New trade agreement between Canada and the European Union
CETA is a new trade agreement between Canada and the European Union. It will make it easier to import and export goods and services between Canada and the European Union, benefitting people and businesses in both Canada and the EU.
1. This client advisory is to inform you that the Canada–European Union Comprehensive Economic and Trade Agreement (CETA) will be implemented on September 21, 2017. With the exception of a few agricultural goods, the CETA will essentially eliminate the customs duties on all imports from a European Union (EU) country or other CETA beneficiary, either immediately upon implementation of the agreement, or through a tariff phase-out.
3. Pursuant to the CETA, a new preferential tariff treatment is being introduced, namely the Canada European Union Tariff. The newly assigned tariff treatment code is: Canada-European Union Tariff (CEUT) – Code 31.
4. For more information concerning CETA Origin Quota Textiles and Apparel products and associated permit requirements, consult Notice to Importers Serial No. 899 (http://www.international.gc.ca/controls-controles/textiles/notices_imp_avis/899.aspx?lang=eng) . Textiles and Apparel for Import to Canada from the European Union and its Member States (Items 86.98 and 86.99 on Canada’s Import Control List) published on the Global Affairs Canada website.
Proof of Origin
5. The required proof of origin is a statement and is referred to in the CETA Protocol on Rules of Origin and Origin Procedures section as the Origin Declaration. The Origin Declaration text is
contained in Annex 2 (see below). This Origin Declaration may be provided on an invoice or any other commercial document that describes the originating product in sufficient detail to enable its identification.
6. In order to claim the preferential tariff treatment accorded under the CETA, importers must have in their possession the Origin Declaration completed by the exporter in the EU country or other CETA beneficiary of export, as well as any necessary permits.
This client advisory is intended as an overview only, highlighting the future changes and benefits of trade between Canada and the European Union. To gain a more comprehensive understanding of the CETA, it is advised that importers review the agreement in its entirety prior to importing goods that may benefit from this agreement.