Joint Statement: CETA at five years – the cornerstone of Canada/EU economic relations

Today, Canada’s Minister of International Trade, Export Promotion, Small Business and Economic Development, the Honourable Mary Ng, and Executive Vice-President (EVP) and European Commissioner for Trade, Valdis Dombrovskis, co-chaired the third Canada-European Union Comprehensive Economic and Trade Agreement (CETA) Joint Committee.

Following five years of provisional application, Canadian and European businesses are reaping the benefits of CETA two-way trade having increased by over 30%. CETA has boosted job creation for both partners. The Joint Committee received a comprehensive assessment of the strong economic outcomes of the Agreement over the last five years. The Co-Chairs underscored that the positive economic performance under CETA is crucial in the current global context of heightening geopolitical tensions and Russia’s war in Ukraine, supply chain disruptions, food insecurity, the global energy crisis and the emerging economic recession.

The Co-Chairs emphasised that CETA is the cornerstone of Canada-EU economic, trade and investment relations. It is enhancing cooperation, spurring innovation, increasing competitiveness, creating jobs and contributing to the resilience of our shared supply chains. Today’s discussions highlighted collective efforts to implement and leverage CETA to ensure that its benefits are broadly shared. The Co-Chairs confirmed that it is complementary to our collaborative efforts to advance WTO reform and our shared commitment to the multilateral trading system.

Minister Ng and EVP Dombrovskis reviewed the ongoing work and achievements of CETA’s committees and dialogues. This important work, which has been a critical facilitator of economic growth and cooperation, includes: the publication of the Wines and Spirits Committee’s Joint Five Year Progress Report showing positive results; the signing of the Mutual Recognition Agreement (MRA) of the EU and Canadian Trade Partnership Programmes at the Joint Customs Cooperation Committee, which will increase supply chain security and facilitate bilateral trade; the conclusion of an MRA for Architects, which, once formally adopted, will further boost trade in services; and the positive progress made at the Regulatory Cooperation Forum.

The Co-Chairs also examined the progress made under the EU-Canada Strategic Partnership on Raw Materials. The Co-Chairs stressed the value of the significant cooperation underway, which is delivering new trade and investment opportunities and supply chain resilience. The Co-chairs reaffirmed their commitment to continue deepening cooperation in raw materials and value chain integration.

On Trade and Sustainable Development, the Co-Chairs highlighted that CETA provides an important opportunity to strengthen cooperation on clean technology and labour standards. The Co-Chairs supported the continued discussions on the early review of the TSD aspects of CETA. They also took note of the progress made implementing the Recommendations on Climate Action, Trade and Gender, and SMEs.

The Co-Chairs also emphasised the importance for continued work to address outstanding market access issues and to maximise benefits under CETA for both sides.

Looking ahead, the Co-Chairs also took note of the ongoing progress towards ratification of CETA by all 27 EU Member States, which is required before the Agreement’s investment protection provisions can be fully applied. They agreed to continue their constructive discussions on further clarifications with respect to these provisions, determined to work expeditiously toward a Joint Interpretative Statement for adoption by the Joint Committee.

Minister Ng and EVP Dombrovskis agreed to hold the fourth meeting of the CETA Joint Committee in the EU in early 2024 (TBC).