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How Do I Become A Bonded Canadian Highway Carrier (DIY Customs Consulting)

Last updated 21 July 2026

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This article is part of the Customs Compliance Guide

A bonded Canadian highway carrier is permitted to transport in-bond goods beyond the first point of arrival (FPOA) in Canada. Bonded status allows a carrier to move commercial goods to an inland CBSA office or sufferance warehouse, move goods in transit through Canada, and participate in certain programs or movements that require bonded status.[1]

Bonded carriers and freight forwarders must post financial security with the Canada Border Services Agency (CBSA) so they may transport in-bond goods beyond the first point of arrival.[2] CBSA's highway carrier guidance directs bonded highway carrier applications through the CBSA Assessment and Revenue Management (CARM) Client Portal (CCP).[1]

Bonded vs Non-Bonded

A non-bonded highway carrier must have all shipments released at the first port of arrival in Canada unless a single trip authorization or another applicable process is used.[1] If a non-bonded carrier needs a bond for a single trip, CBSA states that it may apply for a single trip authorization by posting security or using a customs broker that provides the service.[1]

A bonded highway carrier may transport in-bond goods beyond the first point of arrival in Canada and between points in Canada.[1] This allows the carrier to continue inland with unreleased goods when CBSA rules and the shipment process allow the movement.

Why Become Bonded

A bonded Canadian highway carrier can:

  • move commercial goods to a CBSA office or sufferance warehouse inland, instead of having every shipment released at the border;
  • move goods in transit through Canada, such as using Canada as a corridor between two points outside Canada;
  • support customers that require bonded carrier service;
  • apply for the Customs Self Assessment (CSA) Program and/or the Free and Secure Trade (FAST) program; and
  • reduce the need for one-time bonded transaction arrangements when ongoing bonded status is available.[1]

CBSA gives the example of U.S. to Canada to U.S. movements, where the bonded carrier uses Canada as a corridor and the goods are not released in Canada.[1]

Before You Enrol

CBSA's carrier code enrolment guidance tells carriers to prepare before enrolling by getting a shared secret code, registering in CARM, and having the required business number and CARM account access.[2] Carriers must also decide whether the business needs a bonded or non-bonded carrier code and must arrange financial security if applying as a bonded carrier.[2]

New carriers and freight forwarders must apply for a carrier code using their own portal BN9 account. Consultants cannot apply for a carrier code on behalf of clients using the consultant's BN9.[3]

Becoming Bonded

To apply to become a bonded highway carrier with CBSA, the carrier must:

  • register for an account in the CARM Client Portal;
  • complete the application in the CCP;
  • post security with CBSA in the form of a Customs Bond or another method listed in Memorandum D1-7-1; and
  • once the carrier code is received, apply to transmit Advance Commercial Information (ACI) to CBSA and complete the testing process.[1]

CBSA states that the required security amount for bonded highway carriers is $5,000 to $25,000, with the required amount found in Memorandum D3-4-2.[1] CBSA also states that security may be posted in the form of a Customs Bond or another method listed in Memorandum D1-7-1.[1]

If the carrier already has a non-bonded carrier code, it should follow the current CBSA and CARM process for changing bonded status or linking the existing carrier code before attempting a new enrolment. Existing CBSA form pages, such as BSF722, still describe changing bonded status for existing CBSA carriers, but carriers should follow the current CARM and CBSA instructions for submission requirements.[4]

Financial Security

The amount of security required for bonded highway carrier operations is set by CBSA policy and varies by mode and operation. CBSA highway carrier guidance points carriers to Memorandum D3-4-2 for the required amount and to Memorandum D1-7-1 for accepted security methods.[1]

Financial security protects the Crown where the bonded carrier is responsible for unreleased or in-bond goods. The bond or other accepted security must remain valid and sufficient while the carrier is conducting bonded operations.

D120 Customs Bond

CBSA Form D120, Customs Bond, is used when security is posted in the form of a customs bond. The D120 form states that the principal and surety jointly and severally bind themselves in the stated amount to the Crown, and that the principal acknowledges it must furnish and maintain security in the amount noted.[5]

The D120 form includes fields for the bond number, activity to be secured, relevant legislative authority, bond amount, period of validity, location, principal and surety information, signatures, seals, witnesses, and related bond conditions.[5] The form also provides that a surety may terminate the obligation by giving the CBSA office holding the security 30 days' notice by registered mail, subject to the continuing liability conditions stated in the bond.[5]

Because the D120 is a legal financial security document, carriers should make sure the legal business name, security amount, surety information, signatures, seals, and power of attorney information match CBSA requirements. Incorrect or incomplete bond documents may delay bonded carrier approval.

After Approval

Once CBSA approves the bonded carrier application and issues or updates the carrier code, the carrier must complete the steps needed to transmit ACI/eManifest data to CBSA and pass the testing process before transmitting live highway pre-arrival data.[1] Highway carriers transporting goods into Canada must transmit cargo and conveyance data electronically to CBSA before arrival unless an exemption or exception applies.[1]

After bonded approval, the carrier may review whether it qualifies for other programs or workflows, such as CSA, FAST, or the Marine Overland Movement Program. CBSA's marine application guidance notes that the Marine Overland Movement field is completed only by a bonded carrier that wishes to forward freight in-bond from a Canadian port to a destination within Canada.[6]

BorderConnect Usage

In BorderConnect, bonded carrier status affects which Canadian shipment processes the carrier can use in ACI eManifest. A bonded carrier can move qualifying in-bond freight beyond the first point of arrival, while a non-bonded carrier generally requires release at the border or a single trip authorization.[1]

When entering an ACI eManifest, the carrier should make sure the carrier code, shipment type, Cargo Control Number, port, warehouse, and destination details match the intended bonded movement. If the shipment is moving inland for release or examination, the destination warehouse or CBSA office should be confirmed before the manifest is transmitted.

Bonded status may also matter for shipments moving in transit through Canada, marine overland movements, and other workflows where unreleased goods are not being released at the first port of arrival. BorderConnect users should confirm the movement type with the importer, broker, freight forwarder, warehouse, or CBSA before filing.

Common Mistakes

  • Applying as non-bonded when customers require inland movement or in-transit service.
  • Assuming a non-bonded carrier can move unreleased freight inland without a single trip authorization.
  • Filing an ACI eManifest with the wrong carrier code or bonded status.
  • Providing a D120 bond with an incorrect legal name, bond amount, surety information, or signature.
  • Forgetting that ACI transmission testing is still required after the carrier code is issued.
  • Moving freight to the wrong inland warehouse or destination office.
  • Assuming bonded status replaces the need for correct shipment reporting, release, or warehouse documentation.

Official Resources

References

  1. ↑ 1.00 1.01 1.02 1.03 1.04 1.05 1.06 1.07 1.08 1.09 1.10 1.11 1.12 1.13 CBSA: Highway carriers
  2. ↑ 2.0 2.1 2.2 CBSA: Get a CBSA-issued carrier code - Get ready to enrol
  3. ↑ CBSA: Get started with CARM
  4. ↑ CBSA: BSF722 - Changing bonded status for existing CBSA carriers
  5. ↑ 5.0 5.1 5.2 CBSA Form D120: Customs Bond
  6. ↑ CBSA BSF329-4: Application to Transact Marine Operations with the CBSA
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