While most Canadian
forest products already enter the EU
duty-free, upon CETA¡¯s entry into
force, all Canadian forestry
products will enjoy duty-free,
quota-free market access to the EU.
Current EU tariffs for forest
products range from 2% to 10%. The
EU is the world¡¯s third largest
importer of forest products ¨C $46
billion in 2015 or 14% of global
forest product imports in 2015.
Canada¡¯s advantage includes areas
where EU demand is strong. Key
exports from Canada, such as wood
pellets, sawn/sliced coniferous
wood, chemical wood pulp of
coniferous wood, and seat
components, have strong demand in
the EU.
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Canadian companies can benefit from provisions in CETA related to regulatory cooperation, government procurement, temporary entry, and trade in services. Canada will have a preferential trade advantage with the EU that many competitors will not have.
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According to Statistics Canada, the
main European markets for Canadian
softwood lumber in 2015 were UK with
56 thousand cubic meters, Belgium ¨C
64 thousand cubic meters, France ¨C
12 thousand cubic meters. The
supplies to EU very small in
comparison with export to USA (31
million cubic meters), China (6.5
million cubic meters) and Japan (2.3
million cubic meters).
In 2015 Canada has exported 1.2
million tonnes of wooden pellets to
UK, 85.5 thousand tonnes to Italy
and 14 thousand tonnes to Austria.