UAE-Canada CEPA shows strength of bilateral ties: Sheikh Khaled

His Highness Sheikh Khaled Bin Mohamed Bin Zayed Al Nahyan, Crown Prince of Abu Dhabi, and the Right Honourable Mark Carney, Prime Minister of Canada, have witnessed the signing ceremony of the Comprehensive Economic Partnership Agreement (CEPA) between the UAE and Canada, marking a new phase of economic partnership and cooperation, and providing an integrated framework to strengthen trade and investment flows between the two countries.

The agreement was signed as part of the official visit of the Crown Prince of Abu Dhabi to Canada.

Dr Thani Bin Ahmed Al Zeyoudi, Minister of Foreign Trade, signed on behalf of the UAE, while the Honourable Maninder Sidhu, Canada’s Minister of International Trade, signed on behalf of Canada, in the presence of ministers, senior officials, and trade and business leaders from both countries.

Sheikh Khaled noted that the signing of the CEPA between the UAE and Canada reflects the strength of bilateral relations and a shared commitment to their further advancement.

He affirmed that the UAE continues to work with Canada to build a long-term economic partnership that facilitates trade and investment, and creates new pathways for private-sector growth and innovation in both countries.

Sheikh Khaled emphasised the importance of concluding the agreement between the UAE and Canada to support mutual trade, strengthen investment and open new avenues for cooperation in priority sectors, helping diversify economic opportunities, enhance the competitiveness of both economies and serve their shared interests.

The agreement establishes a comprehensive framework to strengthen bilateral economic ties by reducing or eliminating tariffs on a wide range of goods, improving market access, streamlining customs procedures, facilitating trade in services, improving the investment environment and creating new pathways for cooperation between the business communities of both countries, following the completion of ratification procedures and the agreement’s entry into force.

The signing builds on the growing momentum in UAE-Canada economic relations. Bilateral non-oil trade reached C$5.9 billion, equivalent to approximately US$4.2 billion, in 2025, reflecting growth of 21 per cent compared to 2024 and 19 percent compared to 2023.

During the first half of 2026, bilateral non-oil trade reached approximately C$2.85 billion, equivalent to US$2.03 billion, growing 19 percent compared to the same period in 2025.

Canada is the UAE’s third-largest trading partner in the Americas, while the UAE is Canada’s largest Arab trading partner.

The agreement also reinforces the strategic economic partnership between the two countries, complementing the UAE-Canada investment framework, valued at up to C$70 billion, equivalent to US$50 billion, announced during the visit of the Right Honourable Mark Carney, Prime Minister of Canada, to the UAE in November 2025.

The framework aims to accelerate bilateral cooperation across sectors including clean energy, mining, artificial intelligence, agri-food, aviation, space and infrastructure.

The agreement is expected to create significant opportunities for exporters, investors and entrepreneurs in both markets, support supply chain resilience and strengthen commercial connectivity between North America, the Middle East, Africa and Asia. It will also provide businesses with greater certainty and stability, as well as improved access to two competitive, innovation-driven economies.

Dr Thani Bin Ahmed Al Zeyoudi, Minister of Foreign Trade, said the Comprehensive Economic Partnership Agreement (CEPA) between the UAE and Canada is expected to contribute approximately US$8.7 billion to the UAE’s gross domestic product (GDP) and increase UAE exports to Canada by around US$11.8 billion by 2033, highlighting its anticipated positive impact on both countries’ economies, trade and investment.

In statements to the Emirates News Agency (WAM) on the occasion of the agreement’s signing, Al Zeyoudi said it was the first CEPA the UAE had signed with a G7 member country. He noted that work with other G7 countries had been completed, but the agreement with Canada was the first to be signed within the group.

He explained that the agreement provides for extensive trade liberalisation, covering approximately 99% of the total value of existing bilateral trade and 97% of all tariff lines.

Al Zeyoudi said the agreement builds on strong bilateral trade performance, with non-oil trade reaching approximately US$4.2 billion last year, representing growth of more than 22%. Trade also grew by 18% in the first half of this year compared with the corresponding period last year.

He noted that a wide range of goods would benefit from the agreement, particularly existing UAE exports to Canada, including iron, aluminium, metals, gold, certain electronic products, pharmaceuticals and food products.

Al Zeyoudi emphasised that the agreement places significant importance on services and investment, pointing to the scale of UAE investments in Canada. He recalled the announcement of US$50 billion in planned UAE investments in Canada during the Canadian Prime Minister’s visit to the UAE last year.

He also said UAE and Canadian companies are currently engaged in trade and investment negotiations valued at US$15 billion.

WAM