Canada, EU agree to modernize CETA and launch talks on digital trade deal
Canada signed an agreement with the European Union on Thursday to enhance their existing trade pact as Ottawa looks to expand global markets and reduce its reliance on the United States, Anadolu reports.
European Commissioner for Trade and Economic Security Maroš Šefčovič and Canada’s International Trade Minister Maninder Sidhu signed an agreement in Toronto to strengthen the Canada-European Union Comprehensive Economic and Trade Agreement (CETA).
The updated arrangement builds on CETA, which was negotiated between 2009 and 2016 and has been provisionally in force since 2017, excluding investment provisions.
Officials said the revisions are aimed at modernizing the pact and expanding economic benefits.
Alongside the signing, Canada and the EU launched talks on a separate digital trade agreement, which will eventually be incorporated into the updated CETA framework.
The government of Prime Minister Mark Carney said the revised deal could benefit several professions, including architects, and improve access to the EU’s $1.1 trillion construction market. The two sides also plan closer cooperation in pharmaceutical manufacturing, with the goal of reducing costs by eliminating duplicate inspections.
However, the updated agreement still requires ratification by all EU member states before it can fully take effect. Countries yet to ratify include Belgium, Bulgaria, Cyprus, France, Greece, Hungary, Ireland, Italy, Poland, and Slovenia.
Carney is currently touring several countries to pursue new trade agreements as Canada seeks to diversify its markets. At present, about 77% of Canadian exports go to the United States.
Earlier, it was reported that Canada and India signed a major nuclear energy supply deal.
