The Canada-Chile Free Trade Agreement

Creating valuable opportunities for Canadian businesses like yours

The Canada-Chile Free Trade Agreement gives a competitive advantage to Canadian companies in one of South America’s largest and fastest-growing economies. The agreement eliminates the majority of tariffs on Canadian industrial goods and most tariffs on Canadian agricultural and agri-food products. The agreement also creates a stable and predictable environment for Canadian investors.

Learn more about the free trade agreement with Chile and discover your next market today.

Canada-Chile Trade Relations

Merchandise trade between Canada and Chile has more than tripled since the agreement came into force in 1997, with two-way merchandise trade reaching $2.7 billion in 2011. In addition to new opportunities in traditional economic sectors, there are growing opportunities in emerging ones such as aquaculture, aerospace and defence, forestry, information and communications technologies, and life sciences.

Canadian direct investment in Chile is extensive and diversified. There are over 150 Canadian companies with investments in Chile.

Opportunities for Canadian Companies

The following sectors offer particular promise for Canadian companies:

  • agriculture and agri-food
  • education
  • energy and clean technologies
  • infrastructure and building products
  • metals, minerals and related equipment
  • services and technology


The agreement facilitates direct investment in Chile, giving Canadian firms a powerful competitive advantage. Canadian investments in Chile are protected by reciprocal, legally binding rights and obligations, as well as international arbitration to resolve disputes. According to the Chilean Foreign Investment Committee, Canada was the largest source of new direct investment in Chile during the last decade (2002-11). The principal sectors for Canadian investment are mining, utilities (water and energy), chemicals, infrastructure and financial services.

“Since [the] signing [of] that agreement, our sales have been a direct result of that reduction in tariffs,” said Marcello Iacovella, President and CEO of Wildfire Environmental, calling Chile the company’s “golden nugget.” “Wildfire’s business with Chile now makes up a quarter of the company’s export sales,” added Iacovella. Read the full success story.

For more information about new business opportunities or how the free trade agreement can help your company in Chile, check out market facts and reports for Chile on the Trade Commissioner Service website or contact a trade commissioner.

Additional Information

Contact Us

If you have questions or comments about this free trade agreement, please contact Foreign Affairs, Trade and Development Canada at:

Trade Policy and Negotiations Division I (TPE)
Foreign Affairs, Trade and Development Canada
Lester B. Pearson Building
125 Sussex Drive, Ottawa ON  K1A 0G2
Fax: 613-944-0757