CETA: Expanding Canadian exports to the EU
The Canada–European Union Comprehensive Economic and Trade Agreement (CETA) entered into force on September 21st, 2017. From October 2017 to July 2018 (latest data available) Canadian exports to CETA rose 3.3% when compared to a year earlier.
Top 5 Fastest Growing Merchandise Exports to EU*
(October 2017-July 2018 vs year earlier)
|Merchandise Exports to EU|
|Motor vehicles & parts||96.0%|
|Mineral fuels & oils||45.8%|
* Exports with a value of less than $125 million in the October*nbsp;2017 to July 2018 period were excluded.
However, there are some sectors where Canadian exports to the EU have seen much greater gains, with the five largest being aluminum (up 206%), motor vehicles and parts (up 96%), inorganic chemicals (up 78%), pharmaceuticals (up 46%) and mineral fuels and oil (up 45%)1.
The top two export growth categories—aluminum and motor vehicles and parts—are areas where CETA has reduced or eliminated Tariffs:
- The increase in Canadian exports of aluminum to the EU was led by gains in non-alloyed unwrought aluminum. Under CETA, 3% tariffs on non‑alloyed unwrought aluminum have been eliminated.
- Rising Canadian exports of motor vehicles and parts was driven by gains in passenger vehicles. Under CETA 10% tariffs on passenger vehicles will be phased out to 0% by 2024.
ETA represents a great opportunity for Canadian exporters. With CETA, 98% of EU tariff lines are now duty‑free for Canadian goods. Once CETA is fully implemented, the EU will have eliminated tariffs on 99% of its tariff lines.
1 These are the fastest growing exports at the HS2 level. Exports with a value of less than $125 million in the October 2017 to July 2018 period were excluded.
- Date Modified: