ASEAN and Canada Accelerate FTA Talks, Target Completion by 2026

ASEAN and Canada are accelerating negotiations on their Free Trade Agreement (FTA), with more than 50% of the talks completed and 10 chapters already concluded. These chapters include topics such as the temporary movement of individuals, small and medium-sized enterprises (SMEs), competition, customs procedures, trade facilitation, good regulatory practices, technical and economic cooperation, and sanitary and phytosanitary measures, as well as telecommunications services.

However, there are still significant differences on key issues such as trade in goods, rules of origin, standards, technical regulations, processes for certification and verification, e-commerce, investment, and sustainable trade and development.

Both sides are working to resolve these issues quickly, with the goal of concluding the negotiations by the end of 2026. This FTA will enhance economic opportunities for both regions, particularly in trade in goods, services, and investment, amidst the uncertain global trade environment and geopolitical challenges.

Thailand places great importance on the successful conclusion of this ASEAN-Canada FTA, as it will be Thailand's first FTA with a country from the North American region. In addition to the ASEAN-Canada FTA negotiations, Thailand and Canada are planning to open bilateral FTA talks, with Canada hoping to initiate negotiations by mid-2026.

Chotima Iamsawadikun, Director-General of the Department of International Trade Negotiations, Ministry of Commerce, revealed that the meeting's focus was on tracking and evaluating the progress of the negotiations under the established work plan. The project has now advanced over 50%, with 10 chapters concluded. Despite these achievements, there remain unresolved issues that need to be addressed.

The discussions will continue with the goal of accelerating the resolution of remaining issues, especially those related to trade in goods, e-commerce, and investment, which are crucial for the future of ASEAN and Canada's economic partnership.

In addition, the Thai government is working on the next steps to enhance bilateral trade relations, with Thailand's export to Canada in 2025 reaching 3.92 billion USD, showing a growth of 21.44% from the previous year.

Notable Thai exports to Canada include computers and components, steel products, canned seafood, rice, and rubber products. Major imports from Canada include electrical circuits, diamonds, gold, fertilizers, and machinery.

This agreement is poised to contribute significantly to both regions’ economies, expanding trade relations while navigating the evolving global landscape.