The present disclosure provides an apparatus and a method for canceling inter-modulation (IM) products in a transceiver. The apparatus includes: a pre-distortion circuit configured to estimate a first IM product caused by a transmission signal and pre-distort the transmission signal to cancel the first IM product; an IM product calculator configured to calculate a second IM product caused by the transmission signal in a received signal based on the first IM product; and a subtractor configured to subtract the second IM product from the received signal.