Canada-UK Free Trade Agreements

Two Agreements

Canadian businesses have access to two free trade agreements when conducting business with the United Kingdom.

This dual-track access allows Canadian exporters and service providers to choose the agreement and rules of origin that provide the most strategic advantages for their operations. 

Canada-UK Trade Continuity Agreement (Canada-UK TCA)

In effect since April 1, 2021, this bilateral agreement preserves the core benefits of CETA following Brexit. It eliminates 99% of tariffs on Canadian goods and provides robust market access for services, investment, and public procurement. [1, 2, 3]

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

Following the ratification of the UK's accession protocol, the terms of the CPTPP officially came into effect between Canada and the UK on September 1, 2026. [1, 2]

United Kingdom: Code 35

Following the UK's accession to the trade pact, the CBSA issued Customs Notice 26-22, introducing a dedicated code for British goods. 

Importers bringing eligible goods into Canada from the United Kingdom, the Channel Islands, or the Isle of Man under this framework must use Code 35 (Comprehensive and Progressive United Kingdom Tariff - CPUKT)

If a product imported from the UK does not qualify under the Canada-UK TCA, could it still qualify under the CPTPP?

A product imported from the UK can absolutely qualify under the CPTPP even if it fails to qualify under the Canada-UK TCA. Because both agreements run concurrently as independent options, businesses have the flexibility to evaluate their supply chains under two distinct sets of criteria.

The CPTPP introduces several key strategic advantages that allow goods to clear the origin threshold when bilateral agreements fail:

1. The Cumulation Advantage
The Canada-UK TCA is a strictly bilateral agreement, meaning it only counts materials and production from Canada and the UK toward qualifying status. In contrast, the CPTPP features full cumulation across all 12 member economies. 

2. Different Product-Specific Rules (PSRs)
Even if a supply chain does not involve third-party countries, the baseline Product-Specific Rules (such as the exact percentage required for Regional Value Content or the precise rules for a Change in Tariff Classification) vary significantly between the two agreements. A product that falls just short of the threshold defined by the TCA framework might successfully meet the alternative testing criteria dictated by the CPTPP.