Customs tariffs: what impact for LICA Wear and our Canadian customers?

At LICA Wear , we like to offer you quality, well-designed products at the right price. But behind every item you receive, there is a whole logistics process, sometimes influenced by external factors such as customs tariffs . Many of you have asked us questions about this subject: does this impact us? Does this have an impact on prices? Do our products come from abroad? We explain everything to you here, in complete transparency.

What exactly is a customs tariff?

A simple definition

A customs tariff is a tax imposed by a country on goods entering it. The goal? To protect the local economy, regulate foreign trade, and sometimes generate revenue for the state.

In concrete terms, if a product is imported from abroad, it may be subject to fees upon entry into the country. These costs may then be absorbed by the company or passed on (in part or in full) to the final sale price to the consumer.

Why talk about customs tariffs at LICA Wear?

Even though we are a 100% Canadian brand, not all of our products are made here. Like many local companies, we have our products produced abroad for various reasons (availability of materials, manufacturing costs, quality of textiles, etc.), while ensuring that our designs are made in Quebec , with high standards.

We don't sell internationally yet , but we do import some components or finished products. And that's where import fees come into play.

Importing products into Canada: what it involves

The role of the CBSA

The Canada Border Services Agency (CBSA) is the agency responsible for collecting import duties and taxes. Once a product enters the country, it may be subject to:

customs duties (depending on the country of origin and product classification),
HST, GST or QST depending on the province,
brokerage fees (if a carrier like UPS or FedEx acts as an intermediary).

💡 Learn more: CBSA – Importing Commercial Goods

The rate of duty depends on several factors

Each product is classified according to an international tariff code (HS – Harmonized System). This code determines the applicable duty rate , which can vary between 0% and more than 20%, depending on:

the type of merchandise (e.g. clothing, accessories, shoes, etc.),
the country of origin ,
and current trade agreements (such as CUSMA, formerly NAFTA).

The case of LICA Wear: transparency about our choices

We work with carefully selected international partners, particularly for the manufacturing of our underwear . The design, product development, prototypes, and all branding are done here in Quebec. However, some manufacturing steps are carried out abroad, in factories that share our values of quality, ethics, and sustainability.

So, yes, we pay customs duties when importing , and that is part of our business model.

Why not produce everything in Canada?

It's a legitimate question. And the answer is nuanced.

Producing locally is a wonderful vision, one we actively support in many aspects of our business. But in the textile industry, the reality is complex :

Canada no longer has as many specialized garment factories , especially for technical underwear like seamless thongs.
Local production costs can be up to 3 or 4 times higher.
Some raw materials , such as high-quality stretch nylon or specific elastics, are simply not made here.

Our priority remains to offer you excellent value for money , while promoting Quebec design and maintaining high standards. Customs tariffs are therefore part of our reality, but they are integrated into our overall strategy.

Does this affect our prices?

A thoughtful balance

We choose not to artificially inflate our prices , even if we have to bear some import costs. This means that part of the costs related to customs duties are absorbed by us, without transferring them directly to customers.

This is also why we have an online model , without intermediaries, to maintain good value for money.

What if we sold to the United States? What would the impact be?

Even though we do n't yet sell to the United States , it's worth looking at the export issue. When Canadian companies sell to the United States, they must:

register with U.S. Customs and Border Protection (CBP),
provide accurate export declarations,
sometimes use a customs broker,
deal with US duties (even if they are often minimal thanks to the USMCA agreement ).

This represents a certain level of logistical complexity, but not a hindrance in itself. However, you must be operationally prepared, especially for managing returns, taxes, and delivery fees.

For now, we prefer to focus on our local market , where we can better support our community, deliver quickly, and offer a more personalized service.

Expanding to Canada: The Benefits of Staying Local

Focusing on the Canadian market has several benefits:

Fewer customs constraints , because there are no borders to cross between provinces.
Better management of delivery times , without customs delays.
Simplified returns for the customer.
And above all: we maintain our strong Quebec and Canadian roots , which are part of our identity.

How can you support a business like ours?

By purchasing from LICA Wear , you are supporting a company:

✅ founded by a local nutritionist,
✅ which focuses on local and thoughtful design ,
✅ who chooses suppliers according to rigorous criteria ,
✅ and which remains transparent about its production processes.

You are also supporting a company that contributes to the Canadian economy while assuming the costs associated with responsible production.

Conclusion: Customs tariffs, one element among others

Yes, customs tariffs have an impact on our daily lives. But they are neither an obstacle nor a reason to raise our prices excessively . They are part of the value chain, just like the choice of materials, transportation, or customer service.

As a proudly Quebec company, our mission is to offer you comfortable, well-designed and accessible products , while remaining true to our values. And that's exactly what we intend to continue doing – no matter the logistical challenges!