ceta

CETA, the Comprehensive Economic and Trade Agreement, is a bilateral trade agreement between Canada and the European Union and its member states. Signed in 2016, it is designed to broaden trade and investment by reducing barriers, aligning rules, and expanding access to markets on both sides of the Atlantic.

The agreement covers goods, services, and investment, and includes chapters on government procurement, intellectual property, and regulatory cooperation. It aims to eliminate the majority of tariffs on goods and to establish rules of origin to ensure that preferential treatment applies to products that originate in Canada or the EU. CETA also seeks to improve market access for service providers, enhance investment protection, and provide a framework for sustainable development, including commitments related to labor, environment, and public health.

A key feature is the Investment Court System, designed to address investor-state disputes in place of traditional ISDS mechanisms, while preserving the ability of investors to seek redress for certain disputes. CETA also contains provisions on regulatory cooperation and transparency intended to facilitate trade while maintaining high standards in areas such as consumer safety and environmental protection.

Provisional application of most of CETA began in 2017 while ratification by all EU member states and Canada continued. Some parts, particularly the investment protection chapter, required full ratification by the respective parliaments before becoming fully enforceable. The agreement remains subject to ongoing domestic ratification processes in member states and Canada, with practical effect varying by sector and jurisdiction.

Reception has been mixed: supporters emphasize increased access to markets, job creation, and simplified procurement, while critics raise concerns about sovereignty, ISDS, and potential impacts on regulation, public services, and environmental protections.