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Duty free: Details surfacing on trade pact between Canada and E.U.
Today, The conservative federal government tabled a report in the house of commons detailing some of the negotiation between Canadian and European leaders, shedding some light as to what we can expect from this landmark trade agreement.
Elimination of duty
It is expected that up to 98% of duty on European goods will be removed day one the trade agreement comes into effect and will take about a year to get up to 99% – mostly agricultural products will remain dutiable.
Wine and Spirits About 1 in every 2 bottles of wine imported to Canada comes directly from the E.U. and with the removal of trade barriers, Canadians can expect to enjoy these exotic beverages at a reduced price. Alcoholic exports to the E.U. should see a nice jump when the pact comes into effect as well.
Automotive industry over the first 5 years of the trade deal, Canadian can expect to see the removal of duty on cars and trucks made in the E.U., reducing the price of foreign made cars but increasing the competition for North American made brands. The deal will also recognize specific European car standards making imports to Canada a little easier.
Seafood Products Part of the trade agreement will see Canada removing the need for minimum processing requirements; meaning fish caught in Newfoundland & Labrador will no longer be processed there before going out for export. Almost all seafood tariffs (duty) will be removed day one of the agreement, with the rest of them slated to be removed within the first 7 years.
for more information on Canadian Trade agreements or Canada Customs related issues, please refer to the CBSA website
stay tuned importers and exporters, more to come!