Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP)

On January 23, 2018, Canada and ten other countries agreed on the core elements of a new agreement and concluded negotiations for the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), formerly known as the Trans-Pacific Partnership (TPP). The CPTPP participating countries are: Australia, Brunei, Canada, Chile, Japan, Malaysia, Mexico, New Zealand, Peru, Singapore, and Vietnam. The
text of the agreement will be in three official languages: English, French and Spanish.


On March 8, 2018, the agreement was signed by the eleven participating countries. Implementation of the CPTPP is scheduled for 2018/2019. The agreement will enter into force 60 days after the date on which at least six, or at least 50%, of the number of signatories to this agreement have notified the Depositary in writing of the completion of their legal procedures.

Benefits of the CPTPP

By joining the CPTPP, Canada gains access to a trading bloc of 495 million people, and a combined GDP of $13.5 trillion, or 13.5% of global GDP.
The agreement will also benefit Canada’s existing trade agreements. Business can buy components or inputs from any country or collection of countries to make the goods or sell services into any other CPTPP country. CPTPP countries will eliminate over 95% of tariff lines representing over 98% of total trade and, over 99% of Canada’s exports. The vast majority of tariffs will be eliminated immediately upon entry into force of the Agreement. Canadian businesses will benefit from elimination of tariffs on Canadian exports in all industry sectors.

Duty Elimination time frame

As soon as the agreement comes into force 90% of tariffs on goods will be duty free. The Staging category for Canada is from implementation date to phase-in period to 12-year time frame duty reductions to duty free status.

Here is a list of category time lines:

  • Category EIF – Duty elimination date of entry into force;
  • Category B4 – Elimination in four annual stages to January 1 of year 4;
  • Category B6 – Elimination in six annual stages to January 1 of year 6;
  • Category B7 – Elimination in seven annual stages to January 1 of year 7;
  • Category B11 – Elimination in eleven annual stages to January 1 of year 11;
  • Category CA1 – Maintain at base rate during year 1 to year 8. Elimination in four annual stages starting in year 9. Duty-free January 1 of year 12;
  • Category CA2 – reduced to one-quarter of the base rate in year 1 and maintained at that rate through year 11 and shall be eliminated to duty free January 1 of year 12;
  • Category CA3 – reduced to a 5.5% duty rate on date of entry into force in year 1. Duty reduced to 5% in January 1 of year 2. Duty reduced to 2.5% duty rate January 1 of year 3. Duty rate 2% in year 4. Duty free in Year 5;
  • Category TRQ governed by the terms in Appendix A TRQ’s of Canada’s schedule to Annex 2-D.

For a more details about the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, benefits and key implementation dates, download the Free Trade Overview document.

Download CPTPP Overview