Thailand and Canada aim to conclude FTA talks by end of 2027
Thailand's proposed trade pact with Canada aims to widen market access for exporters and small firms beyond the ASEAN–Canada framework.
- Thailand and Canada have commenced negotiations for a bilateral free trade agreement (FTA), aiming to conclude the talks by the end of 2027.
- The primary goal of the agreement is to provide Thai exporters with wider access to the Canadian market, expand investment opportunities, and strengthen supply chains.
- Negotiations cover a comprehensive range of topics, including market access for goods and services, digital trade, labor practices, environmental standards, and intellectual property.
- This bilateral FTA is designed to supplement the broader regional ASEAN-Canada Free Trade Agreement (ACAFTA), offering additional benefits for Thai businesses.
Thailand and Canada aim to conclude negotiations on a bilateral free trade agreement (FTA) by the end of 2027, according to Thailand’s Department of Trade Negotiations. The first round took place in Toronto, Canada, on October 26–30 2026.
Kwanapa Phivnil, deputy director-general of the Department of Trade Negotiations and head of the Thai negotiating team, said the proposed pact was intended to give Thai exporters wider access to the Canadian market and expand investment opportunities.
Thailand’s Cabinet approved the negotiating framework for the bilateral FTA with Canada on September 29 2026.
Thailand–Canada pact aims to add to regional agreement
The Thailand–Canada FTA is intended to deepen bilateral economic cooperation and add to the benefits of the regional deal being negotiated by the Association of Southeast Asian Nations (ASEAN) and Canada, Kwanapa said. The aim is to help Thai businesses make full use of both agreements and gain wider access to the Canadian market.
The successful conclusion of talks on the ASEAN–Canada Free Trade Agreement (ACAFTA) was expected to be announced at the ASEAN Summit in mid-November 2026, according to Kwanapa.
Thailand–Canada talks cover market access and digital trade
Thai and Canadian negotiators discussed market access for goods, services and investment, digital trade, labour practices, the environment and intellectual property during the Toronto talks.
The Thailand–Canada negotiating agenda also covered competition policy, government procurement, technical barriers to trade, sanitary and phytosanitary measures, and trade facilitation.
Thai exporters and small firms could gain new opportunities in Canada
The Department of Trade Negotiations expects the bilateral FTA with Canada to expand opportunities for agricultural products, processed food, industrial goods and services.
Closer supply-chain links and cooperation with Canada in technology and innovation could strengthen the competitiveness of Thai businesses, particularly small and medium-sized enterprises (SMEs), and help them make greater use of opportunities created by trade liberalisation, according to the department.
Canada had a gross domestic product (GDP) of approximately US$2.32 trillion in 2025 and has a population of about 41 million, according to figures cited by the department. Kwanapa identified Canada’s strengths in technology, industry and innovation as further opportunities for economic cooperation.
The proposed Thailand–Canada FTA could help Thai companies expand their markets, spread trade risks and strengthen economic ties with North America, according to Kwanapa. The Department of Trade Negotiations also expects the agreement to create a more favourable business environment, strengthen investor confidence and encourage investment in sectors where both countries have shared potential.
Thailand–Canada trade rises 20.5% in January–July 2026
Thailand–Canada trade reached US$2,634.80 million in January–July 2026, up 20.5% from the same period a year earlier, according to figures cited by Kwanapa.
Thailand’s bilateral trade with Canada totalled US$3,919.73 million in 2025, an annual increase of 21.6%. Thai exports to Canada were valued at US$2,591.71 million and imports from Canada at US$1,328.02 million, according to the Department of Trade Negotiations.
Thailand’s main exports to Canada included computers, equipment and components; steel and steel products; canned and processed seafood; rice; and rubber products.
Canadian data cited by the department put Thai direct investment in Canada at US$643 million in 2025, including energy and processed food businesses. Canadian direct investment in Thailand totalled US$448 million in the same year, including aviation, finance, technology and innovation.
