Canada-UK Trade Continuity Agreement explained

• The Canada-United Kingdom Trade Continuity Agreement (Canada-UK TCA) does not expire. It replicates the main benefits of the Canada-EU Comprehensive Economic Trade Agreement (CETA) and created continuity in Canada’s trade with the UK when the UK left the EU.
• The Canada-UK TCA provides Canadian businesses, exporters and investors with preferential access to the UK market while upholding all of CETA’s high standards for workers and the environment.

What the Trade Continuity Agreement means for businesses

Opportunities for goods exporters: The Canada-UK TCA provides Canadian exporters with continued preferential access to the UK market and includes the elimination of 99% of tariffs on Canadian exports to the UK.

• Canadian exports subject to Tariff Rate Quotas^{Footnote 1} and Origin Quotas continue to have commercially meaningful market access to the UK market.
• The Canada-UK TCA fully protects Canada’s dairy, poultry and egg industries, and provides no new incremental market access for cheese or any other supply-managed products.
• Under the agreement, Canada and the UK ensure that their respective customs procedures are simple, effective, clear and predictable to reduce processing times at the border and keep trading costs as low as possible.
• The Canada-UK TCA includes CETA’s high standards related to sanitary and phytosanitary measures, technical barriers to trade, and to regulatory cooperation, and confirms each government’s right to regulate in the public interest.

Opportunities for exporters of services: The Canada-UK TCA provides access to the UK market for Canadian services companies under some of the best terms the UK has ever granted a trading partner. 

• The financial services provisions of the Canada-UK TCA help protect investments and lock in liberalization of the financial sector.
• The temporary entry of business people commitments are carried forward from the CETA and help support two-way trade. 
• The Agreement provides Canadian contractors with preferential access to the UK market.

Balanced approach to investment protection: The Canada-UK TCA provides important investor protections, while preserving the Government of Canada’s right to regulate in the public interest.

• Investment protections help to attract foreign investment and provide Canadians with more opportunities to invest abroad with confidence.
• The Canada-UK TCA’s investment dispute-resolution provisions are currently suspended.

Access to UK government-procurement market: The Canada-UK TCA guarantees Canadian suppliers access to procurement opportunities with the UK government.

• Canada and the UK have agreed to treat each other’s suppliers in a non-discriminatory, fair and transparent manner for covered procurements of goods, services and construction services above specified thresholds.

High standards: The Canada-UK TCA includes high standards related to labour, the environment and dispute settlement.

• The Canada-UK TCA also replicates CETA’s joint interpretive instrument, with the intention of advancing work on labour, the environment and other issues.
• Canada will continue to work with the UK to maintain strong and stable trading relationships that grow our economies and benefit our people, while protecting the environment.