Today, the Honourable Anita Anand, Minister of Transport and Internal Trade, announced the upcoming removal of an additional 20 federal exceptions in the Canadian Free Trade Agreement (CFTA), reducing the number of federal exceptions from 39 to 19. The majority of exceptions removed relate to government procurement, providing Canadian businesses greater opportunity to compete across the country.
This action builds on the federal government's demonstrated leadership in strengthening commitments under the CFTA. In July 2024, the Government of Canada announced the removal or narrowing of 17 of its CFTA exceptions. Together, these successive reviews represent the removal of 64% of the Government of Canada's exceptions in the Agreement since it launched in 2017.
The removal of these barriers comes at a critical time, as Canada positions our domestic economy to respond to the threat of tariffs from the United States. Eliminating barriers to internal trade will reduce business costs, increase productivity, and potentially add up to $200 billion to the Canadian economy.
It's more important than ever that we work together at all levels - federal, provincial, territorial - to reduce the burden on businesses in Canada. That's why the Government of Canada is encouraging all provinces and territories to take similar steps to reduce their own exceptions under the CFTA.
The Government of Canada will continue to build on these successes and collaborate with provinces and territories to accelerate efforts to enhance internal trade and labour mobility across the country.
