Overview of the CPTPP
The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) offers Canadian beef and pork exporters preferential access and tariff reductions to key global markets.
Through this free trade agreement, Canada forms a trading bloc with 10 other countries that represent almost 500 million consumers and 13.5% of global GDP. So far, seven CPTPP signatories have ratified the Agreement:
- Canada
- Australia
- Japan
- Malaysia
- Mexico
- New Zealand
- Peru
- Singapore
- Vietnam
On December 30, 2018, the CPTPP entered into force between Canada and the first five countries to ratify the agreement (Australia, Japan, Mexico, New Zealand and Singapore). On January 14, 2019, the CPTPP entered into force between Canada and Vietnam, on September 19, 2021 the CPTPP entered into force for Canada and Peru, and on November 29, 2022 it entered into force for Canada and Malaysia.
The remaining signatories are Brunei Darussalam and Chile. The CPTPP will enter into force 60 days after a signatory notifies the CPTPP Depository that it has completed its ratification procedures.
Snapshot of key markets and CPTPP outcomes by product
Sources for all: CPTPP Agreement; Statistics Canada - CATSNET Analytics.
Honey
Market | Canada's exports in 2021 (C$) | CPTPP tariff reductions and outcomes) |
---|---|---|
Japan | 25.1 million | Tariffs will gradually be reduced from 25.5% to zero by April 1, 2025. |
Vietnam | 150 | Duty-free upon Entry into Force of the Agreement (EIF). Tariffs were 10% before the CPTPP. |
Singapore | 13,838 | Previously duty-free before the CPTPP. |
Rest of CPTPP | 0 | Australia, Brunei Darussalam, Chile, Malaysia, Mexico, New Zealand, Peru: Duty-free upon EIF, or previously duty-free. |
Maple products
Note: Maple products includes maple syrup and maple sugar.
Market | Canada's exports in 2021 (C$) | CPTPP tariff reductions and outcomes) |
---|---|---|
Japan | 33.5 million | Maple sugar: Tariffs have been gradually reduced from 20.80 Yen per KG to zero as of April 1, 2021. Maple syrup: Tariffs have been gradually reduced from 17.5%, or 13.5 Yen per KG (whichever is greater) to zero as of April 1, 2021. |
Australia | 23.7 million | Duty-free immediately. Tariffs were 5% before the CPTPP. |
New Zealand | 3.7 million | Previously duty-free before the CPTPP. |
Rest of CPTPP | 910,556 | Brunei Darussalam, Chile, Malaysia, Mexico, Peru, Singapore, Vietnam: Duty-free upon EIF, or previously duty-free. |
Additional information
Exporters looking for detailed information on all CPTPP outcomes and tariff reductions across all products and markets are encouraged to consult the Consolidated TPP Text, and the tariff schedules of Chapter 2 – National Treatment and Market Access for Goods, in particular.
Rules of origin, origin procedures and tariff rate quotas
Rules of origin
Rules of origin specify the amount of production that must be undertaken on a product in Canada, or a CPTPP market, for it to be considered “originating” and eligible for CPTPP's preferential tariff treatment.
Natural honey must be wholly obtained from live bees in the CPTPP territory. Honey wholly obtained from Canadian bees would meet the rules of origin.
Maple sugar and syrup for maple products must be wholly obtained from maple trees in the CPTPP territory. Maple syrup wholly obtained from Canadian maple trees would meet the rules of origin.
Origin procedures
Origin procedures are used to administer the rules of origin and enable the trade community to take advantage of the preferential tariff treatment afforded under CPTPP.
Importers may seek preferential treatment under the agreement, based on a certification of origin completed by the exporter, producer or importer. The certification of origin does not follow a prescribed format, but is required to contain a minimum set of data. This data can be placed on any commercial document, including the invoice.
Customs officials may require an importer to provide supporting documents or other information to support the certification of origin. Upon written request by an importer, exporter or producer, CPTPP countries will issue an advance written binding ruling with respect to the tariff classification and originating status of a product prior to import.
Additional information
Details on the CPTPP's rules of origin can be found in the text of the CPTPP agreement:
- CPTPP agreement - Chapter 3 – Rules of origin and origin procedures
- CPTPP agreement – Chapter 5 – Customs administration and trade facilitation
Requirements and considerations when exporting to certain CPTPP markets
While the CPTPP expands global opportunities for Canadian companies through tariff elimination and preferential tariff treatment, exporters should note that the CPTPP does not change the import requirements set by each individual market. These may include, but are not limited to, labelling, packaging needs, the level of additives allowed, and others.
Before exporting to a CPTPP market, exporters are encouraged to work with their importer to understand the regulatory and market access requirements that may apply to their products.
Exporters should also consult the following resources should they have questions or require information on other potential impediments to trade that may be applicable to their products in one or more CPTPP countries:
- their industry association
- the Canadian Trade Commissioner Service, especially Trade Commissioners in their market of interest
- Agriculture and Agri-Food Canada's Single Window for market access services, noted below
Support for exporters interested in CPTPP markets
Canadian exporters are also encouraged to take advantage of the following resources when they consider CPTPP opportunities:
- CPTPP for Agri-Food Exporters
- Find out what the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) is and how it can benefit your exports to its markets.
- Single window for market access services
- Contact AAFC's Market Access Secretariat at aafc.mas-sam.aac@agr.gc.ca for questions about CPTPP or accessing one of its markets.