Canada and UAE sign trade pact and expand cooperation

Canada and the UAE launched a Strategic Partnership during the Crown Prince of Abu Dhabi’s visit to Ottawa. The two countries signed a Comprehensive Economic Partnership Agreement (CEPA) after 47 days of negotiations.

What the trade agreement would do

• Reduce or eliminate tariffs on more than 99% of current Canadian exports to the UAE once fully implemented.
• Address other trade barriers and expand access for goods and services in sectors including agriculture, forestry, seafood, engineering and manufacturing.
• Is expected to enter into force in 2027. Canada’s trade minister said the agreement aims to increase two-way trade from $3.4 billion to $7 billion over the next decade.

Other areas of cooperation

• A defence cooperation memorandum covers military training, joint exercises, cyber security and information exchanges, with a Joint Military Committee to guide the work.
• The countries announced commercial agreements involving a proposed transportation corridor linking the Port of Churchill, Hudson Bay Railway, CentrePort Canada and DP World’s logistics network, as well as an energy cooperation arrangement involving Masdar and Natural Resources Canada.
• Canada and the UAE will begin negotiations on justice and public safety instruments, including possible extradition and mutual legal assistance treaties.

The visit also advanced work connected to the UAE’s previously announced $70-billion investment commitment to Canada.