Canada’s Free Trade Agreements and Sanctions October 13, 2017 Canada’s Free Trade Agreements and Sanctions Did you know? Canada’s total trade is worth more than two-thirds of its GDP and approximately 75% of this value occurs between countries that have engaged in a Free Trade Agreement. Canada currently has 28 Free Trade Agreements at varying stages of implementation. NAFTA The North American Free Trade Agreement (NAFTA) is the largest free trade region in the world. It is estimated that, by the end of 2014, the NAFTA area GDP surpassed $20 trillion Canadian dollars with a market of 474 million people. Renegotiation of NAFTA between Canada, the United States, and Mexico began on August 16, 2017. CETA The European Union (EU) is Canada’s second largest trading partner. The Canada-European Union (EU) Comprehensive Economic and Trade Agreement (CETA) was signed on October 30, 2016 and entered into force on September 21, 2017. Newfoundland and Labrador, Nova Scotia, Ontario, Quebec, and Prince Edward Island stand to benefit significantly from preferential access to the EU market, as it is already the second-largest export destination and second-largest trading partner for these five Provinces. CETA will eliminate tariffs on almost all exports and provide access to new market opportunities. Exporters will also benefit from improved conditions for export. Sanctions Canada imposes sanctions and other measures on specific individuals and entities to prevent the concealment and transfer of funds or assets used to finance terrorism. For more information on Canadian sanctions and the countries upon which they are imposed, please visit Global Affairs Canada. Importing or Exporting? When considering importing or exporting we recommend researching the country you plan to conduct business with to determine the Free Trade Agreement status. To assist you, we provide a quick reference guide to Canada’s Free Trade Agreements and Sanctions, including those in force as well as those under negotiation or being explored. Due to ongoing changes to trade legislation, we suggest checking the listed websites or visiting Global Affairs Canada regularly. For more information on free trade agreements or any matters related to your Import/export requirements, please contact us.