Opportunities and Benefits of CETA for Canada’s Medical Device Exporters
How does CETA benefit Canadian medical device exporters?
- All EU tariffs on Canadian medical device products have been eliminated.
- Canadian service providers in the medical devices sector are on equal footing with their EU competitors and receive better treatment than most of their non-EU competitors.
- Canadian medical device companies also benefit from improved labour mobility provisions and expanded access to EU government procurement opportunities.
| Product | Pre-CETA Tariff | Under CETA |
|---|---|---|
| X-ray generators | 2.1% | 0% |
| X-ray tubes | 2.1% | 0% |
| Thermometers and pyrometers | 3.2% | 0% |
| Spectacles | 2.9% | 0% |
| Glasses for corrective spectacles | 3.0% | 0% |
| Frames and mountings for spectacles | 2.9% | 0% |
| Contact lenses | 2.9% | 0% |
| Dental floss | 4.0% | 0% |
| Surgical & medical gloves | 2.0% | 0% |
| Gauze | 5.8% - 8.0% | 0% |
Rules of origin and customs procedures
- CETA allows for access to advance rulings on the origin or tariff classifications of products.
- CETA seeks to simplify border procedures to make trade easier, more predictable, and transparent. For example, automated border procedures will be implemented where possible.
Labour mobility
- CETA provisions make it easier for short-term business visitors, intra-company transferees, investors, contract service suppliers, and independent professionals to conduct business in many EU Member States.
- This may include entry without the requirement of a work permit for 90 days in any six-month period for any of the following activities: meetings or consultations, research and design, marketing research, training seminars, trade fairs and exhibitions, sales, purchasing, aftersales or after-lease service, commercial transactions, translation and interpretation (some conditions apply in some Members States).
Government procurement
- Under CETA, Canada gains new access at the sub-central level (regions and municipalities), to procurement by local contracting authorities and bodies governed by public law (e.g. hospitals, schools, universities).
- CETA’s government procurement provisions cover a broad range of services that may be of interest to the medical devices sector, including repair of machinery and equipment, and technical testing and analysis.
Non-CETA related factors to keep in mind when exporting medical devices to the EU
- Any medical device that is to be marketed or sold in the EU must conform to the European Medical Device Directive and have a CE mark applied.
- Reimbursement systems determine which medical devices will qualify for reimbursement by a health insurance provider. Reimbursement systems are not uniform across the EU and will have varying rules, policies, and payment mechanisms. A Canadian company that wants to sell a medical device in an EU market should have an understanding of the characteristics and particularities of the local reimbursement system prior to export.
Under CETA, Canadian exporters of medical devices can now enjoy the advantages created from the agreement over competitors based in countries that do not have a preferential trade agreement in force with the EU.
For more detail on how CETA benefits your company, contact a Trade Commissioner today.
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