Opportunities and Benefits of CETA for Canada’s Metal and Mineral Exporters
How does CETA benefit Canadian mining exporters?
- While most Canadian metals and minerals already enter the EU duty-free, under CETA, all Canadian metals and minerals will enjoy duty-free, quota-free market access to the EU.
- Prior to CETA, EU tariffs for metals and minerals could be as high as 10%.
- Canadian service providers in the mining sector also benefit from various provisions in CETA, including temporary entry and trade in services.
- Canada has a preferential trade advantage with the EU that many competitors won’t have.
| Product | Pre-CETA tariff | Under CETA |
|---|---|---|
| Aluminum and aluminum products | up to 10% | 0% |
| Nickel and nickel products | up to 3.3% | 0% |
| Copper and copper products | up to 5.2% | 0% |
| Lead and lead products | up to 5.0% | 0% |
| Zinc and zinc products | up to 5.0% | 0% |
| Other non-ferrous metals (including tungsten, tin, titanium, zirconium, cobalt) | up to 9.0% | 0% |
| Other mineral products (including sulfur, magnesia, lime) | up to 3.0% | 0% |
Temporary entry
- CETA provisions make it easier for short-term business visitors, intra-company transferees, investors, contract service suppliers, and independent professionals to conduct business in the EU.
- While variations exist across Member States, CETA includes temporary entry commitments related to activities such as: meetings or consultations; research and design; marketing research; training seminars; trade fairs and exhibitions; sales; purchasing; after-sales or after-lease service; and commercial transactions.
- There are also commitments in CETA specifically related to mining advisory services and engineering and integrated engineering services (eliminating the requirement of an economic needs test for some markets, for example).
Trade in services
- CETA establishes greater transparency in the EU Services market, resulting in better, more secure and predictable market access in areas of interest to Canada, such as engineering and integrated engineering; technical testing and analysis services; and services incidental to mining.
- Canadian service suppliers and firms are on equal footing with their EU competitors, and CETA commitments on cross-border trade in services guarantee access for Canadian service suppliers in the EU market in activities related to the mining sector.
Rules of origin and customs procedures
- For processed metal and mineral products and mining equipment, 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.
Under CETA, Canadian exporters of metals and minerals and mining services 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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