CPTPP Update

Apr 5, 2023 | News

Important News from Near North Customs Brokers regarding CPTPP

As of February 21, 2023 the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) entered into force for Chile. As a result, eligible Chilean goods imported into Canada are entitled to the CPTPP tariff treatment for duty reduction.

In addition, it has been announced that Britain is set to join a massive trade bloc that will also likely speed up negotiations on a bilateral deal between Ottawa and London.

The countries of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) have given the U.K. a green light to become the 12th country in the trading bloc, and the only one outside the Pacific Rim.

“It’s a good day,” International Trade Minister Mary Ng said in an interview. “We have always been supportive of the U.K., right from Day 1.”

Ng said Canada was the first member of the bloc to push for Britain to be included, though Japan has been facilitating the U.K.’s accession process, and London and Ottawa have sparred over allowing more beef exports to Britain.

“We share values. We have interoperability in many of our sectors. We essentially have collaborated throughout our history,” Ng said.

Since the deal launched four years ago, Ng said it has boosted Canadian exports to the bloc by nearly one-fifth, and by as much as 40 percent in Southeast Asia.

“If you look at countries like Vietnam, it just jumps out at you,” she said. “It’s a good agreement, but having the United Kingdom in there helps us do something else — on the net-zero industries of the future.”

British and Canadian officials said the move should speed up negotiations for a bilateral deal between the two countries since they’ve already established common ground on issues such as labour rights and supporting small businesses through the Pacific deal.

The Pacific deal has also sorted out some technical issues, which have reportedly included food-sanitation standards.

Ottawa and London have been operating under an interim trade deal since the U.K. left the European Union, but that post-Brexit deal expires next year.

Trade between Canada and the U.K. was worth more than $41 billion over the 12 months ending last September, according to the High Commission

Read the full CBC article here

If you have any questions, please don’t hesitate to reach out to Near North’s consulting team [email protected]nearnorthcustoms.com

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