Understanding Canada’s Trade and Investment Agreements

Free Trade Agreements (FTAs)

An FTA enables you to compete on a more even playing field with local firms in the FTA partner country. Under an FTA, a range of Canadian goods and services benefit from the reduction or elimination of tariff and non-tariff barriers to trade, such as quotas or technical barriers. It is important to note that each FTA covers different industry sectors and contains different provisions, depending on the FTA partner. For example, some of Canada’s more recent FTAs go beyond “traditional” trade barriers to cover business practices in labour mobility, intellectual property and investment.

Canada has free trade agreements in force with more than 10 countries, which provide a competitive advantage across a wide range of sectors. In addition, we’ve begun negotiations with more than 60 countries, including some of the world’s key markets.

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Foreign Investment Promotion and Protection Agreements (FIPAs)

A FIPA provides a transparent and predictable climate for you when your company is ready to invest abroad. FIPAs enable you to invest with greater confidence in the partner country. Canada has consistently supported strong, rules-based investment by negotiating FIPAs.

FIPAs also encourage foreign investment in Canada. Investments by foreign companies in Canada are creating jobs and prosperity across our country.

Canada has concluded or brought into force FIPAs with over 30 countries and is currently negotiating FIPAs with many others. In addition, investment protection is covered in many of our newer FTAs, eliminating the need for separate FIPAs.

See where Canadian businesses like yours can invest with confidence.