The Pitfalls and Promises of the Canada-European Union Comprehensive Economic and Trade Agreement

 

Daniel Drache and Stuart Trew

This paper analyses the text (CETA, 2010) in the areas of agriculture, services and investment, procurement, regulations, and manufacturing competitiveness. We find that market access would be marginal and adjustment costs high in all of these areas. Canada’s trade with the EU is already imbalanced, with resources comprising an increasing proportion or exports. Where Canadian manufacturing is already competitive, as in the case of transportation and aircraft, the CETA offers no new gains. If the goal of the CETA is to enhance Canadian competitiveness then the deal falls very short.

June 24, 2010