canada Post for the US now means staying DDP. The setup is a handful of settings, and its order matters more than its length: duty collection first, then product data, then the shipping zone, then the first label.
Frequently Asked Questions
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