Benefits for British Columbia

What is CETA?

• The Comprehensive Economic and Trade Agreement (CETA) is a free trade agreement between Canada and the European Union, covering virtually all sectors and aspects of Canada-EU trade.
  • Prior to CETA’s provisional application, only 25 percent of EU tariff lines on Canadian goods were duty-free.
  • Following CETA’s provisional application, the EU removed tariffs on 98 percent of its tariff lines.
  • After seven years, the EU will have eliminated tariffs on 99 percent of its tariff lines.
• For service providers, CETA grants the best market access that the EU has ever provided in a free trade agreement.
• CETA helps create middle-class jobs, strengthen economic relations with the EU, and boost Canada’s trade with the world’s second-largest market with over 500 million consumers and a $22 trillion GDP.

Benefits for Companies from British Columbia:

• Under CETA, 98 percent of EU tariff lines are immediately duty free for BC goods, including for medical devices, ICT products, metals and minerals, forest goods, and most fish and seafood.
• Improved access to the EU for BC service suppliers in areas such as forest management services, environmental & engineering services, research and development services, ICT services and technical consulting services.
• Enhanced labour mobility for business-related travel.
• Ability to bid on procurement contracts at all levels of EU government.
• Greater certainty, transparency, and protection for investments.

To learn more about CETA, visit our website: www.international.gc.ca/CETA.

The Canadian Trade Commissioner Service provides expert advice and key contacts for exporters, partners and investors.

Contact a Trade Commissioner today: tradecommissioner.gc.ca

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Source: Statistics Canada

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• 2016: $2.0 B
• 2015: $1.7 B
• 2014: $1.8 B
• 2013: $1.7 B
• 2012: $1.9 B

Source: Statistics Canada

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• Forestry: 28%
• Metals & Minerals: 25%
• Aerospace: 9%
• ICT: 8%
• Machinery & Equipment: 6%
• Other: 24%

Advanced Manufacturing

• CETA makes goods manufactured by BC companies more competitive in the EU market by eliminating tariffs on a wide range of products, including:

• BC exporters will be able to have certain goods (such as electrical equipment and machinery and parts) tested to EU standards by a certification body in Canada, and the results of the tests will be recognized by the EU, thereby avoiding testing duplication and reducing costs. 

Fish and Seafood

• The EU is the world’s largest importer of fish and seafood, accounting for 28% of global fish and seafood imports in 2016.
• CETA helps make fish and seafood exports from BC more competitive in the EU market.
• Before CETA, EU tariffs on fish and seafood products averaged11% and could be as high as 25%. Following CETA’s provisional application, the EU eliminated tariffs on almost 96% of its fish and seafood tariff lines, with remaining tariffs to be phased out over 3, 5 or 7 years. For products of interest to BC’s fish and seafood industry:

Forestry

• The EU is the world’s third largest importer of forest products and presents new opportunities for the region’s producers.
• Under CETA, BC’s forestry exports enjoy duty-free, quota-free market access to the EU, including for products such as:

• Under CETA, BC service suppliers benefit from open markets to provide technical expertise in a wide range of areas, including: wood lot management, mapping, surveying, re-forestation, timber evaluation, forest damage assessment, and logging-related services.
• CETA makes it easier for the region’s highly-skilled professionals to conduct business and provide forestry-related services in the EU.
• CETA could provide new access to the EU procurement market, valued at $3.3 trillion annually, in a broad range of forestry services of interest to BC, including: supply chain analysis and optimization, forest resources inventory and remote sensing, mapping and data processing, forest management and operation logistics, turn-key plant set-up and modernization, and manufacturing management and control.
• For procurement opportunities, suppliers are now able to access tender notices for all CETA-covered procurements using the Tenders Electronic Daily portal (TED, at ted.europa.eu).

Information and Communications Technology (ICT) Services

• The EU market holds significant potential for BC ICT companies.
• Businesses that provide services related to technical testing and analysis, data processing, communication, and software implementation are now able to compete on an equal footing as EU service suppliers and receive better treatment than most of their non-EU competitors.
• CETA’s labour mobility provisions make it easier for professionals in the ICT and video game sector to conduct business and work temporarily in the EU.
• In the area of e-commerce, CETA includes a permanent moratorium on customs duties, fees, or charges for digital products transmitted between Canada and the EU.
• Enhanced access to EU government procurement also provides opportunities for BC businesses in a broad range of ICT services, including: technical testing and analysis, data processing, maintenance and repair, and software consulting, design and implementation.
• For procurement opportunities, suppliers are now able to access tender notices for all CETA-covered procurements using the Tenders Electronic Daily portal (TED, at ted.europa.eu).

Innovation

• In CETA, Canada and the EU have agreed to strengthen cooperation in science, technology, and research and innovation.
• BC service suppliers in a wide range high-tech fields, including in environmental services, engineering services, technical testing and analysis services, and research and development services, now benefit from better access to the EU market.
• Of interest to BC’s fast-growing clean-tech sector, CETA opens up access to procurement by European public utilities in the areas of drinking water, electricity, gas, and heat and offer new opportunities for companies providing environmental services.
• CETA encourages enhanced cooperation at all levels of government, including promoting private sector investments in science and technology development, and fostering partnerships between Canadian and EU universities, research centers, and civil society.
• Under CETA, new intellectual property protections for innovators also make Canada a more attractive environment for EU companies investing in life sciences.

Metals and Mining

• The EU is the world largest importer of metals and minerals and its consumption has grown rapidly over the past decade.
• Under CETA, BC’s metals and minerals and mining equipment producers enjoy duty-free, quota-free market access to the EU, including:

• BC’s mining industry benefits from preferential access to provide technical and advisory services in the EU. Service providers from the region can now compete on equal footing with EU service providers and receive better treatment than most of their non-EU competitors.
• CETA’s temporary entry provisions make it easier for professionals in the mining sector to conduct business in the EU, for example, to attend meetings, negotiate sales, and provide engineering and technical consulting services.
• CETA spurs investment by providing Canadian and EU investors in the mining industry with greater certainty, transparency, and protection for their investments.