CETA: Why Now Is the Right Time to Sell in Canada
In short: Since 2017, the Comprehensive Economic and Trade Agreement between Canada and the European Union (CETA) has removed customs duties on the vast majority of goods traded, opened part of Canada's public procurement and made business travel easier. For a European SME, it is a real advantage over competitors from Asia or elsewhere, especially as Canadian buyers look to diversify their suppliers.
CETA in a few numbers
The agreement has been provisionally applied since September 21, 2017, for most of its content. According to the Government of Canada, 98% of tariff lines became duty-free when it entered into force, rising to 99% at the end of the transition period.
In practice, most European industrial goods enter Canada duty-free, provided they meet the rules of origin.
What the agreement changes for a European SME
1. More competitive pricing
Without customs duties, your delivered price in Canada gets closer to that of local and US suppliers. On technical products where duties used to add several percentage points, the difference is real.
2. Access to Canadian public procurement
Above certain thresholds, CETA opens federal, provincial and municipal tenders to European companies. It was a first for a trade agreement signed by Canada. Hospitals, municipalities and Crown corporations are significant buyers, provided you master local bidding rules.
3. Easier business mobility
The agreement covers the temporary entry of business people: business visitors, intra-company transferees and contractual service suppliers. Sending a technician or a sales director to Canada becomes simpler.
4. Recognition of conformity assessment
For certain product categories, the agreement allows recognized bodies to test and certify products against the other party's requirements. This can reduce time and cost to market. Check whether your product category is covered: Canadian standards (CSA, Health Canada, etc.) remain the reference.
Why now is the right time
Since 2025, trade tensions with the United States have pushed many Canadian companies to review their supply chains and look for other suppliers. A European manufacturer arriving with a proven product, duty-free access and an offer in French and English stands out as a credible diversification option.
This context does not replace the sales work: you still need to find the right buyers, adapt the offer and build trust. But doors open more easily.
Points to watch
Rules of origin. To benefit from zero duties, your product must qualify as originating in the EU under the agreement's rules. The exporter certifies this with an origin statement on the invoice; above a certain value, the exporter must be registered in the EU's REX system.
Canadian standards. Duty-free access does not replace certification: electrical products, medical devices, chemicals and food products have their own requirements.
Canada is not the United States. CETA covers Canada only. A European product shipped through Canada to the US does not benefit from the Canada–United States–Mexico Agreement (CUSMA).
Language. In Quebec, the Charter of the French Language governs labelling, commercial documents and websites.
Where to start
Check your products' tariff classification and eligibility under the agreement with your freight forwarder or a customs broker.
Identify the Canadian standards and certifications that apply.
Validate demand with a few Canadian buyers before investing in a local structure.
Frequently asked questions
Is CETA permanently in force?
The agreement has been provisionally applied since 2017 for most of its content, including the provisions on customs duties and public procurement. Some parts, such as the investment protection chapter, are awaiting ratification by all EU member states.
My company is Swiss or British: does CETA apply?
No, CETA covers EU member states. Switzerland benefits from a free trade agreement with Canada through EFTA, and the United Kingdom from a trade continuity agreement. The rules differ: check them for your case.
Are services covered?
Yes, the agreement includes commitments on trade in services and the recognition of some professional qualifications. Conditions vary by profession and province.
This article provides general guidance current as of September 2026. For business decisions, confirm the details with a customs broker or an international trade advisor.
SPAK helps European companies grow their sales in Quebec and Canada: market validation, B2B prospecting and sales structuring. Book a free consultation.
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