WT/TPR/M/389

21 August 2019

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Trade Policy Review Body

12 and 14 June 2019

TRADE POLICY REVIEW

CANADA

MINUTES OF THE MEETING

Chairperson: H.E. Mr. Manuel A.J. Teehankee ()

CONTENTS

1 INTRODUCTORY REMARKS BY THE CHAIRPERSON ...... 2 2 OPENING STATEMENT BY THE REPRESENTATIVE OF ...... 4 3 STATEMENT BY THE DISCUSSANT ...... 8 4 STATEMENTS BY MEMBERS ...... 10 5 REPLIES BY THE REPRESENTATIVE OF CANADA AND ADDITIONAL COMMENTS ...... 56 6 CONCLUDING REMARKS BY THE CHAIRPERSON ...... 64

Note: Advance written questions and additional questions by WTO Members, and the replies provided by Canada are reproduced in document WT/TPR/M/389/Add.1 and will be available online at http://www.wto.org/english/tratop_e/tpr_e/tp_rep_e.htm.

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1 INTRODUCTORY REMARKS BY THE CHAIRPERSON

1.1. The eleventh Trade Policy Review of Canada was held on 12 and 14 June 2019. The Chairperson, H.E. Mr. Manuel Teehankee (Philippines), welcomed the delegation of Canada, headed by Ms. Kendal Hembroff, Director General, Trade Negotiations, ; H.E. Ambassador Stephen Cornelius De Boer, Permanent Representative of Canada to the WTO; the rest of the delegation; and the discussant, H.E. Ambassador Juan Carlos Gonzalez (Colombia).

1.2. The Chairperson called Members' attention to the presence of the participants of the Advanced Trade Policy Course in French, who were very interested in attending this review meeting.

1.3. The Chairperson recalled the purpose of trade policy reviews and the main elements of procedures for the meeting. The report by Canada was contained in document WT/TPR/G/389 and that of the WTO Secretariat in document WT/TPR/S/389.

1.4. Questions by the following delegations were submitted in writing before the deadline: ; ; ; ; ; ; ; ; Colombia; ; Russian Federation; , ; ; Ukraine; ; ; ; and . The following delegations submitted written questions after the deadline: ; China; ; ; Ecuador; Philippines; ; Republic of Korea; and .

1.5. At the last Review in 2015, Canada had been commended for its open and transparent trade and investment regimes, with very few obstacles for its trading partners. Members had acknowledged Canada's leadership in the WTO in both the regular work and in the negotiation process, and its support to LDCs and small and vulnerable economies. Members had also welcomed Canada's tariff liberalization and simplification efforts, its commitment to accept and implement the TFA expeditiously, and the trade facilitating measures undertaken autonomously. Members had identified a number of areas where they thought improvement was possible.

1.6. It was noted, for example, that Canada's exports relied heavily on one market and a narrow product base. Regarding Canada's unique system of government, Members had inquired if there were plans to revise Canada's Agreement on Internal Trade (AIT) to ensure compliance with its international obligations. Other areas noted were the possibility of improvement in Canada's alcoholic beverage distribution and tax regime; the increasing use of trade remedies; and high tariff protection for some agricultural products. The continued use of export restrictions in certain sectors had been questioned, as was the process of pharmaceutical patent approvals. It was to be very interesting to hear from Canada what developments had taken place since the last Review with respect to these issues.

1.7. As the Secretariat and the Government reports note, during the current review period, the Canadian economy was characterized by moderate GDP growth, low , and a relatively stable federal government debt-to-GDP ratio. Canada's economy remained open and competitive, with the sum of exports and imports of goods equivalent to over two-thirds of GDP. Canada achieved a high standard of living, with GDP per capita of around USD 45,000.

1.8. Since its last Review in 2015, Canada's trade became more diversified, as exports of and fuels lost some share of the total, while those of machinery and transport equipment gained. Although trade became slightly more diversified geographically, Canada was still largely reliant on its main trading partner. To promote the diversification of trade, Canada recently launched a new Export Diversification Strategy to increase exports by 50% by 2025. Canada also took steps towards a more progressive and inclusive trade policy, by promoting gender equality, and adopting measures to foster the participation of women, SMEs, and Indigenous peoples in trade.

1.9. A major development during the review period was the replacement, in 2017, of the Agreement on Internal Trade (AIT) by the Canadian Free Trade Agreement, which has a broader scope and further aligns Canada's internal trade with its external regime, including with commitments made under new FTAs.

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1.10. Canada continues to be a strong supporter of the WTO and the multilateral trading system, and has been at the forefront of efforts on WTO reform. It is the leader of the Ottawa group, with a view to identifying ideas to enhance and improve the functioning of the WTO.

1.11. Canada continued to pursue FTAs as a means of trade liberalization and, during the review period, three new agreements entered into force or were being provisionally applied, with the European Union (CETA), Ukraine (CUFTA), and the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP) partners. Canada also signed the agreement revising the NAFTA, referred to in Canada as the Canada-United States-Mexico Agreement (CUSMA).

1.12. Canada's investment regime remained largely stable, with few substantial changes to the Investment Canada Act. However, the investment review threshold was raised, transparency was enhanced for national security reviews, and foreign ownership limits in the airline sector were raised from 25% to 49%.

1.13. Canada undertook a number of measures to facilitate trade, including using streamlined border processes through various programmes and stepping up the use of the Single Window Initiative.

1.14. Canada's average MFN applied tariff was 6.1% in 2019, compared with 6% in 2014. The average rate continued to be higher for agricultural goods, at 21.8%, while for non-agricultural goods, it stood at 2.5%. Slightly over 73% of tariff lines were duty-free.

1.15. Canada continues to be an active user of anti-dumping (AD) and countervailing (CV) measures. During the review period, there was an increase in the number of investigations initiated and in the number of measures applied. Canada introduced new legislation to implement "anti- circumvention" of AD and CV investigations, as well as new Scope Proceedings.

1.16. Canada remains one of the key players in the of agricultural products. Tariff protection in the sector remained high for certain products, and a tariff rate quota regime is applied to regulate market access; imports of these products require licences. The dairy sector is regulated through a supply management system that includes a production quota regime as well as price and imports controls. A new five-year policy framework, the Canadian Agricultural Partnership, was put in place in 2018 to provide support for investment in the sector.

1.17. With respect to services, the reports note that Canada's financial sector is solid and well-regulated. For the purpose of keeping the sector sound and up-to-date, statutes are subject to sunset reviews every five years. In , Canada embarked on a review of the three main laws in 2018 with a view to providing final recommendations by 2020. Canada's domestic and regional maritime transport system remains highly reliant on Canadian vessels and services, in part due to the limitation set in Canada's Coasting Trade Act, although there was some liberalization with respect to repositioning empty containers.

1.18. For this Trade Policy Review, Canada was very pleased to have received over 500 advance written questions. Other main areas of great interest to Members included: initiatives to facilitate trade; tariffs; national treatment in the application of excise duties; trade remedies, including procedures and number of investigations, steel safeguards, standards and SPS measures; Crown corporations; objectives and preferences in government procurement; and changes in intellectual property legislation, entry into force of IP treaties, and IP enforcement procedures.

1.19. The Chairperson was sure that these topics, and others, would be touched upon in greater detail at the deliberations on Wednesday and Friday.

1.20. The Chairperson closed his introductory remarks by wishing Canada a very successful eleventh Trade Policy Review.

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2 OPENING STATEMENT BY THE REPRESENTATIVE OF CANADA (MS. KENDAL HEMBROFF)

2.1. Mr Chairperson, it gives me great pleasure to be here to represent Canada at our Eleventh WTO Trade Policy Review. Canada thanks all those who have taken part in this important process.

2.2. Canada also extends its warm thanks to Ambassador Juan Carlos Gonzalez, Permanent Representative of Colombia, whom we are honoured to have as our discussant. And we thank all the Permanent Representatives and delegates who are participating here today.

2.3. I would like to acknowledge the WTO Secretariat for its hard work in producing a very thorough and detailed Secretariat Report. Consistent with past reviews, we appreciated the opportunity for frank and productive discussion with your dedicated team throughout this important trade policy review process.

2.4. Trade drives Canada's economy. While Canada represents just 0.5% of the world's population, we account for 2.4% of global trade in goods and services. One in six Canadian jobs is linked directly to exports.

2.5. Spurred by an international trade policy framework that prioritizes trade diversification and inclusion, two-way trade in goods and services accounts for almost 66% of Canada's GDP.

2.6. Canada is proud of the role that it has played in helping to build a multilateral trading system that is based on the rule of law and has resulted in the creation of freer and more open trade.

2.7. At the time of Canada's last Trade Policy Review in 2015, the financial crisis and ensuing global downturn, including the decline in the price of important such as oil, dampened Canada's economic prospects.

2.8. Canada made a choice at that time to re-invest in its people and in innovative practices that included improved skills-training for workers, increased infrastructure spending, and fostering science and research. Canada has also continued to pursue open and liberal markets through comprehensive free trade agreements, support for the rules-based trading system at the WTO, and various types of unilateral liberalization measures.

2.9. Despite the global rise of protectionism and growing trade tensions, which have added uncertainty to the global economic environment, Canada continues to voice support for the rules-based multilateral trading system, seek new trading partners, and remains committed to helping its businesses take advantage of opportunities in new markets abroad.

Support for the multilateral trading system

2.10. The WTO constitutes a critical part of Canada's international trade policy engagement. As , we believe stronger trade deepens trust and friendship between countries and shrinks the distance between us.

2.11. That is why Canada's Minister of International Trade Diversification has convened a small group of 12 other diverse, but like-minded, Members to discuss pragmatic and realistic ideas to modernize and strengthen the WTO, now known as the "Ottawa Group". Since last October, Ministers have met three times, most recently in Paris on 23 May. There was also an informal meeting of some Ottawa Group members last week in Japan.

2.12. Beyond the Ottawa Group, Canada is working to update the WTO's rule-book to ensure that the rules reflect 21st century realities. For example, Canada is advancing negotiations on subsidies and agriculture and is engaged in all of the Joint Statement Initiatives, including discussions on e-commerce and domestic regulation of services.

2.13. Canadians have shown themselves united in confronting the challenges of growing protectionism. Our efforts signal to the world that trade matters, that rules matter, and that we will not be drawn into the world of protectionism.

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Trade diversification

2.14. Canada has also pursued an ambitious trade diversification agenda, including through the negotiation of comprehensive free trade agreements. This has resulted in a few notable accomplishments including provisional application of CETA — Canada's free trade agreement with the European Union, which marked its one-year anniversary this past fall; bringing into force the CPTPP with key Asia-Pacific trading partners; and signing the Canada-U.S.-Mexico Agreement, or CUSMA, which will modernize NAFTA once it enters into force.

2.15. Last fall, we welcomed our Ukrainian counterparts to Ottawa for the inaugural Canada-Ukraine FTA Joint Commission, which celebrated the first anniversary of our free trade agreement.

2.16. This past February, Canada brought into force a modernized and inclusive free trade agreement with Chile, making Canada the first country to adopt a Gender chapter in a free trade agreement.

2.17. And, last month, Canada ratified its modernized and inclusive FTA with Israel – improving on what was already a great trading relationship.

2.18. Finally, Canada is actively pursuing opportunities in other important and fast-growing markets and is making inroads: Canada is engaged in FTA negotiations with the Pacific Alliance and MERCOSUR, and is exploring possible FTA negotiations with ASEAN.

2.19. Taken together, Canada now has 14 FTAs in force covering 51 countries, connecting our businesses to 1.5 billion of the world's consumers and two thirds of global GDP.

2.20. In addition to including investment chapters in its FTAs, Canada negotiates stand-alone bilateral investment treaties that we refer to as FIPAs, or Foreign Investment Promotion and Protection Agreements. These investment treaties aim to provide greater predictability and certainty for Canadian investors considering investment opportunities abroad.

2.21. Following public consultations, Canada is currently in the process of modernizing its FIPA model to bring it in line with the government's inclusive trade and investment agenda.

2.22. While this degree of market access is impressive, Canadians understand that market access alone does not guarantee jobs and prosperity. Encouraging Canadian businesses of all sizes and all sectors to become global exporters is a national priority.

2.23. Canada's trade diversification agenda aims to ensure that we are maximizing growth at home by fully capitalizing on emerging economic opportunities abroad.

2.24. To that end, the Government has launched a Trade Diversification Strategy aimed at helping Canadian businesses take advantage of hard-won access to overseas markets.

2.25. The Strategy sets an ambitious target of increasing overseas exports by 50% by 2025, and aims to position Canada as an even more globally-connected economy in the years ahead.

2.26. In Canada's previous Trade Policy Review, the WTO noted that removing additional barriers to investment would reverse the trend of Canada's declining share of FDI. We have taken steps to address this. In fact, 2018 marked a 60% increase in FDI flows to Canada at a time when global capital flows into OECD countries dropped by 23%.

2.27. In March 2018, the created Invest in Canada, an agency whose focus is to streamline and encourage global investment into Canada by providing services that make it easier for global companies to choose Canada for their next business expansion.

Inclusive trade

2.28. While Canada remains a keen supporter of the multilateral trading system, we also recognize the concerns that fuel protectionist thinking and rhetoric, including the fact that the benefits of trade are not being fairly distributed.

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2.29. Canada is proposing an inclusive approach to trade, aimed at ensuring that all sectors of society can take advantage of the opportunities that flow from trade and investment agreements.

2.30. This approach includes stepping up public engagement in trade policy, seeking provisions in our trade agreements to protect and strengthen workers' rights and the environment, promoting gender equality and women's empowerment through increased participation in international trade. In addition, we are promoting opportunities for traditionally underrepresented groups, such as small and medium-sized enterprises (SMEs) and indigenous peoples, to participate in international trade.

2.31. For example, we believe that the link between trade and gender is an important consideration, and that is why Canada has sought gender provisions in our newest FTAs. Canada also has a longstanding Business Women in International Trade program - or BWIT - which provides targeted support and services to export-ready and export-active women-owned businesses to better exploit supplier-diversity and other global commercial opportunities. Over the past decade, more than 1,500 women-owned businesses have participated in BWIT-led trade missions and initiatives.

2.32. Canada is spearheading similar work here at the WTO, where we actively championed the WTO Joint Declaration on Trade and Women's Economic Empowerment, which was endorsed in December 2017 by over 120 WTO Members and Observers. In this regard, we were pleased to organize the very first workshop, on trade and gender-based analysis, to be held under the auspices of the Declaration.

2.33. Finally, Canada has committed to ensuring that all of Canada's international trade and investment agreements are subject to a comprehensive analysis of gender impacts through Gender Based Analysis Plus (GBA+) assessments.

2.34. Canada has also prioritized its relationship with Indigenous peoples based on recognition of rights, respect, cooperation, and partnership. During the review period, Canada has sought to increase the opportunities for Indigenous people to benefit from international trade and investment, while preserving their constitutionally protected rights.

2.35. Canada has also sought to include SMEs in its inclusive approach to trade. SMEs comprise 99.7% of Canadian businesses. However, as of 2017, only 11.7% actively export goods and/or services.

2.36. Canada aims to boost FTA utilization by SMEs through the inclusion of dedicated SME chapters that contain general provisions that recognize the importance of SMEs to the economy and facilitate cooperative activities and information sharing. The CPTPP, CUSMA, and the modernized Canada-Israel FTA all contain SME chapters.

2.37. Please now allow me to summarize several important trade-related changes to our domestic regime since our last Trade Policy Review. These include Canada's ratification and accession to several important multilateral IP treaties such as the World Intellectual Property Organization (WIPO) Marrakesh Treaty and the WIPO Hague Agreement, as well as implementing certain IP provisions in trade agreements like CETA and CPTPP.

2.38. Canada has also taken measures to modernize our sanitary and phytosanitary (SPS) approach, moving towards a more preventive and systems-based approach - which will allow for better adaptation to emerging risks and global and scientific trends – while improving client access through electronic services and information on regulatory compliance. And, seeking to avoid barriers to trade and the promotion of regulatory cooperation, Canada has set out guidance for regulators to take into account international trade considerations when reviewing or developing regulations.

2.39. Finally, the Canadian Free Trade Agreement, or CFTA, entered into force in July 2017 and introduced important advancements to Canada's internal trade framework that have enhanced the flow of goods and services, investment and labour mobility within Canada. The CFTA also better aligns Canada's domestic trade commitments with those in its international agreements, such as CETA.

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Conclusion

2.40. In conclusion Mr. Chairman, in the face of global uncertainty, the Government of Canada has prioritized pursuit of trade diversification and free trade in order to drive continued global economic growth, rather than turning inward and retreating to protectionism. This approach is reflected in Canada's role on WTO reform as well as its successes in pursuing ambitious and comprehensive free trade agreements with new partners.

2.41. At the heart of Canada's trade policy is a desire to protect and build global confidence in the benefits of liberalized trade and the multilateral system that supports it, safeguarding the economic health of all trading nations.

2.42. Canada will continue to work with partners bilaterally and through multilateral forums to build the trust and collaboration needed to solve challenges that matter to all our citizens, so they can make the most of the opportunities that come from .

2.43. I recognize that many here have questions about our policies. More than 600 questions have already been posed to Canada, and we have provided answers to all of them. I expect even more questions after opening the floor to all of you here today. I welcome this engagement and your valuable contributions to Canada's review. Thank you.

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3 STATEMENT BY THE DISCUSSANT

3.1. Thank you very much Mr. Chairman and good morning to all of you. I would like to start by thanking you for inviting me to participate as discussant for this TPR and also in joining you in welcoming the Canadian delegation to Geneva led by Ms. Kendal Hembroff, Director General for Trade Negotiations. It is also a great pleasure for me to share some remarks on this very important and active Member of the WTO in my personal capacity. I would also like to thank both the Secretariat and Canada for their reports, which provide us with very insightful elements to conduct today's review.

3.2. The significance of Canada's economy and its participation in world trade stands out in many ways. With only about 0.5% of the world's population, it represents five times that figure when it comes to world trade with 2.5%, ranking 12th as merchandise exporter and importer. Canada is also the 10th largest economy by GDP size, endowed with great abundance of natural resources, including for instance 9% of world's forest, and it is the 6th largest producer of . Canada is a multicultural society with a high standard of living as indicated by the UNDP's 2018 , which ranks it 12th, and it also enjoys a high nominal per-capita income of over USD 46,000.

3.3. Canada´s overall economic performance during the period under review was favourable. Although growth went down to 0.7% in 2015, it bounced back to a higher 3% in 2017, allowing the economy to mark its lowest unemployment rate in the last 44 years in 2018, at 5.8%. Trade plays an important role in supporting growth as reflected by the high ratio of trade to GDP at 65%, and the significant ratio between trade and employment as one in six jobs are related to exports.

3.4. Not surprisingly, Canada continued to pursue a very ambitious bilateral, regional and multilateral trade agenda during the period under review. The implementation of CETA with the EU, under provisional application since September 2017; the entry into force of CPTPP for Canada at the end of 2018; and the modernization of the Canada-US-Mexico Agreement, yet to enter into force, mark important developments that took place during the review period. These agreements are of high significance not only as a result of the weight of the trading partners involved, but also for the institutional and long-term implications of new commitments and disciplines, which I am sure will be subject of interest for this Review.

3.5. Canada is at the forefront of innovation when it comes to negotiating trade rules, which is reflected in its recent FTA negotiations. This includes, for instance, chapters on trade and gender and on small and medium size enterprises in some of its amended FTAs. Canada's interest in these topics is also reflected in this House as an active promoter of dialogue and further understanding of these so-called "new issues" at the multilateral level.

3.6. The remarkable role of Canada in supporting the multilateral trading system is evidenced in various ways. For instance, its ratification of the TFA in December 2016, is complemented by its strong support to its implementation, as an important donor to the Trade Facilitation Agreement Facility. More recently, it has led the Ottawa Group initiative, an exercise to promote dialogue to identify pragmatic ways to enhance the work of the WTO.

3.7. Let me now turn to some of the recommendations from previous TPRs as I discuss some of the main developments for this review period.

3.8. First, I noted that Members suggested Canada to continue its efforts to diversify its export market destinations and products base. During the review period, the participation of the United States as the main export market and source of Canada´s imports went slightly down from 76% to 75%; and from 54% to 51%, respectively. On the other hand, the participation of fuels and oils on total exports went down from 27% to 22% during the same period, even though overall exports grew from CAD 526 billion to CAD 583 billion. It will be interesting to hear further about Canada's additional efforts on this matter as it will be implementing its Export Diversification Strategy, announced in November 2018.

3.9. The Secretariat's report notes that increasing competitiveness remains a challenge for Canada as it relates to the performance of business labour productivity. In this regard, the support for innovation seems to be key for Canada to continue expanding and diversifying its products base.

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The launching of the Strategic Innovation Fund in July 2017 represents an interesting and concrete initiative to foster R&D and the promotion of national innovation ecosystems, which I am certain will be of interest for Members to learn about.

3.10. Concerning foreign direct investment, Canada is among the top sources of FDI around the world. According to UNCTAD's 2017 figures, it ranked 7th with investments of about USD 77 billion. In contrast, it was the 15th recipient of FDI for the same year with inward investments of USD 24 billion. This denotes something mentioned in previous TPRs, related to the possibility for Canada to increase its efforts to attract more foreign direct investment.

3.11. The Secretariat´s report notes that most inward FDI restrictions remain. On the other hand, the reports also note that Canada has strived to increase the promotion and facilitation for incoming FDI. Notably, during the review period "Invest in Canada" was created and the Government eliminated the formal approval procedures for many potential investments as a result of the increase of investment review threshold levels.

3.12. On the issue of FDI attraction, it might be worth to consider the possible links between investment inflows and the ease of doing business. The ´s Ease of Doing Business Report for 2019, ranks Canada in position 22. Furthermore, some specific indicators within the index may signal areas for consideration regarding the business environment such as trading across borders, dealing with construction permits, enforcing contracts and obtaining electricity.

3.13. Several important changes took place during the review period in other areas of interest to Members as we look back to previous TPRs. In particular, the entry into force of the Canadian Free Trade Agreement (CFTA) on 1 July 2017, replacing the Agreement on Internal Trade. As the CFTA has been aimed to "reduce and eliminate, to the extent possible, barriers to the free movement of persons, goods, services, and investments within Canada and to establish an open, efficient and stable domestic market" it will be very interesting to hear from the Canadian delegation about the progress made in achieving these objectives, and how it aligns domestic trade rules with Canada´s international obligations.

3.14. Also, going back to issues discussed in previous reviews, agriculture stands out when thinking about Canada´s international competitive trading profile as one of the world's top exporters of a wide portfolio of products including beef, soybeans, pork, wheat, canola and pulses. At the same time, however, tariffs, subsidies and domestic support, and the use of supply management channels, in particular for dairy and poultry products, have drawn the attention from Members before and continue to be a matter of interest for this TPR. It will be interesting to hear how Canada is addressing these concerns as well as any current or further future plans for these sectors.

3.15. Finally, it will be of interest to learn how Canada's updating of its Intellectual Property Laws during the review period have strengthened its regulations in this area, and if there are any pending issues in its efforts to modernize its legislation.

3.16. Canada has witnessed a very interesting process of domestic and international changes in the last four years in a challenging international environment. Progress has been achieved in areas such as the functioning of its internal market and a very ambitious trade negotiation agenda. It also seems that there is room to continue working on other fronts such as agricultural policy, inward FDI and export market diversification. At the multilateral level, Canada has continued to be a strong supporter of the rules-based system as a constructive promoter of dialogue in the search of pragmatic approaches to strengthening and improving the functioning of the WTO.

3.17. This marks the end of my opening remarks as discussant of Canada's 11th Trade Policy Review. I would like to thank you again for the opportunity to share these thoughts on the recent trade and economic performance of this very important Member of the WTO. Thank you very much.

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4 STATEMENTS BY MEMBERS

SWITZERLAND

4.1. Canada appears to be well equipped to deal with the upheavals and uncertainties in the global economy. In general, the country's macroeconomic underpinnings are sound. Forecasts for economic growth remain positive. Unemployment has fallen and inflation, which has been stable in recent years, has only slightly picked up, possibly as a consequence of the recent depreciation of the real exchange rate.

4.2. Nevertheless, we see the possibility of destabilization in certain areas. The budgetary position – which is healthy at the federal level – could be improved in the provinces, some of which are heavily indebted. The situation could worsen as a result of the risks associated with the unpredictable housing market burdened by high .

4.3. While Canada remains a competitive country in many sectors, its exporters have recently been losing market share. In addition, current trade conflicts are weighing on the Canadian economy, which must make a hard push to improve its productivity.

4.4. We encourage the Canadian Government to continue on the path of reform. The creation of a single window for foreign investors will undoubtedly make Canada more attractive as a location. At the same time, foreign direct investments are still subject to restrictions in many sectors. Experience gathered by a number of countries has demonstrated that sectors open to foreign investment are often more productive than sectors dominated by domestic capital. A more liberal investment regime could generate welcome gains in competitiveness.

4.5. Canada remains a very important partner for Switzerland. My country is the fifth largest foreign investor in the land of the maple leaf. The combined investments of Swiss companies in Canada amount to 50 billion Swiss francs and support more than 32,000 jobs. Trade in goods has also grown vigorously, with trade flows in both directions totalling 6 billion Swiss francs. This rich and varied relationship is also the product of Switzerland's free trade agreement with Canada under the European Free Trade Association (EFTA). The agreement entered into force in 2009 and work is currently under way to update it. Switzerland is interested in bolstering its free trade relations with Canada in such a way that they offer added value for all parties.

4.6. Canada is an indispensable partner for all of us at the WTO. We are particularly appreciative of the dynamism manifested by its delegation in Geneva under the able leadership of Ambassador de Boer. Switzerland commends Canada on its strong commitment to the multilateral trading system. This commitment is manifested in particular in the Ottawa initiative to reform and revitalize the WTO, in which Switzerland is an active participant. We share Canada's conviction that the WTO must retain its role as a fundamental pillar of international trade and economic development. I should add that Canada scrupulously respects its notification obligations, setting an example for all to follow.

4.7. Switzerland submitted a number of questions in writing and Canada has responded to them in a timely manner, for which we are very grateful. I would like, however, to highlight two aspects that concern us. Our attention was drawn to the transfer of 800 tonnes of cheese from the previous tariff rate quota registered with the WTO to a quota reserved for the European Union. We have also taken note of the safeguard measures adopted by the Canadian authorities in respect of imports of steel products. These measures provide for exemptions for certain countries. We would like to ask Canada to clarify the basis on which these exemptions were granted.

4.8. Before concluding, I would like to underline our appreciation for the attention accorded by the Canadian Government's report to the issue of SMEs and their role in international trade. We are also pleased to see the topic of e-commerce given such prominence in the Secretariat's report.

4.9. I thank you, Mr Chairperson, and I wish the Canadian delegation a productive Trade Policy Review.

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THE SEPARATE CUSTOMS TERRITORY OF , PENGHU, KINMEN AND MATSU

4.10. Canada plays an important role in world trade and the global economy. Its economy continues to grow at a stable rate, driven by strong exports of services and goods, and with a well-diversified base of foreign investment. We are pleased to see that the Canadian Government continues to pursue an inclusive trade policy focussing on transparency, the environment, SMEs, labour rights, gender equality, and the rights of indigenous peoples. Its trade agenda not only sets a good example for many of us, but also takes the in targeting some of the newly-emerging issues of today and tomorrow.

4.11. Multilaterally, we applaud Canada's active participation in the WTO, in particular its contribution to new initiatives, such as ITA Expansion, trade and gender, and the current debate on WTO reform. We are already working closely with Canada on seeking to improve the transparency and predictability of Members' trade policies, and on the big issue of strengthening the deliberative function of the WTO.

4.12. On the subject of e-Commerce, Canada, to its credit, has recently introduced relevant laws and regulations designed to enhance electronic trade and protect consumers online at the same time. We are very willing to collaborate further with Canada in this area, especially on ways of developing free and fair trade. On subsidies, we cooperate closely on identifying the meaningful obligations and transparency needed for existing international instruments to discipline the subsidies that are harmful to sustainability. On agriculture, Canada's commitment to eliminating its remaining export subsidies by the end of 2020 is much welcomed.

4.13. While appreciating these positive achievements, however, there is one concern that I simply must raise here, and that is Canada's continuing active use of trade remedies. Between 2015 and 2018, the number of anti-dumping measures adopted still increased compared to the previous review period. By the end of 2018, there were 83 definitive AD measures (30 more than in 2014) and 28 countervailing measures in place. Over two-thirds of the AD measures were applied on steel products. The average length of time that the AD measures were in place was 6.4 years. Many of the sunset reviews resulted in continued AD/CV duties. And furthermore, one provisional safeguard measure on steel products was also in place. Our hope is that Canada will minimise its recourse to such trade remedies in the future, and work on more credible rules to resolve the issues that work to the benefit of industries and consumers alike.

4.14. I would just like to add, for information, that we have long enjoyed a growing and fruitful partnership with Canada in many areas of trade and investment. We are Canada's 13th largest trading partner globally, and its 5th in Asia. Bilateral trade between us increased by over 17% in 2018, and the product mix is highly complementary.

4.15. In the face of the current international economic and trade situation, we look forward to strengthening that economic cooperation even further in the future - bilaterally, plurilaterally, and multilaterally.

4.16. We raised some advance written questions to Canada on a range of sectors and we would like to thank Canada for its replies to these questions. Finally, we wish Canada a successful 11th Trade Policy Review.

NORWAY

4.17. Let me start by underlining that Norway appreciates our close and long-standing cooperation with Canada in the WTO. Canada has always been a key player in shaping the multilateral trading system. In the current situation with tendencies towards protectionism and managed trade, we strongly appreciate Canada's active engagement to strengthen and modernize the WTO.

4.18. In particular, Norway would like to commend Canada's leadership in the Ottawa Group. This group consists of 13 WTO Members, including Norway, working together to safeguard the multilateral rules-based trading system and to ensure a relevant, dynamic, and well-functioning WTO through meaningful modernization.

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4.19. Bilaterally Norway and Canada enjoy a strong trade relationship that benefits both countries. The current flow of Norway-Canada trade is mainly concentrated in the and sector. Canada's main imports from Norway are products, raw oil and ferro magnesium, while Canada's main exports are mattes, and raw oil.

4.20. There is a potential for expansion of services and investment activities across a diverse range of industries, particularly in the high-tech, health and energy sectors. Long-term business development will be facilitated by joint efforts in research and innovation, and eliminating residual barriers to trade and investments. There is also a large number of Norwegian companies established in Canada, most notably in the marine, maritime and defence industries, in addition to the oil, gas and supply industries.

4.21. Let me also add that the Norwegian Pension Fund Global by the end of 2018 had invested close to USD 28 billion in Canada. These investments include equity investment in more than 210 companies in a wide range of industries, as well as fixed income holdings.

4.22. We note that during the review period, Canada has pursued several bilateral and plurilateral trade agreements, most notably the CPTPP and CETA agreements. The 2017 CETA ratification also demonstrates the need for modernizing the agreement between Canada and the countries of the European Free Trade Association (EFTA).

4.23. Canada is an important fisheries nation and we value highly our excellent cooperation in the field of fisheries. Canada is an active participant in the WTO fisheries subsidies negotiations. We hope that Norway and Canada will continue to work closely together in order to contribute to the successful conclusion of the negotiations by the end of 2019. We should also take advantage of our work in the High Level Panel for a Sustainable Ocean Economy to support the negotiations.

4.24. Norway would like to commend Canada's active engagement and promotion of gender equality, both in the WTO and in free trade agreements. We encourage other WTO Members to follow suit, since reducing barriers to female participation in trade has a positive effect on income and gender equality.

4.25. Norway and Canada share the same concern regarding the negative effects of inefficient fossil fuels subsidies, and we are both interested in reducing those types of subsidies. Norway calls upon Canada to take active part in the discussion here in the WTO aimed at achieving ambitious and effective disciplines on inefficient fossil fuel subsidies.

4.26. In closing I would like to emphasize that Norway is looking forward to further enhancing our cooperation with Canada on trade related issues, including through discussions of ways to strengthen and modernize the WTO.

MEXICO

4.27. Canada has an economy that is open and focused on foreign trade, with trade flows accounting for 65% of its GDP, and this has enabled it to weather the recent crises and steer clear of protectionism.

4.28. Between 2015 and 2018, the Canadian economy regained its momentum. After weak growth in the first half of that period, due to falling oil prices, it underwent strong growth from mid-2016 thanks to the adoption of monetary and fiscal stimulus policies. The unemployment rate is at its lowest level, inflation has been kept under control and the population is enjoying a high standard of living.

4.29. We commend Canada's trade policy, which has set as its key priorities diversification of its international trade and foreign direct investment, along with the charting of an inclusive approach, focusing on transparency, the environment, micro, small and medium-sized enterprises, and gender and indigenous issues.

4.30. We stress the importance for Canada of continuing its efforts to open up trade and to take advantage of the opportunities afforded by its 14 free trade agreements with 51 countries. While

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- 13 - dependence on its largest trading partner has decreased, it is still a factor, with more than half of its imports and three quarters of its exports going to the United States between 2014 and 2018.

4.31. We also recognize Canada's efforts to remedy the shortcomings in its interprovincial trade and we note, in particular, that the gains achieved under the Canadian Free Trade Agreement present opportunities to boost productivity, encourage innovation and improve the harmonization of regulations with international obligations. According to IMF estimates, if these barriers are surmounted through a collective and concerted effort, real GDP could be augmented by almost 4%.

4.32. We applaud Canada's liberalization efforts in trade in goods, which has translated into (MFN) duty-free conditions for 70.4% of tariff lines. We note, however, that protection is being kept in place for the agricultural sector, with higher tariffs and tariff peaks, for such sectors as livestock and livestock products, milk and dairy products, and cereals.

4.33. Where trade facilitation is concerned, the measures implemented during the review period are conducive to increased automation and accelerated customs clearance. It should be noted, however, that, during the period 2015–19, Canada fell from 16th to 22nd place in the World Bank's ease of doing business index and experienced an even more drastic decline in the area of cross-border trade, where it dropped from 23rd to 50th place.

4.34. We recognize the importance in the Canadian economy of the services sector, which accounts for more than 70% of GDP. With regard to the financial sector, we commend Canada for having relaxed federal regulations, thus allowing its financial institutions to expand their business activities. In the telecommunications sector, measures to deploy the 5G standard, along with the launching of consultations to amend the Act and the Broadcasting Act, are clear signs of Canada's commitment to meeting the demands of an expanding digital economy.

4.35. Canada is an important trading partner to Mexico, constituting our second largest export market and the world's 20th largest supplier.

4.36. Recently, the two countries signed the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and we updated our regional trade treaty, the Canada-United States-Mexico Agreement. Both agreements have far-reaching trade disciplines that will unquestionably enable us to continue strengthening our integration and trade relationship, and will provide us with more tools to tackle the current trade challenges that the region and the international economic environment are placing before us.

4.37. I cannot conclude without first congratulating Canada for being one of the Members with the best track record in the area of notifications. We applaud its commitment to the multilateral trading system, as evidenced by its active and constructive leadership in the WTO reform process, through the Ottawa Group and in the various initiatives to improve and modernize the WTO.

4.38. Lastly, I thank Canada for its answers to the questions put forward by my delegation and wish it every success in the present Review.

EUROPEAN UNION

4.39. Let me begin by congratulating Canada on its sound economic performance over the last few years. Canada's economy has been operating at near capacity amidst the lowest unemployment rate in 40 years as well as low inflation. As an open economy that depends significantly on international trade, Canada is well placed to appreciate the value of a predictable international trading environment.

4.40. We fully share Canada's dedication to upholding and strengthening the rules-based multilateral trading system in the current time of trouble. Canada is a reliable, committed partner in our shared endeavour to keep the WTO relevant and modernize it so that it can "continue to provide a platform for economic growth through trade", as the Canadian Government report puts it. We appreciate Canada's initiative to advance discussions on WTO modernisation in the so-called Ottawa Group, in which the EU is a participant. We also value Canada's concrete contributions to safeguarding the dispute settlement system, improving the WTO's monitoring function and

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- 14 - advancing rulemaking in the ongoing negotiations on e-commerce and fisheries subsidies, amongst others.

4.41. Further, the EU commends Canada for its efforts to ensure that trade is not only open, but inclusive. Governments must indeed work to ensure that the benefits of trade are accessible to all citizens, and the EU and Canada are showing leadership in this regard also in the framework of CETA, the EU-Canada Comprehensive Economic and Trade Agreement, by enhancing the participation of SMEs in trade, women's economic empowerment and the implementation of the Paris Agreement on Climate Change.

4.42. The EU is Canada's second largest trading partner after the United States both for goods (absorbing 7% of Canadian exports and accounting for 12% of imports) and for services (accounting for 17% of Canada's exports and 19% of its imports).

4.43. At the time of Canada's eleventh Trade Policy Review, the trade ties between the EU and Canada are closer than ever. 2018 was the first full year in which CETA was provisionally applied. While this is a short time from the perspective of statistics, we are pleased to note that bilateral trade flows are increasing compared to the average of the previous three years. The institutional structure of CETA is up and running, the ratification process in the EU is ongoing and our focus is now on implementing CETA as a progressive agreement promoting open, rules-based trade and delivering mutually beneficial outcomes.

4.44. Certain obstacles to trade can persist even in an open trading economy. In the case of Canada, the obstacles that EU operators encounter are concentrated almost fully in the agri- sector. Several of the EU's written questions focused on this sector, for example:

• The management and protection of the milk and dairy sector;

• The alcohol sale and distribution practices at both federal and provincial level;

• The enforcement of protection for Geographical Indications; and

• The review of Canada's tariff rate quota management system.

4.45. More broadly, we also addressed questions to Canada in order to better understand the potential systemic effects of certain new CUSMA provisions, for example with regard to rules of origin.

4.46. We thank Canada for having chosen the alternative timeframe again, which has allowed us to review Canada's replies to our questions ahead of the meeting.

4.47. The European Union looks forward to continuing our close cooperation with Canada on our shared goal to leverage trade for more prosperity, both in the context of CETA implementation and WTO reform.

4.48. On behalf of the EU, I wish Canada a productive and successful review.

UNITED STATES

4.49. Canada is a neighbour and key trading partner, and its trade regime continues to be of keen interest to the United States. The United States is by far Canada's number one trading partner, accounting for 75.1% of Canada's merchandise goods exports and over half of its goods imports, as noted in the Secretariat's report. Goods and services trade between Canada and the United States totalled USD 714.1 billion in 2018, with a total U.S. trade surplus of USD 7.0 billion. In 2018, goods exports from the United States to Canada totalled USD 298.7 billion and imports reached USD 318.5 billion, yielding a U.S. goods trade deficit of USD 19.8 billion with Canada.

4.50. The United States is proud of the longstanding and broad trading relationship between our countries. The U.S.-Canada Free Trade Agreement entered into force in 1989 and was succeeded by the North American Trade Agreement (NAFTA) in 1994. These agreements have brought the benefits of increased cooperation and decreased barriers to trade to both of our economies over the past

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30 years. However, in more than two decades since its entry into force, the NAFTA had become outdated, had failed to deliver its expected benefits, and was in need of substantial updating.

4.51. Since Canada's last Trade Policy Review, the United States entered into negotiations with

4.52. Canada and Mexico seeking to modernize and rebalance the NAFTA. The United States-Mexico-Canada Agreement (USMCA), signed on 30 November 2018, is a comprehensive overhaul of the NAFTA and a high-standard trade agreement that will promote fairer and more balanced trade between our countries. The USMCA modernizes the NAFTA to include 21st century standards in key areas such as digital trade and intellectual property, and it lowers barriers to trade in services. The USMCA is a notable achievement for the United States, Canada, and Mexico, and the United States looks forward to working together on implementing ambitious commitments undertaken in the Agreement.

4.53. In addition, we commend Canada for its constructive efforts at the WTO — alongside a diverse group of co-sponsors — to advance our proposal to improve Members' compliance with their existing notification obligations.

4.54. Despite these positive developments, the United States has some specific concerns to raise in this Review.

4.55. The United States views the enforcement of intellectual property rights as an important tool to foster creative industries, innovation, and entrepreneurship, and to fuel economic growth. As such, the United States is interested to know more about the ongoing parliamentary review of the Copyright Act and the recent reforms to the Copyright Board. The United States also will monitor Canada's implementation of the USMCA's IP provisions and looks forward to working closely with Canada in the coming year to address priority IP issues.

4.56. Additionally, as noted in Canada's previous Trade Policy Review, trade in agricultural products continues to be an important component of our trading relationship. The United States encourages Canada to review its agricultural policies that impose excessive tariffs and restrict imports of supply-managed dairy, poultry, and egg products. Reducing barriers to trade would benefit consumers in Canada and help increase the competitiveness of Canadian industries. Further, the United States would also underscore the importance of transparency in dairy pricing policies and any new assistance to dairy farmers and processors, so that Members can be assured of Canada's compliance with its WTO commitments.

4.57. As Canada's largest trading partner, we share a strong interest in Canada's growth and prosperity. The United States appreciates the opportunity to engage in this dialogue and looks forward to continued work with Canada, both bilaterally and within the WTO.

CHILE

4.58. Chile sets high store by its bilateral relationship with Canada. In the 78 years of our diplomatic relations, ties have developed between us on the basis of our shared values in the international arena, in such areas as human rights, freedom, democracy, respect for international law and the defence of multilateralism.

4.59. Our two countries perceive each other as like-minded countries, a perception which translates into shared visions and initiatives in a number of multilateral forums.

4.60. We are close partners not only in the United Nations, but also in the Asia-Pacific Economic Cooperation forum (APEC), the Organization of American States (OAS) and, of course, in this house.

4.61. In addition, we are working together to expand opportunities and regional trade integration in the Pacific, in the context of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). Since 2018, we have also formed part of the inclusive trade action group, together with New Zealand.

4.62. Our bilateral relationship is based on two pillars: the 2007 Strategic Partnership Framework Agreement, which broadens and deepens collaboration in priority sectors such as sustainable

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- 16 - development, education and agriculture, among others; and the 1997 Free Trade Agreement (FTA). The latter marked an important milestone in Chile's trade policy, as it was the first trade agreement signed with a . After Mexico, it was the second signed with a member of NAFTA.

4.63. The initial agreement covered not only trade in goods, but also in services, investment, the environment, and labour issues.

4.64. The FTA with Canada has been updated and modernized with, among other measures, the incorporation of a chapter on public procurement (2009), the signing of an agreement amending the FTA (2012), which incorporates a chapter on , along with a series of modifications to different disciplines of the Agreement, and lastly, in 2017, with the incorporation of chapters on technical barriers to trade, sanitary and phytosanitary measures and a chapter on gender and trade, which entered into force this year.

4.65. Canada is an important investment partner of Chile, occupying second place in terms of foreign direct investment (FDI) stock primarily targeting, among other areas, mining, chemical industry and energy.

4.66. Where the present review is concerned, we welcome Canada's moderate GDP growth, low inflation, the relatively stable federal government debt-to-GDP ratio, its declining current account deficit and the depreciation of the real exchange rate. We are pleased to see that Canada has shown a measure of resilience and consistency in its international trade policy that has allowed it to maintain its good economic performance.

4.67. Interestingly, Canada has focused its efforts on diversifying international trade and FDI and applying an inclusive approach to trade, focusing on transparency, labour rights, the environment, small and medium-sized enterprises (SMEs), gender issues and indigenous peoples.

4.68. We remain concerned, however, that, in an open economy which is working to prevent new protectionist measures, it continues to provide significant subsidies and incentives to its national industry, according to the Secretariat report, and these subsidies are replicated at the federal, provincial and local levels.

4.69. This is particularly evident in the fishing and wine sectors. We therefore believe it would be valuable for Canada to consider reducing and eventually eliminating forms of support that could contribute to distorting international trade.

4.70. In other respects, we are struck by the increase in and intensive use of trade defence measures during the period under review. To be more precise, 45 anti-dumping investigations and 28 countervailing duty investigations, according to the Secretariat report.

4.71. Beyond these specific points, it is clear that Canada is making an active contribution in this house and sharing a common vision with regard to the liberalization of international trade, within the multilateral framework constituted by the WTO.

4.72. Among us, Canada is contributing to the quest for clarity and understanding in these difficult times in the Organization's history, and to the promotion of world trade and multilateralism through its creative proposals. In this context, through its leadership in the Ottawa Group, it has played an outstanding role in the discussions on the reforms and modernization of this house.

4.73. In conclusion, within the framework of this review, Chile wishes Canada every success.

ICELAND

4.74. It is a particular pleasure to take part in the trade policy review of Canada today. Iceland and Canada enjoy a very long and deep historical relationship. One could say that our history goes back all the way to the year 1000 when Iceland born Leifur Eiríksson landed in Newfoundland and became thus the first European to put foot on the American continent. Centuries later, in the period from 1870 and until the first world war, almost quarter of the Icelandic population emigrated to Canada, escaping from poverty. The connection with Iceland is particularly strong in where some people still speak Icelandic.

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4.75. In fact, our President, Mr. Guðni Th. Jóhannesson and the First Lady, Ms. Eliza Reid, visited Canada last month to celebrate our historic connections. Perhaps I could say that our president has also personally contributed much to furthering the good connections with Canada, as his wife, the first lady, is herself Canadian.

4.76. Our economic relationship is also strong. With our EFTA partners we concluded a free trade agreement with Canada that I took part in negotiating, and that was signed in 2008. We are currently exploring a possible modernisation and expansion of the agreement and where I have the pleasure of being the spokesperson on behalf of the EFTA countries. Our bilateral trade figures show that over the last five years we seen an average 22% growth rate in imports into Iceland and 33% growth in exports from Iceland to Canada.

4.77. Iceland wants to commend Canada for their leadership in upholding and working to protect and safeguard the multilateral trading system and the important role they continue to play in WTO reform.

4.78. Iceland and Canada work closely together in Geneva on this front, and particularly in the field of inclusive trade and trade and gender. To date 127 WTO Members and Observers support the Joint Declaration on Trade and Women's Economic Empowerment that was launched at the 11th in Buenos Aires. Canada played a key role in championing the declaration and is a very active member of the Trade Impact Working Group that was established under the auspices of the International Gender Champions - Geneva, that is co-chaired by Botswana, Iceland and the ITC.

4.79. Here at the WTO Canada has led some initiatives such as on domestic regulation that aim to ensure that women are not discriminated against in the field of services trade.

4.80. Canada is a pioneer in the field of trade and gender, having negotiated particular trade and gender chapters both in the modernized Canada-Chile and Canada-Israel FTAs and working actively on advancing inclusive trade in other agreements and negotiations. It is interesting to learn of the experience of Canada on this front through the report and the answers to our advance written questions.

4.81. Among other interesting information provided on this front are the particular administrative obstacles for women-led SMEs, such as border obstacles, logistical obstacles, market knowledge issues, IPR issues, lack of of inadequate cash-flow and financial risks were discovered both in and outside Canada. The Gender Based Analysis Plus is also an interesting tool that is useful to learn about. These are just some of the examples of the interesting information provided by Canada on trade and gender and on efforts to ensure inclusive trade.

4.82. Canada has a very interesting experience to share and we thank Canada for the detailed information in their report and the answers to our questions and to the many other members that sent questions on the inclusive trade aspects. The answers are very useful as we implement the Joint Declaration and gather best practices, which we will present at MC12.

4.83. Iceland appreciates Canada's very active engagement in the WTO and their continued support and efforts to safeguard, strengthen and reinforce the multilateral trading system. We wish the delegation of Canada every success for their eleventh trade policy review.

COLOMBIA

4.84. Over the period under review, the Canadian economy exhibited a balanced economic performance that is reflected in indicators such as moderate GDP growth, low inflation, stable debt-to-GDP ratios, and a balance of payments current account deficit below 3.6%. In 2017, Canada became the 10th largest economy in the world and the 12th largest exporter and importer of goods.

4.85. Where foreign trade is concerned, Canada has a relatively diversified export basket. We take a positive view of the decrease in fuels, oils and minerals, the country's main exports, as a share of total merchandise exports, which between 2014 and 2018 dropped from 27% to 22%, partly because of the fall in world prices. We draw attention to the growth in the total amount of exports from

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Canada, from CAD 526.8 billion in 2014 to CAD 583 billion in 2018, and to the signs of a lower concentration of exports.

4.86. With regard to the geographical distribution of trade in goods, the high dependence on the United States market persists, representing 75.1% of exports and 51% of imports for the period under review. We noted, however, that, unlike in the previous Review, where there was an increase of approximately 3 percentage points (pp) in both exports and imports to and from that trading partner, over the period of the current Review this trend was corrected by a drop of 1.7 pp in exports and 3 pp in imports.

4.87. Among the issues that, in our view, present both challenges and opportunities for Canada, and that have already been highlighted by some delegations, we would like to highlight the following:

• The new Canadian Free Trade Agreement (CFTA) is a cause both of curiosity and some concern. Its main objective is "to reduce and eliminate, to the extent possible, barriers to the free movement of persons, goods, services, and investments within Canada; as far as possible, obstacles to the free movement of persons, goods, services and investments within Canada and to establish an open, efficient, and stable domestic market". This objective is customary when talking about two or more countries, but, given the specific features of the structure of the Canadian Government, we understand that it is much more ambitious than the previous Agreement on Internal Trade.

• Where foreign direct investment (FDI) is concerned, Colombia welcomes the raising of the net benefit review thresholds under the Investment Canada Act, the introduction of new national security transparency and the creation of the Invest in Canada Hub. Restrictions remain in place, however, on investment in sectors of interest such as mining, telecommunications, fisheries, transport and cultural activities, and we believe that these could be liberalized in the future.

• In the agricultural sector, measures that affect trade and distort competition persist. This applies, in particular, to sectors where domestic production is subject to supply regulation such as dairy products, poultry and eggs.

4.88. Moving on to bilateral trade relations, these are framed in the Trade Promotion Agreement between Colombia and Canada, in force since 2011 and complemented by the Labour Cooperation Agreement and the Environmental Cooperation Agreement. This trade consists primarily of Colombian exports of mining and energy goods. Exports of non-mining energy goods have also strengthened in recent years, however, largely in products such as coffee, flowers and metals. Canada's FDI in Colombia has increased since the Agreement came into force, reaching a historic peak in 2016 of USD 2.187 billion. Over this period, Canada has been the principal investor in Colombia, manifested by the investments of the Canadian firm Brookfield, for the generation and commercialization of energy. At the end of 2018, Canadian investment in Colombia amounted to USD 631 million.

4.89. Lastly, on the bilateral issue, we would like to highlight the exponential growth in tourism between our two countries. Visits to Colombia by Canadians and to Canada by Colombians rose from 88,000 to 128,000 during the period under review. These flows were characterized by almost equal proportions of travellers from both countries. We hope that the benefits of this Agreement can be broadened and deepened through cooperation in the area of trade.

4.90. To conclude, we would like to highlight the work that Canada has been doing to strengthen the multilateral trade system. Among other things, Canada is an active Member in the different negotiating groups, taking a leadership role in the technical discussions on domestic support in agriculture, and the implementation of the commitments entered into under the Information Technology Agreement (ITA) Expansion and the promotion of women's participation in trade. Lastly, we highlight Canada's leadership in the Ottawa Group in efforts to tackle the specific challenges confronting the multilateral trading system.

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AUSTRALIA

4.91. Australia values its close partnership with Canada. Working together, Australia and Canada have an important role to play in addressing common global economic challenges.

4.92. In this regard, we welcome Canada's efforts towards WTO reform through its leadership of the Ottawa Group. Canada has helped take forward reform issues at the WTO in a tangible manner, and Australia looks forward to continuing with these efforts alongside Canada.

4.93. Australia appreciates Canada's active participation in the Cairns Group, and its leadership in the agriculture negotiations. Canada remains a driving force on agriculture and Australia looks forward to working closely together to deliver meaningful agricultural trade reform at MCI 2.

4.94. We also welcome Canada's support for negotiations on new rules for e-commerce and services domestic regulation. We will work with Canada to progress the development of new trade rules in these areas, where technological change is set to open up new trade opportunities.

4.95. Canada is also active in broadening participation in international trade. We commend Canada for its focus on Gender participation and its support for MSMEs both in its FTAs and at the WTO through its involvement in the WTO's Informal Working Group on MSMEs and the Joint Declaration on Trade and Women's Economic Empowerment.

4.96. As the Secretariat's report notes, Canada is exemplary in meeting its notification requirements. There is room for improvement in Agriculture, where Canada's most recent domestic support notification is for 2015. We also look forward to receiving

4.97. Canada's notification of its fisheries subsidies, noting the 30 June deadline for subsidy notifications.

4.98. Australia and Canada enjoy a strong trade and investment relationship. Our bilateral trade in goods and services reached A$6.9 billion in 2017. Canada's stable investment environment has also attracted significant investment from Australia. Canada is now the seventh largest destination for Australian investment, valued at A$77.3 billion in 2018.

4.99. Our trade and investment relationship will grow stronger through the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). We are pleased the CPTPP has entered into force for both Australia and Canada on 30 December 2018, highlighting our shared commitment to rules-based trade and strengthening economic cooperation in our region.

4.100. We also welcome Canada's work to expand its network of WTO-consistent trade agreements. In particular, we welcome the conclusion of negotiations on the Canada-United States- Mexico Agreement (CUSMA/USMCA) and encourage early ratification and implementation.

4.101. Australia's concerns with discriminatory measures effecting the sale of wine in Canada are well known. Australia was pleased to reach an agreement with Canada, which will see the elimination of discriminatory measures impacting the sale of Australian wine in . While we will continue to pursue our other concerns through the proceedings already underway, Australia remains open to resolving these concerns outside the WTO dispute settlement process if possible.

4.102. Australia takes a close interest in certain Canadian agricultural measures, specifically the supply-management system covering dairy, eggs and poultry. Reforms to these sectors are needed, to not only ensure the long-term competitiveness of Canadian producers, but also as further demonstration of Canada's commitment to global agricultural trade reform.

4.103. Finally, we thank Canada for its replies to our written questions, and we will review them carefully.

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RUSSIAN FEDERATION

4.104. The Russian delegation welcomes the 11th Trade Policy Review of Canada. We are pleased to be a part of the current monitoring exercise and fully support this important mechanism, which enables us to exchange views on the trade policy of the WTO Members.

4.105. We commend Canada on the continuous growth of its economy with a robust rate of 1.8% in 2018 accompanied by low inflation, a relatively stable federal government debt-to-GDP ratio and declining current account deficit. These trends demonstrate that Canada's focus on diversifying international trade and foreign direct investment has paid off.

4.106. notes Canada's strong commitment to the multilateral trading system, the country's active participation in the regular work of the WTO committees, negotiations, dispute settlement, monitoring and plurilateral initiatives. We hope that Canada-led «Ottawa Group» will contribute positively to the WTO reform process by paving the way for a more effective Organization fostering growth in the interests of all Members.

4.107. On the bilateral track, over the years the Russian Federation and Canada have been developing broad cooperation in many areas, including mining, oil and gas, automotive components, aerospace and others. Unfortunately, since 2014 the Canadian authorities undertook a series of steps aimed at cutting ties with Russia. Ottawa imposed sanctions against Russian individuals and legal entities more than 17 times (as of February 2018 visa and financial restrictions extend to 160 Russian citizens and 80 organizations). All activity of the Intergovernmental Economic Commission, established in 1995, has been frozen.

4.108. We remain deeply concerned with these unilateral trade restrictive measures imposed by Canada against the Russian Federation due to non-economic reasons. In this respect, we would like to express our regrets and disappointment with the escalation of anti-Russian political rhetoric of Ottawa, which brings nothing but harm to both sides including mutual economic, trade and investment losses. Trade between our countries has greatly suffered. As an illustration, in January-February 2018 bilateral trade has shrunk by 35,6 % compared with the corresponding period in 2017 – USD 157,7 million against USD 244,9 million. Obviously, this volume of trade is far behind the existing economic potential of the Russian-Canadian bilateral ties.

4.109. The Russian Federation reiterates its request to Canada to bring its measures in line with the Canadian obligations under the WTO Agreements and to lift all unfounded restrictive measures immediately.

4.110. During this review, Russia has submitted a number of questions regarding some regional trade agreements that Canada is participating in, as well as the functioning of the "Ottawa Group". We thank the Canadian delegation for the answers provided.

4.111. In conclusion, we would like to thank you, Mr. Chairman, the delegation of Canada, the Secretariat and the Discussant, for the valuable work done during this TPR.

HONG KONG, CHINA

4.112. Canada is a key trading partner of Hong Kong, China (HKC). In 2018, Canada was our 4th largest trading partner in terms of trade in goods in the Americas (just after the United States, Mexico and Brazil). We have long been enjoying robust bilateral trade relations, strong social ties and great friendship with Canada.

4.113. The Investment Promotion and Protection Agreement signed between Hong Kong and Canada, which entered into force in September 2016, has added impetus to our bilateral investment flows by giving additional assurance to investors. As at the end of 2017, our bilateral direct investment increased by 22%, on a year-on-year basis, amounted to USD17.9 billion (CAD 23.3 billion). We look forward to further fostering our bilateral economic relations.

4.114. We welcome Canada's pledge in the Government Report on its commitment to international trade and the rules-based multilateral trading system, with the (WTO) at

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- 21 - its core; and to prioritize pursuit of trade diversification and free trade to drive continued global economic growth, rather than turning inward and retreating to protectionism.

4.115. Indeed, HKC shares Canada's concern about the rise in protectionism, which has taken the form of rising trade restrictive measures and unilateral actions that hinder and restrict international trade.

4.116. HKC looks forward to working with Canada together and championing global trade liberalisation, as both HKC and Canada are staunch supporters of the multilateral trading system, and we embrace the system as the cornerstone of our trade policies. With the common interests we share, we look forward to continuously working closely with Canada on this important cause.

4.117. Services sectors continue to be the driving force of Canada's economy, accounting for 70% of its GDP. We are pleased to note that during the review period, Canada has undertaken a number of trade facilitating measures. For example, the maximum percentage of foreign voting interests in Canadian air carriers has been increased; and all ships regardless of flag or ownership are now allowed to reposition their owned or leased empty containers in Canada on a non-revenue basis without a coasting trade licence. We look forward to Canada's continued efforts to facilitate and liberalise its services trade.

4.118. We commend Canada's continuous efforts in rolling out new initiatives to facilitate trade since the last Review, such as the Single Window Initiative. We look forward to Canada's furthering of its trade facilitation efforts, which will lead to enhanced trade flows to the benefit of both Canada and its trading partners.

4.119. On tariff, we are pleased to see that 70.4% of its imports (2019) now enters into Canada duty free, compared with 67% in 2014, mainly as a result of the elimination of import duties under the expansion of the Information Technology Agreement (ITA) and on certain imported ingredients used in the agri-food processing industry. Nevertheless, tariffs applied on agricultural products remain considerably higher than those on non-agricultural goods. In 2019, the average applied tariff rate on agricultural products is 21.8%, compared with 2.5% on non-agricultural products. We encourage Canada to consider further liberalising the tariff lines, which will bring substantial benefits to Canadian consumers.

4.120. It is noted that Canada has increasingly deployed anti-dumping (AD) and countervailing duties (CVD) measures. For instance, there were 83 definitive AD measures and 28 CVD measures in place as of 31 December 2018, compared with 53 AD and 17 CVD measures reported in the last Review for December 2014. Besides, Canada implemented in October 2018 preliminary global safeguard measures on seven steel products for 200 days, pending an inquiry by the Canadian International Trade Tribunal into whether more long-lasting safeguards are necessary, while the previous safeguard inquiry dated back to as far as 2005.

4.121. We would urge Canada to exercise restraints and caution in initiating any AD/CVD investigations and other enforcement tools to guard against any abusive use, and seriously review the necessity of the trade remedy measures, especially those that would remain in place for a long period of time.

4.122. Canada is an important trading partner of HKC. We look forward to further fostering the bilateral trade, economic and investment relations with Canada. I would like to thank Canada for its replies to our written questions, which we will review carefully. HKC wishes Canada a very successful Trade Policy Review.

NEW ZEALAND

4.123. New Zealand welcomes the opportunity to participate in this eleventh Trade Policy Review of Canada.

4.124. New Zealand and Canada share a commitment to the multilateral rules-based trading system, and Canada is an active and constructive Member. In particular, we commend Canadian leadership to defend, modernise and strengthen the WTO including through its chairing of the Ottawa Group on WTO Reform.

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4.125. This is Canada's first review since the entry into force of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, Canada's first FTA with New Zealand, and its accompanying Joint Declaration on Progressive and Inclusive Trade between Canada, New Zealand and Chile.

4.126. Consistent with this Declaration, New Zealand and Canada have a common commitment to ensuring that the benefits of trade liberalisation are shared more widely amongst our communities, including women, indigenous peoples, rural communities and SMEs. Over the past year we have jointly participated in a range of activities to promote the benefits of inclusive trade at the WTO and other fora. We welcome our shared participation in Joint Statement initiatives launched at Buenos Aires on women's economic empowerment, MSMEs, services domestic regulation, and investment facilitation as well as the e-commerce negotiations now under way.

4.127. On the multilateral agenda, New Zealand welcomes and values Canada's commitment to a successful conclusion of the fisheries subsidies negotiations by December 2019 as instructed by Ministers, and in order to fulfil SDG 14.6.

4.128. As Members committed to advancing trade liberalisation and its development, trade, and environmental benefits, we look forward to continuing to work together for a substantive package of outcomes, including an outcome on agriculture domestic support, from the 12th WTO Ministerial Conference in 2020.

4.129. It is nevertheless disappointing to see Canada's continuing protection of its dairy sector, particularly the implementation of new domestic dairy policies that have artificially reduced the prices of Canadian skim milk powder to below the prevailing world price by lowering production costs. This has dramatically increased Canadian skim milk powder production and exports, and effectively displaced dairy exports from other more competitive dairy exporters. The expansion of milk classes has received a significant amount of attention over the years, in previous trade policy reviews as well as in the Committee on Agriculture. We anticipate and encourage satisfactory resolution of this issue once the United States-Mexico-Canada Agreement enters into force.

4.130. New Zealand's broader concerns relating to the supply management system and national treatment of certain imported products remain. As the Secretariat Report outlines, despite an estimated overall decline in Canada's PSE, the PSE for dairy products remain substantial and steady. Canada's PSE in aggregate averaged only 9% in 2015-17, however, commodities subject to supply management averaged 69%. It is well understood that such subsidisation can only have a negative distortionary effect on trade.

4.131. The differentiation in Canada's approach to its dairy sector, versus other agriculture sectors, is also reflected in the fact that, according to the Secretariat's report, its average applied tariff rate on agricultural products is 21.8%, however, dairy products specifically attract an average applied tariff rate of 238.7%, with a peak of 313.5% for butter.

4.132. On wine, we enjoy a collaborative relationship with Canada in such fora as the World Wine Trade Group, but it is disappointing that in a number of instances wine sales regulations in Canadian provinces do not appear to be consistent with Canada's WTO obligation to provide national treatment to imported wine.

4.133. We continue to appreciate Canada's close collaboration on trade and climate change and environment matters at the WTO, including its leadership in the Committee on Trade and Environment on trade and climate issues, engagement in the Environmental Goods Agreement negotiations, and as an active proponent on environmental services.

4.134. We commend Canada on its commitment to phase out inefficient fossil fuel subsidies by 2025 and to undertake a voluntary peer review of fossil fuel subsidies with Argentina, building on its G20 commitment. Consistent with Canada's leadership role on trade and climate change and environment matters, we hope Canada will support discussions on Fossil Fuel Subsidy Reform at the WTO to address the market distortions and negative climate impacts caused by inefficient use of these resources.

4.135. We also look to Canada to lend its G7 weight to efforts, in the WTO and in other relevant fora, to address these trade distorting and environmentally harmful subsidy practices.

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4.136. We are encouraged by the direction of Canada's policies on inclusivity, trade and the environment, and indigenous agri-business, and appreciate the contribution Canada has made to WTO reform and global trade rules generally.

4.137. New Zealand will continue to support Canada's leadership efforts on WTO reform through the "Ottawa Group".

4.138. Given Canada's overall progressive and inclusive trade agenda and ongoing dedication to the multilateral trading system, we encourage Canada to undertake necessary reforms of its agriculture policies which aim to protect certain agriculture sectors, including reforming supply management.

UKRAINE

4.139. Ukraine and Canada enjoy close bilateral relationship in the number of spheres; trade, economic and technical cooperation being the most relevant for the purpose of today's meeting. Historic friendship relations have developed through generations of Ukrainian migration to Canada, strong people-to-people ties and the vibrant Ukrainian-Canadian community, and are based on the shared values and interests of mutually beneficial partnership. Nowadays Canada is one of Ukraine's staunch supporters, both from financial and political points of view. Since Ukraine's independence in 1991, Canada has provided over USD 527 million in development assistance support to Ukraine. In this context Ukraine is grateful to Canada for its support in implementing necessary reforms that stimulate economic development, including those aimed at combating corruption and creating a more predictable business environment.

4.140. We highly estimate close bilateral ties between Ukraine and Canada supported by further trade liberalization provided under the Canada-Ukraine Free Trade Agreement (CUFTA), that is in force since August 2017. The CUFTA provisions stipulate, in particular, the deepening of trade and economic cooperation, including trade in industrial and agricultural goods, intellectual property protection and regulation of public procurement as priority areas for future engagement. In addition, Canada and Ukraine benefit from the foreign investment promotion and protection agreement, the convention on double taxation avoidance and the air transport agreement.

4.141. In 2018 trade and economic relations between Ukraine and Canada continued to show positive dynamics and increase in the volumes of bilateral trade. The total trade turnover between Ukraine and Canada amounted to more than half a billion USD with common exports account for USD 165 million and import – USD 345 million. Trade in goods grew to more than USD 410 million while Ukraine's export to Canada increased by 55%.

4.142. The CUFTA set up favourable conditions that resulted in entering of new products from Ukraine to Canadian market in 2018. To name a few among almost 300 new products at subheading level: copper and steel semi-finished products, ferroalloys, ferrotitanium, and articles thereof, initiators of reactions, turbojet engines with power under 5 000 kW; fish (dried or salted) etc.

4.143. The structure of Ukraine's goods export to Canada also traditionally covers tannic extracts; processed vegetable products; transport machinery; and wood products. The import of goods from Canada to Ukraine includes oil and products of its distillation, mineral fuel; fish and seafood; pharmaceutical products.

4.144. Our trade in services covers wide range of sectors such as IT, transport, business services and tourism.

4.145. Ukraine is interested in deepening and strengthening bilateral cooperation and partnership with Canada in a way that contributes to a win win situation for both parties. We will assess progress made and reaffirm our tactic goals at the Ukraine Reform Conference, which will take place in this July.

4.146. Ukraine highly appreciates the partnership cooperation with Canada across the WTO bodies on agriculture, domestic regulation, e-commerce and others. Canada's support of small and medium businesses exports potential building as well as women participation in international trade and overall promotion of e-commerce gains more and more proponents among Members.

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4.147. Being strongly committed to the rule-based multilateral trading system, Ukraine notes the efforts of Canada in strengthening international trade in goods and services and its comprehensive contribution to further development of the WTO system.

4.148. Within this TPR exercise Ukraine has submitted number of specific questions on the following topics: trade facilitation; intellectual property; investment regime; regulations relating to pesticide residues; maintaining non-ad valorem duties for agricultural products etc.

4.149. We would like to express gratitude for the responses, which we are reviewing thoroughly.

4.150. In conclusion, I would like to express our deep appreciation to the delegation of Canada and especially to the team of the Mission in Geneva for their hard work in preparing for this TPR.

4.151. We wish Canada successful TPR and look forward to further strengthening our bilateral relations.

JAPAN

4.152. Japan praises Canada for its historical contributions to upholding and strengthening the multilateral trading system since the establishment of the GATT. Japan also acknowledges Canada's dedicated and ongoing efforts to reform the WTO.

4.153. In regard to its trade policy, we note that, by launching a new Export Diversification Strategy to support exports by SMEs and promote gender equality, Canada is contributing to making global trade more inclusive.

4.154. In this review period, Canada accepted the TFA and the ITA expansion. Additionally, Canada regularly meets its notification requirements in the WTO, and—together with the EU, Japan, the U.S. and other Members — has co-sponsored the transparency and notification proposal. We appreciate these positive engagements on the part of Canada in our collective efforts to improve the functioning of the WTO.

4.155. As for the investment framework, we have a keen interest in the contents of the Guidelines on the National Security Review of Investments in 2016. We appreciate the answer provided by Canada to our written question in advance of today's review. We will continue to pay attention to how the review is conducted under the new guidelines, particularly focusing on the transparency of the review standards.

4.156. Furthermore, as a co-convener of the Joint Statement Initiative on electronic commerce, Japan appreciates Canada's significant contribution to the ongoing negotiations, and expects that we can make substantive progress towards MC12.

4.157. Apart from its work in the WTO, Canada concluded three new FTAs including the CPTPP and updated some of its existing FTAs during this review period. We expect that we can achieve a mutually beneficial trade regime by strengthening economic partnerships, while ensuring that all measures are consistent with the WTO obligations.

4.158. There are, however, areas that can be improved on. Particularly, as indicated in the report by the Secretariat, when the Federal Government levies excise taxes on certain products, lower or zero tax rates are applied to domestic brewers and to wine made entirely from Canadian-grown agricultural produce. We expect Canada to adopt non-discriminatory measures that are consistent with its commitment to the WTO agreement. In addition to the issue of excise taxes, in Canada, the provincial and territorial Liquor Control Authorities are exclusively engaged in sale, importation, and inter-provincial/territorial trade in alcoholic beverages. Although Canada has fulfilled its obligation to provide notifications on state trading enterprises, we encourage Canada to further open up its alcohol market in order to facilitate a fair and competitive environment that would also allow more Canadian consumers to enjoy Japanese sake.

4.159. Japan would like to touch upon Canada's forestry policies. We are particularly concerned by export restriction measures on logs from British Colombia. We would like to recall that the GATT requires general elimination of quantitative restrictions. Additionally, we are afraid that Canada's

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- 25 - stumpage program could lead to dumping of wood products exported from Canada. We expect Canada to refrain from taking excessive measures to protect its forestry industry.

4.160. In conclusion, we wish Canada a successful and productive TPR, and look forward to hearing of further progress regarding its trade and investment policies at its next TPR.

BRAZIL

4.161. As pointed out by the Secretariat's report, Canada's trade regime is significantly open. Imports and exports combined represent 65% of Canada's GDP and the average MFN tariff is 6.1%. Since the last Trade Policy Review in 2014, there was a noticeable increase in MFN duty-free tariff lines from 67.0% to 70.4%, which reflected the ITA expansion and some unilateral tariff elimination on products used in the agri-food processing industry.

4.162. Nevertheless, the overall picture reveals inconsistencies, as some sectors in Canada are far from enjoying a liberal regime. There is still a dualism in Canadian agriculture: a very competitive exporting sector coexisting with supply-managed industries. A complete array of protection instruments also remains in place: tariff-rate quotas, tariff escalation, tariff peaks, non-ad valorem tariffs, special safeguards, production quotas, and export subsidies.

4.163. We praise Canada for its commitment to eliminate the remaining export subsidies by the end of 2020, in accordance to the Nairobi Ministerial Decision, but we believe that more can be done. It is a matter of transparency and balance. For the period under review, agricultural tariff were 21.8% on average, compared to 2.5% for non-agricultural goods. This is almost ten times higher.

4.164. Turning to the bilateral relations between Brazil and Canada the bilateral trade volume had a significant increase of more than 20% in 2018. Brazilian exports to Canada increased 23.4%, whereas imports from Canada increased 27.9%. Bilateral Foreign Direct Investment (FDI) is also significant. Canada is one of the main destinations for Brazilian investments. In 2018, Brazil had a stock of FDI in Canada of over USD 20 billion, making it the seventh largest investor in Canada. Large parts of these investments refer to the mining sector. In the opposite direction, Canada had a stock of FDI in Brazil that reached USD 15 billion in 2018.

4.165. Another welcome development in our bilateral relations during the period under review is the start of the Mercosur-Canada FTA in March 2018. There have been five rounds of negotiations so far, involving more than 20 negotiating groups. Next week, in Montevideo, we should conclude negotiations on E-Commerce, SPS, Dispute Settlement and Environmental Issues.

4.166. This goes to show that Brazil and Canada have a lot in common, despite the differences in terms of development levels. Not only do Brazil and Canada have vast territories, diverse population, and abundant natural resources, but also share many common goals and interests - both count on free and open trade to expand and provide support for their economies, both are committed members of this organization and both attach great value to the rules-based multilateral trading system. As members of the Ottawa Group, we are doing our best to find suitable solutions to the difficult problems this Organization is facing.

4.167. In conclusion, let me just point out that Brazil has sent some additional questions to Canada and that, to our satisfaction, we note that the first questions were already replied. We wish a successful Trade Policy Review to Canada.

INDIA

4.168. During the period under review from 2015-18, the GDP of Canada grew at a moderate rate with a growth rate of 3% in 2017 which moderated to 1% in 2018. The Canadian economy also witnessed low inflation, a stable debt to GDP ratio, decline in current account deficit and the lowest rates of unemployment in the last few decades. The per capita GDP of Canada also increased to USD 46,182 in 2018. Canada is a diversified economy with trade amounting to almost 65% of the GDP.

4.169. The Canadian delegation at Geneva, led by Ambassador Stephen De Boer, has been an effective advocate for WTO reform, ably articulating the position of the middle grounders, as a leader

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- 26 - on the issue of gender and trade and on the work related to multilateral fisheries subsidy negotiations.

4.170. India and Canada share a multi-faceted relationship which is underpinned by shared values of democracy and pluralism. Canada is also home to a large Indian diaspora of around 1.6 million who are contributing to the socio-economic development of the country. In addition, 1,24,000 Indian students are currently studying in Canadian colleges.

4.171. Economic and trade relations are an important pillar of our bilateral relations. Trade between both countries stood at USD 6.34 billion in 2018-19. There is considerable potential to expand trade in products like iron and steel, pharmaceuticals, garments, marine products, electrical machinery, chemicals, oil and petroleum products. Investment from Canada into India has also grown in sectors like information technology, services, food processing, IT and pharmaceuticals. India is also becoming an attractive destination for Canadian investments, including from pension funds. A large number of Indian companies are also present in Canada in areas of banking, automobiles and information technology.

4.172. We have posed a large number of questions to Canada as part of this TPR and are thankful for the responses. My authorities would be reviewing the responses received. Let me, however, underline some areas of particular concern which impede the potential of our trade and economic ties.

4.173. There is considerable potential to strengthen trade in services between both countries. However, the existing Temporary Foreign Workers Programme or Global Skills Strategy of Canada is unable to cater to the requirements of IT professionals and other services providers from India. Addressing issues relating to mobility of skilled professionals from India to Canada, including the procedural delays in visa processing, and removing other restrictions in the temporary foreign workers programme will be of mutual benefit. The new Labour Market Impact Assessment imposes onerous burdens on employers, thereby affecting skilled labour mobility from India to Canada.

4.174. On trade in goods, we have regularly highlighted issues related to export of Indian agricultural products including fruits and vegetables which face challenges due to burdensome requirements of testing, inspection and SPS measures. The complex regulatory procedures for export of fish products from India to Canada are also impacting our trade in this area.

4.175. Currently, the Canadian authorities do not recognise the certification procedure of Indian organic products including poultry and meat products. India has been seeking equivalence for organic standards of our National Programme for Organic Production with Canada so that the certification procedures are simplified. We hope Canada will look into all these issues and meaningfully address them at the earliest for enhanced trade and mutual benefit.

4.176. Both countries are also negotiating a Comprehensive Economic Partnership Agreement which covers trade in goods, services and all areas of our economic cooperation and a bilateral investment agreement. Several rounds have been held and early conclusion of the foreign investment promotion and protection agreement and CEPA would give a fillip to our trade and economic ties.

4.177. To conclude, India looks forward to working closely with the authorities of Canada for further expanding and harnessing the potential of our trade and investment ties. We wish the delegation of Canada a productive and successful TPR.

THAILAND ON BEHALF OF ASEAN

4.178. ASEAN and Canada have expanding trade and investment relations with total merchandise trade amounting to nearly USD 18 billion in 2017, recording an increase by 10% from the previous year. In 2017 Canada was ranked as ASEAN's ninth largest trading partner. The ITC analysis1 indicates that products with the greatest export potential from ASEAN to Canada are telephone sets and other voice/image transmission apparatus, with the potential to realise additional exports of

1 This information is sourced from ITC website: https://exportpotential.intracen.org/#/products/tree- map?fromMarker=r&exporter=1&toMarker=j&market=124&whatMarker=k.

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- 27 - about USD 489 million in this sector. ASEAN anticipates continued positive trade relations with Canada so as to achieve and leverage this potential towards its development efforts.

4.179. ASEAN welcomes Canada's policy on Foreign Direct Investment (FDI) resulting in substantial direct investment abroad equivalent to 50% of its GDP in 2017. In the same light, ASEAN notes with pleasure the improvements made by Canada in facilitating foreign investment. The one stop shop for foreign investments as well as elimination of formal approval procedures are welcome steps that should increase opportunities for foreign investments in Canada. In addition, ASEAN is pleased to note that FDI inflows from Canada to ASEAN amounted to USD 9.4 billion in 2017.

4.180. ASEAN welcomes the completion of the Joint Feasibility Study for an ASEAN-Canada FTA which showed positive impact on trade and investment for both sides.

4.181. ASEAN also welcomes the progress made in the implementation of the 2016-2020 Work Plan of the ASEAN-Canada Joint Declaration on Trade and Investment.

4.182. To further build on this strong foundation, regular ASEAN-Canada Annual Trade Policy Dialogues continue to take place. Exchanging lessons learnt from ASEAN and Canada's FTAs negotiations with other dialogue partners will be useful for strengthening trade relations.

4.183. ASEAN notes with appreciation the various initiatives supported by Canada in collaboration with relevant ASEAN sectoral bodies, especially in the area of developing micro, small and medium enterprises (MSMEs). We believe that these initiatives will provide technical assistance and help build capacity on trade and investment in the region.

4.184. ASEAN expresses its appreciation for Canada's ongoing support through technical assistance to the region's efforts in promoting inclusive and innovation-led growth. ASEAN is also appreciative of the fact that Canada is an active and important member of the WTO, constructively participating in all areas of negotiations and implementation of outcomes.

4.185. ASEAN looks forward to its continued positive engagement with Canada both to strengthen the expanding bilateral relations as well as the multilateral trading system.

4.186. Finally, we would like to express our gratitude to Ambassador Stephen DE BOER and his delegation for their constructive engagement with the ASEAN delegations here in Geneva. We also wish to extend our special thanks to Ambassador DE BOER for being one of distinguished panellists at the WTO ASEAN Regional Seminar on the WTO Reform held in March this year in Bangkok.

THAILAND

4.187. Thailand and Canada have maintained strong, wide ranging, and mutually beneficial economic relations. We are pleased to highlight that our bilateral trade in 2018 totalled USD 2.5 billion, expanding by 15% from 2017. Canada is Thailand's third largest trading partner in the Americas while Thailand is Canada's second largest trading partner in ASEAN. Thailand hopes that our bilateral trade will continue to grow to further strengthen our economic relations.

4.188. We congratulate Canada on its overall positive economic performance since 2016. Canada's strategy to diversify its international trade and FDI will be of much interest to many of us. We are pleased to note that FDI flows from Thailand to Canada amounted to CAD 56 million in 2018. Further, we note that Canada stepped up efforts to improve its FDI attractiveness. However, most long- standing foreign investment restrictions remain in place. We, therefore, encourage Canada to consider further liberalization.

4.189. Canada has long been a key and invaluable contributor to the WTO. Thailand commends Canada for its contributions and commitment to WTO reform. As Cairns Group Members, Thailand has close working relationship with Canada in agriculture negotiations with a shared view of pushing for successful reforms in agriculture. We appreciate Canada's proactive contributions in the ongoing negotiations with a view to achieving outcomes in this crucial area by MC12.

4.190. In conclusion, we wish Canada every success in this Trade Policy Review.

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INDONESIA

4.191. Indonesia associates itself with the ASEAN statement made previously by Thailand.

4.192. This TPR is an important platform for Indonesia to look into avenues in improving the bilateral trade relation with Canada. This process has allowed Indonesia to learn much, in the ways the Canadian government formulates programs and policies to manage trade flows. Additionally, this TPR has assisted Indonesia in further understanding how WTO consistent trade and trade-related policies are being implemented in Canada – be it at the national level, as well as at the sub-national levels.

4.193. By the numbers, Indonesia and Canada are increasingly engaging in more trade activities, especially since 2016 when we started to inhibit a positive yearly growth in bilateral trade. The figure has since been increasing from a yearly growth of 12.26% (between 2016-2017) to 15.99% in the following year (between 2017-2018). This positive trade growth looks even more promising at the current rate of trade activities, where annual growth last March 2019 was recorded at 8.72%, and with more months to go until the end of 2019.

4.194. This positive development is, in itself, a tribute to our trust building engagements, at various fronts, and including at the WTO. The WTO helps in ensuring that the increasing bilateral trade flow remains healthy, and conducted with minimum unnecessary barriers.

4.195. Indonesia would like to point out that the USD 2.7 billion bilateral trade that is currently on the table is less than 1% of Indonesia's and less than 1% of Canada's total trade. We hope to see that the rising level of Canadian investment into Indonesia (which in 2018 sits at USD 3.2 billion) in which Indonesia has become Canada's second largest investment destination in Southeast Asia, will further complement the effort to raise bilateral trade.

4.196. Hence, overall, Indonesia sees room for improvement in our bilateral trade. Much discussions leading up to this TPR meeting has provided insights into this joint effort for trade improvement.

4.197. we have forwarded our inquiries in our written questions that we have submitted. And we convey appreciation to the Canadian delegation for the responses we have received to our advanced written questions, amongst them:

• on programs and regulations related to Canada's commitment to eliminate the remaining subsidies on dairy products; • on the government-run industrial and sector-specific incentive programs for international collaboration and R&D (research and development), including the GGI program (Going Global Innovation), CanExport, GOA (Global Opportunities Associations), CGI (Going Global Innovation), and ICCI (Invest Canada-Community Initiates) – and on how these programs are non-trade-distorting; • on the AgriMarketing program, and on how the program is not considered trade-distorting; • on the criteria and factors in categorizing a business as SME; • on the highly regulated tobacco market and industry; • on the qualifications for the General Preferential Tariff (GPT) treatment entitlement; and • on the empirical basis or factor behind categorizing some WTO members as non-developing, despite its status as developing members at the WTO.

4.198. We have submitted some follow up questions, some of them seeking clarification and elaboration on the responses to the advanced written questions. We look forward to receiving additional answers to these questions.

4.199. In conclusion, my delegation wishes Her Excellency Ms. Kendal Hembroff and her Ottawa-based delegation, success in the remaining phase of this TPR, and a safe trip home.

HONDURAS

4.200. For some decades, our countries have enjoyed a strong relationship, which has enabled us to share their visions of the building of a rules-based world trade order and their aspiration to achieve

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- 29 - fair, free, transparent, equitable and predictable trade, which reflects an appropriate balance between rights and obligations and promotes prosperity for our fellow citizens.

4.201. Canada has played a very constructive role in Honduras, always showing its commitment to democratic development, the strengthening of the development cooperation programme and the deepening of trade, investment and other ties.

4.202. Accordingly, Canada has made significant contributions to the financing of projects in our country in a range of different areas, focusing in particular on those that have adopted science-based approaches, to regulate trade in agri-food products and to strengthen capacities to adopt and meet agreed standards.

4.203. As the reports before us indicate, the bilateral and regional Free Trade Agreements constitute a key instrument for our countries in their efforts to diversify trade. For that reason, since 2014, our bilateral trade relationship has been governed by the Free Trade Agreement, which has made it possible to establish a more robust relationship in the various areas covered by the Agreement.

4.204. By 2017, bilateral trade between Canada and Honduras amounted to more than USD 88 million, with Honduran exports totalling around USD 40 million in coffee, fruit and vegetables among other goods, and imports from Canada around USD 48 million in meat and edible offal, vegetable preparations and cereal-based preparations.

4.205. Canada's foreign direct investment plays a significant role in Honduras in garment and mining. The garment industry generates more than 20,000 jobs in Honduras.

4.206. With regard to the reports under consideration, we are pleased to learn that the Canadian economy experienced strong growth during the second half of the period under review and grew by 3.0% in 2017, the highest percentage since 2011 and the fastest rate of growth among the G7 countries, which is a remarkable achievement.

4.207. In 2017, as in 2015 and 2016, Canada ranked 10th among the world's largest economies and, according to the International Monetary Fund (IMF), Canada's net debt-to-GDP ratio is the lowest among the G7 countries, less than a third of the average for those countries.

4.208. We note from the adoption and implementation of its public policies that Canada is manifesting a commitment to the maintenance of a strong and effective intellectual property regime that supports innovation, investment and economic growth, and we highlight its recently launched intellectual property strategy.

4.209. We also note the recent creation of the Invest in Canada Hub, and the adoption of the country's new Tourism Vision.

4.210. Canada is currently one of the world's leading producers of a variety of natural resources, including timber, oil, gas, minerals and ores, and is a world leader in food quality and environmentally friendly agricultural innovation and production, and we recognize its leadership in modernizing the WTO through the Ottawa Group initiative.

4.211. In addition, we note that it ranks 12th among the main exporters and importers of goods, eighteenth among the main exporters of commercial services, fourteenth among the main importers of services of this category and twenty-second in the ease of doing business ranking and that it is among the least corrupt countries in the world.

4.212. In conclusion, Honduras congratulates Canada on its outstanding and important achievements during the period under review, and we wish the country every success.

CHINA

4.213. We note that after two years of weak economic growth, the Canadian economy has achieved strong growth in the second half of 2016 and 2017. During the period under review, Canada had seen a relatively low inflation rate, and a stable federal government debt-to-GDP ratio, with its current account deficit declining.

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4.214. As an original GATT contracting party and founding member of the WTO, Canada is an important player in international trade and has been actively participated in the regular work of the WTO and WTO reforms, while joining in discussions on e-commerce, investment facilitation and SMEs.

4.215. The multilateral trading system is currently facing unprecedented challenges. As emphasized in its Government statement, Canada will support the multilateral trading system with the WTO at its core, as such system is playing a vital role in lifting the economic level of all Members and maintaining the world prosperity and stability. We hope that Canada can continue to play such role in the WTO.

4.216. China is the second largest trading partner of Canada. We are important investment destinations of each other. During the period of review, our bilateral trade experienced fast growth. According to statistics on the Chinese side, our bilateral trade in goods registered USD 63.54 billion in 2018, a year-on-year growth of 22.7%, bilateral trade in services grew rapidly and reached USD 25.28 billion in 2018.

4.217. By the end of 2018, China's direct investment in Canada was about USD 11.92 billion and Canada's investment in China amounted to USD 10.72 billion.

4.218. Meanwhile, the total trade volume between China and Canada only accounted for 1.2% of China's total foreign trade and 8.1% of Canada's total foreign trade respectively. We believe that there is huge potential for both sides to improve trade relations.

4.219. With respect to Canada's trade policies and measures, we have several concerns.

4.220. First, the business environment of Canada. Since the last Review, Canada's restrictions on foreign investment have persisted and national security review has been generally used. China expects Canada to relax its restrictions on foreign investment and apply national security review clauses in a prudent way, and treat investors from all members including China equally, properly addressing issues in the bilateral investment through dialogues.

4.221. Second, the impact of bilateral and regional economic and trade arrangements. China is closely analysing the implications of the Canada-EU Comprehensive Economic and Trade Agreement (CETA), the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), and the US-Mexico-Canada Agreement (USMCA). China hopes that the implementation of these agreements will not impede Canada's existing bilateral economic and trade cooperation with other trading partners.

4.222. Third, trade remedy measures. Canada remains an active user of trade remedies. We hope that Canada can adopt trade remedy measures with restraint and address trade frictions through dialogues and negotiations.

4.223. In addition, China is also concerned about Canada's latest policies in agriculture, energy, aviation and intellectual property protection.

4.224. China attaches great importance to the development of bilateral relations with Canada. And China hopes that Canada would also value its economic and trade cooperation with China.

4.225. China is willing to work together with other members to safeguard the multilateral trading system with the WTO at its core, support necessary reforms of the WTO to address the crisis faced by the WTO, while responding to the development demand, and promoting an open world economy.

4.226. I would like to conclude by expressing my appreciation to the Canadian delegation for its responses to our questions. We will study these replies carefully. Finally, I would wish this policy Review a complete success.

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ARGENTINA

4.227. Argentina appreciates the efforts made by Canada during the period under review to address the slowdown in economic growth through strategic investments in physical and social infrastructure, innovation, science and research, and skills and training.

4.228. Argentina commends Canada on its achievement of a high standard of living for its population with a GDP per capita in nominal terms of USD 46,182 in 2018.

4.229. Argentina also commends Canada on the role that it has played in helping to build a world order based on the rule of law and the aspiration to free, inclusive and more open trade, with the aim of ensuring that the benefits of trade are shared by all. It salutes its efforts to defend fair and predictable trade through the rules-based multilateral trading system, with the WTO at its centre, primarily to confront the challenge posed by the growth of unilateral trade restrictive measures and increased protectionism.

4.230. Argentina shares Canada's view that the WTO is an institution indispensable for the preservation of the multilateral trade system, which serves as a forum for the opening of markets and liberalization of trade, creating rules that establish a predictable environment in which to operate, promoting transparency, debating the issues that arise and resolving disputes when they arise.

4.231. In this context, our country appreciates the active engagement with which Canada has contributed to the regular work of the WTO committees, negotiations, dispute settlement, the conduct of oversight and multilateral initiatives.

4.232. Particular attention is drawn to the leadership role played by Canada and Argentina welcomes its trade and gender initiatives. We perceive these as being aligned with the Joint Declaration on Trade and Women's Economic Empowerment of the Eleventh WTO Ministerial Conference in Buenos Aires, in addition to its commitment to the modernization and reform of the WTO through the formation of the Ottawa Group.

4.233. We welcome the information that it notified the WTO of its acceptance of the Trade Facilitation Agreement (TFA) in 2016. In addition, it has completed the procedures and implemented the commitments entered into under the Information Technology Agreement (ITA) Expansion and has regularly met its notification obligations during the period under review.

4.234. We would also like to highlight the role that Canada and its delegation in Geneva have played in the negotiations on fisheries subsidies, with a view to reaching an agreement to prohibit certain forms of fisheries subsidies that contribute to overcapacity and overfishing and to eliminate those that contribute to illegal, unreported and unregulated fishing.

4.235. We encourage Canada's efforts to diversify its trade, and welcome the bilateral and regional FTAs concluded during the review period. It should be noted that, during this period, Canada and Argentina began negotiations in 2018, within the framework of MERCOSUR's external relations, with a view to concluding a comprehensive FTA.

4.236. Regarding the bilateral relationship between Argentina and Canada, our country has duty-free access to the Canadian market for approximately 94% of the products that it exports to that market.

4.237. Canada is the only country party to the Canada-United States-Mexico Agreement with which our country maintains a surplus, due to the exports of minerals ( and silver) extracted by Canadian mining companies from Argentine territory (approximately 80% of total exports).

4.238. During 2018 the bilateral trade surplus showed a positive trend for Argentina, reaching USD 907.4 million (an increase of 35% over 2017).

4.239. The main products exported to Canada in 2018 were: unrefined gold, wines, biodiesel and blends, alloy steels in ingots or other primary forms and unrefined silver, while the main products

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- 32 - imported from Canada in 2018 were aircraft with an unladen weight greater than 15,000 kg, components of pumps for liquids, medicines, potassium chloride and rolls for graphic use.

4.240. In closing, and while reiterating our appreciation for this new opportunity to exchange pertinent facts and views on Canada's trade policies and practices, allow us to point out once again the relevance of this exercise in transparency in all its aspects and to wish the Canadian authorities the successful conclusion of this Review.

DOMINICAN REPUBLIC

4.241. Canada is an important trading partner for the Dominican Republic and exports from Canada to this country in 2018 amounted to approximately USD 169.46 million, the main products being fish and crustaceans, cereals and oils, among others. Exports from the Dominican Republic to Canada in the same year totalled USD 775.29 million, and the main products were gold, silver, cigars, cocoa, pharmaceutical products, textiles and others. Canada ranks second as the country of origin in foreign investment flows to the Dominican Republic, with a total of USD 329.3 million in 2018, according to figures from Trade Map and from the Central Bank of the Dominican Republic.

4.242. We wish to congratulate Canada on the good performance of its economy, seeing the indication in the Secretariat report that, during the period under review (2015–18), the Canadian economy experienced moderate GDP growth, low inflation, and a relatively stable federal government debt-to-GDP ratio. We are pleased to see that Canada has shown resilience and consistency in its international trade policy and that this has enabled it to maintain its good economic performance. Thus, after registering weak growth in 2015 and 2016, due to the drop in oil prices, Canada registered strong growth from the second half of 2016 and during 2017, at a level of 3% in 2017, as the economy responded to monetary and fiscal stimulus policies. Growth was sustained at 1.8% in 2018, owing to the lower contribution of household consumption and business investment.

4.243. We note with satisfaction that Canada has a diversified economy, with the services sector accounting for approximately 70% of GDP during the reporting period. Furthermore, Canada is one of the world's leading producers of a variety of natural resources, including timber, oil, gas and minerals.

4.244. At the same time, as indicated by the report, Canada remains heavily dependent on the United States market, although, during the period under review, two-way trade with China and Mexico has increased.

4.245. We note with satisfaction that Canada notified the WTO of its acceptance of the Trade Facilitation Agreement (TFA) on 16 December 2016. In addition, it has completed the procedures and implemented the commitments entered into under the Information Technology Agreement (ITA) Expansion and has regularly met its notification obligations during the period under review.

4.246. In the area of trade facilitation, we see that no significant amendments were made to the Customs Act during the period under review, but, in July 2015, the regulations relating to reporting requirements of the Advance Cargo Information (ACI) programme were introduced, obliging commercial customers to submit electronic pre-arrival information to Canada Border Services Agency (CBSA) officers. CBSA has also launched two other trade facilitation initiatives, the Single Window Initiative and Phase 1 of the CBSA Assessment and Revenue Management (CARM) project.

4.247. As in the previous review, we are concerned to see that Canada remains an active user of trade remedies. Between 2015 and 2018, 45 anti-dumping investigations were initiated and 33 measures were adopted, compared to 24 measures adopted between 2011 and 2014. Canada's trade remedies legislation was modified during the period under review. One of the main changes was the introduction of legislation enabling anti-circumvention investigations to determine whether goods are being imported for the specific purpose of circumventing existing anti-dumping or countervailing duties. Scope proceedings were also introduced, to establish whether a particular product falls within the scope of an existing anti-dumping and/or countervailing measure. In this regard, we urge the Canadian authorities to exercise their right to the application of these measures with caution, lest they unduly affect exports from developing countries.

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4.248. Our attention is also drawn by the information that, in the agricultural sector, the main programmes and support services are being implemented through a five-year joint federal and provincial/territorial policy framework. On 1 April 2018, the Growing Forward 2 Framework was succeeded by the Canadian Agricultural Partnership. The Partnership foresees expenditures of CAD 1 billion on federal programmes and activities over the current five-year period. An expenditure of CAD 2 billion is also projected for cost-sharing programmes and activities designed and delivered by the provincial and territorial authorities. We are concerned about this high level of aid, since this could cause distortions in the international market.

4.249. In conclusion, it only remains for us to congratulate Canada once again and to wish it success in this Trade Policy Review and in the future.

ECUADOR

4.250. My delegation is following this eleventh Trade Policy Review with great interest, given the importance for Ecuador of the bilateral relations that it maintains with Canada, relations which it hopes to strengthen.

4.251. Through the reports that have been submitted, my delegation has been looking closely at the evolution of the Canadian economy, which, during the period under review, has resulted in moderate GDP growth and high diversification. Attention should be given to the high standard of living that Canada has achieved for its population, which, in nominal terms, had a GDP per capita of USD 46,182 in 2018.

4.252. Foreign trade and, in particular, exports of goods comprise not only primary commodities, but also incorporate intermediate and high value-added products. These considerations form part of one of the core priorities elaborated in the annual plan of Global Affairs Canada: namely, to diversify international trade and foreign direct investment, with a view to increasing economic opportunity. Accordingly, my delegation looks with interest at the inclusive approach established by that plan, insofar as it focuses on the inclusion of transparency, labour rights, the environment, small and medium-sized enterprises, gender and indigenous peoples in trade and investment agreements.

4.253. Notwithstanding the foregoing, the high degree of concentration of its exports, more than 70% of which are destined for a single market – that of the United States of America – is evidence of the economy's high vulnerability to external factors. The greater diversification and search for new markets would be strongly advised.

4.254. Where trade policies and practices are concerned, we take note of the binding of 99.7% of its tariff lines. At the same time, the use of tariff quotas and other non-tariff measures such as technical regulations and sanitary and phytosanitary measures, involving risk analysis procedures that are not always very smooth, may restrict effective access to the Canadian market. Several of Ecuador's questions to Canada relate to these issues.

4.255. Ecuador's strategic relationship with Canada has a long history, stemming from the early 20th century with the construction of the Ecuadorian railway and significant investments in the mining sector. These investments have now been strengthened and constitute an important source of financing for responsible mining projects promoted by the Ecuadorian Government.

4.256. Trade relations between Canada and Ecuador have been largely characterized by trade in agricultural products. Ecuadorian cocoa, roses and shrimp are the main export items, while Ecuadorian imports from Canada consist primarily of the purchase of wheat, lentils and motor vehicles. According to the records of our Central Bank, trade between the two countries has shown a slight upward growth, although it has been characterized by a sustained deficit for Ecuador, which in 2018 exceeded USD 180 million. We therefore take this opportunity to restate Ecuador's interest in achieving a more balanced trade relationship.

4.257. Attention should be drawn to the productive cooperation developed between Canada and Ecuador in the promotion of science, innovation and technology programmes and scholarship programmes for Ecuadorian students. Another event worth noting is the entry into force in 2017 of the Ecuador-Canada Air Services Agreement. This Agreement has led to better connections between the two countries, through direct flights, which has made possible the steady expansion of

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- 34 - commercial relations and the strengthening of tourism in both countries. We reiterate Ecuador's interest in deepening trade and investment relations with Canada.

4.258. In conclusion, we thank the delegation of Canada for its responses to the questions that we raised and we wish the country success in concluding its Eleventh Trade Policy Review.

PHILIPPINES

4.259. The Philippines associates itself with the ASEAN statement delivered by Thailand recognizing the growing trade and investment relations between ASEAN and Canada. We value this relationship deeply.

4.260. Trade plays a critical role in the Canadian economy, with aggregate two-way trade accounting for approximately 66% of its GDP. Canada accounts for 2.4% of global trade. In 2017, it was ranked as the 12th largest merchandise exporter and 12th largest merchandise importer in the world.

4.261. The Philippines and Canada have a long-standing bilateral economic relation. In 2018, Philippine exports to Canada grew by 8%, while imports from Canada increased by 13.5% making Canada the Philippines' 20th major trading partner in the world. Among the top traded products between the two countries are ignition wiring sets, copper ores, wood, and airplanes.

4.262. The Philippines notes from the Secretariat's report that during the review period, Canada's trade policy focused on diversifying international trade and foreign direct investment (FDI), and on pursuing an inclusive approach to trade, focused on transparency, labour rights, the environment, micro, small and medium-sized enterprises (MSMEs), gender, and indigenous peoples.

4.263. The Philippines recognizes Canada's new Export Diversification Strategy, with the goal of increasing overseas exports by 50% by 2025; and commends its efforts in improving support to companies looking to export, particularly MSMEs, and promoting gender equality through reducing barriers to the participation of women in international trade.

4.264. The Philippines appreciates Canada's recognition of the important role MSMEs in achieving inclusive growth and sustainable development, and looks forward to continue working together in advancing this initiative in the WTO.

4.265. Moreover, Canada is an active user of trade remedies and it has shown increase in the use of anti-dumping measures in recent years with 83 definitive anti-dumping measures in place as of end of 2018. More than two-thirds of these measures were applied on steel products, including those that come from the Philippines. In this respect, the Philippines would like to know more about the factors that have contributed to the increase and encourages Canada to exercise circumspection in taking these measures, especially in the case of developing countries.

4.266. The Philippines has submitted some written questions on the Canada' trade policy review reports, and we thank their delegation for their responses which we will transmit to our capital for consideration.

4.267. In closing, our delegation would like to express our appreciation to Ambassador De Boer for his invaluable contribution as discussant in the Philippines' 5th Trade Policy Review last year. The Philippines looks forward to further enhancing the mutually beneficial economic relations between our countries in the bilateral, regional, and multilateral fora.

REPUBLIC OF KOREA

4.268. I note with appreciation that Canada actively pursues an inclusive approach to trade through increased public engagement and protection of labour rights and the environment, together with improved conditions for the underrepresented such as small and medium-sized enterprises (SMEs), all of which are essential in shaping the modern-day trade policy.

4.269. In addition, I am pleased that Canada ratified the WTO Trade Facilitation Agreement (TFA) in 2015 and, in parallel, rolled out initiatives to streamline trade and investment procedures by

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- 35 - creating one-stop service points through the Single Window Initiative and Invest in Canada Hub in particular.

4.270. I am especially encouraged that Canada remains a champion of a free, open, and rule-based trade system.

4.271. To illustrate, 70.4% of Canada's tariff lines have become duty-free as of 2019 on an MFN basis compared with 67% in 2014, as import duties have been eliminated under the expanded WTO Information Technology Agreement (ITA). I also note that Canada has now formally removed export subsidies for major agricultural products including wheat and oil seeds, and is bound to phase out remaining export subsidies by the end of 2020 in accordance with the Nairobi Ministerial Decision on Export Competition.

4.272. Turning to the bilateral front, I am pleased to note that Korea and Canada have maintained mutually beneficial trade relations based on the complementary nature of the two economies. Korea is Canada's seventh largest trading partner and the third biggest in Asia.

4.273. Following the entry into force of the Korea-Canada FTA in 2015, our trade volume has made a steady increase. Especially last year, it surged by 18% and reached USD 11.5 billion making the highest record for the past seven years.

4.274. On investment, a total of USD 27 billion have been injected into both nations to increasingly diversified sectors. Korean FDI to Canada, once limited to mining and exploration, is now driven by financial and insurance services.

4.275. Canadian investment to Korea is well spread among manufacturing, bio-technology and ICT sectors, which rendered a remarkable increase by 47% between 2015 and 2017 from the previous three years.

4.276. These outcomes once again vindicate significant contribution the FTA makes to our bilateral relations.

4.277. I would also like to take this opportunity to briefly comment on where there may be room for improvement in Canada's trade remedies.

4.278. As pointed out in the Secretariat's report, Canada is an active user of trade remedies, and cases are mounting at an accelerating pace.

4.279. Thirty-three (33) new anti-dumping measures were adopted between 2015 and 2018 whereas twenty-four (24) had been taken in the previous review period. It is noted with concern that Korea is one of the most targeted nations, primarily in regard to steel products with a total of twelve (12) cases as of today.

4.280. Korea believes that determinations on some of these cases were not made fully based on the facts available or with clarity in their review process in which the Canadian regulatory entity is given substantial discretionary authority. Taking into account the adverse effects of these measures on trade, it would be advisable that more prudent approaches are taken in both initiating investigations and implementing review proceedings.

4.281. Finally, Canada stands out as one of the most advanced and responsible trading nations and is expected to exercise more leadership on this front. As Canada emphasized in the report, I have no doubt that Canada will continue to be at the forefront of protecting and building global confidence for the benefit of liberalized trade and the multilateral system.

4.282. I would like to conclude by expressing my deep appreciation to the Canadian delegation for its hard work and wishing the delegation every success in this Trade Policy Review.

SINGAPORE

4.283. Canada and Singapore enjoy warm and longstanding ties. Our economic relationship is multi- faceted, with substantive engagement at the government-to-government level, as well as strong

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- 36 - business ties between our private sectors. We also enjoy good investment links that have continued to grow.

i. Bilateral trade in goods totalled USD 2.1 billion in 2017, while services trade amounted to USD 1.8 billion in 2016. ii. We are also heartened that investment flow from Canada has been on an upward trend, totalling USD 8.9 billion in 2016.

4.284. Looking ahead, we believe that there are opportunities to further boost the trade and investment ties between our two countries and work together to strengthen the multilateral trading system.

4.285. One, Singapore and Canada continue to identify new opportunities for collaboration in areas of mutual interest, at the federal, provincial and municipal levels. During his visit to Singapore for the 33rd ASEAN and Related Summits in November 2018, Canadian Prime Minister and my Prime Minister Lee Hsien Loong witnessed the signing of two Memoranda of Understanding (MOUs) on (i) cybersecurity cooperation, and (ii) infrastructure and smart cities cooperation. These are examples marking new and important areas of collaboration that will further deepen trade and investment links between Singapore and Canada.

4.286. Canadian businesses have been keen to leverage Singapore to expand operations across South-east Asia and the wider region. Singapore can continue to serve as a strategic launch-pad for these companies, which can tap on our networks as they expand their regional presence.

4.287. Two, Singapore is committed to boosting investment ties. We welcome the sizeable presence of Canadian companies in Singapore, which serves as their strategic launch pad to tap into the growing economic opportunities in ASEAN and the wider Asia Pacific region. We also appreciate Canada's efforts to improve its attraction as a destination for foreign direct investment (FDI) by creating a one-stop shop for foreign investors through the creation of Invest in Canada, and new measures to eliminate formal approval procedures for many potential investments.

4.288. We note the intention of the Investment Canada Act (ICA) to strike a fine balance between encouraging foreign investments and safeguarding Canada's national security interest. However, we are concerned that the net benefit review investment threshold, specifically the significantly lower threshold applicable for state-owned enterprises, could become a barrier to legitimate foreign investment. Commercially-run entities with a credible track record should not be penalised purely on the basis of ownership, and therefore disadvantaged in accessing investment opportunities.

4.289. We hope that Canada can consider differentiating the thresholds for investors based on governance-related factors, and allow commercially-run entities to benefit from the review threshold that is applicable to private sector investors. This will enable a more targeted approach in Canada's review of foreign investments, and better achieve the intent of the ICA in balancing economic and national interests.

4.290. Three, Singapore will continue to work with Canada and all Members to strengthen the rules- based multilateral trading system embodied in the WTO. We appreciate Canada's active role and leadership in the ongoing dialogue on WTO reform. In particular, Singapore appreciates Canada's initiative in convening the Ottawa Group, which has contributed to enriching the discussions on WTO reform and spurring constructive discussions with the larger WTO Membership.

4.291. We wish Canada every success in its 11th Trade Policy Review and look forward to continuing to work closely together.

TURKEY

4.292. In 2018, Canada was the 10th largest economy in the World with a nominal GDP close to USD 1.7 trillion. Since 2018, the Canadian economy has been registering steady growth, with an average rate of 2.1%.

4.293. Canada plays an important role as a link between and the fast-growing economies of Asia.

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4.294. A net exporter of natural resources, being a member of the OECD, G-7 and G-20, Canada is considered one of the most dynamic economies in the World due to its secure business and investment environment.

4.295. We would like to commend Canada for the many initiatives that it launched during the review period for diversifying its international trade and foreign direct investment.

4.296. This is particularly true for its efforts in making trade more inclusive in terms of the involvement of SME's and the economic empowerment of women. Canada's efforts in this regard were especially visible in its engagement at the WTO.

4.297. We see the new Export Diversification Strategy as an important instrument to guide the exports of the country and help increasing overseas exports by 50% by 2025 as projected.

4.298. It is based on this outlook that Turkey follows Canada as an important actor in global trade and related issues. We find Canada's efforts in preserving and improving the rules based multilateral trading system to be especially noteworthy as we appreciate its efforts through the Ottawa Group.

4.299. We would also like to congratulate Canada for successfully fulfilling its notification requirements during the review period.

4.300. Although there is progress in accessing investment architecture for foreigners, like the creation of Invest in Canada, foreign investment restrictions in key sectors, including mining and telecommunications still remain in place. The report underlines this issue as well. This is also confirmed by the OECD Restrictiveness Index. We therefore point out that there is still room for improvement in this vein.

4.301. Although Canada maintains its open trade regime during the review period, applied tariffs on agricultural products remain considerably higher than on industrial products.

4.302. As the Secretariat report states the average applied tariff rate on agricultural products is 21.8%, where average tariff for dairy products is 238.7% and 47.2% for animal products.

4.303. The limited tariff rate quota application and the high tariff is also preventing market access for our companies. We may say that agricultural sector is still not as competitive as other sectors primarily because of high tariffs and subsidies. We therefore encourage Canada to calibrate its policies in agriculture sector.

4.304. Pursuant global developments in steel industry, Canadian Federal Government has announced financial support programs for the domestic steel sector. We are closely monitoring those subsidized financial aids and hope that they are brought more in line with arrangements under the WTO.

4.305. (As other have mentioned) Canada continues to actively use trade remedies. Adopted anti-dumping measures are on increase and registered as 33 in the review period, compared with 24 measures in the previous review period. Four of these measures were applied on Turkey. On trade remedies, we expect Canada to continue cooperation with Turkey for ongoing investigation and to adapt less protective measures.

4.306. We are also concerned on recent proposed amendments to the safeguard legislation in Canada. These amendments aim to repeal the provisions in the Customs Tariff to allow the Government to impose back-to-back provisional safeguard measures. We remind Canada to take into account the existing safeguard rules of the WTO Agreements and requirement of a "cooling off" period of two years before new measures are introduced in line with existing agreements.

4.307. Canada is an important economic and commercial partner for Turkey.

4.308. It has been designated by our Ministry of Trade as one of the high priority countries for the term 2018-2019.

4.309. Our bilateral trade volume in 2018 in was USD 3.28 billion.

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4.310. Just last week we signed the Agreement for the establishment of a Joint Economic and Trade Committee (JETCO) on the margins of the G-20 Trade Ministerial Meeting in Japan.

4.311. There are 377 Canadian companies operating in Turkey. Direct investment of Canada in Turkey reached USD 543 million as of March 2019. Turkish investment in Canada is about USD 100 million.

4.312. We hope JETCO to accelerate the process for starting negotiations of Canada-Turkey FTA and deliver further growth in our trade volume.

4.313. We are also ready to negotiate an Agreement on Mutual Promotion and Protection of Investments.

4.314. Turkey will continue its close and fruitful dialogue with Canada in both bilateral and multilateral platforms.

COSTA RICA

4.315. Canada is a very important trading partner for Costa Rica. We have had a free trade agreement since 2002 and this agreement has particular significance for Costa Rica, as it was the first one that we signed with a developed country, promoting increased trade and investment flows under conditions of predictability, security and transparency. It was also the first trade agreement in which, through the conclusion of parallel cooperation agreements, Costa Rica incorporated provisions on environmental and labour issues.

4.316. We are complementary markets, so our trade exchanges include both agricultural and industrial goods – in both directions – and Canada has found in Costa Rica an interesting destination for its investments, in particular in the industrial and financial domains.

4.317. In the multilateral arena, Canada and Costa Rica are fellow members of the Cairns Group and the Friends of the System group, just as we share similar approaches on issues such as trade facilitation, transparency in the fulfilment of obligations, sustainable trade and development, gender and micro, small and medium-sized enterprises, to name a few.

4.318. During the assessment period, Canada made a commitment to eliminate agricultural export subsidies, as agreed at the Ministerial Conference in Nairobi, and has progressively honoured this commitment with a view to its fulfilment by 2020 at the latest.

4.319. Furthermore, as a major exporter of fish and fish products, Canada is committed to negotiations on fisheries subsidies and, in particular, to combating illegal, unreported and unregulated fishing. This commitment is reflected in the actions taken by the country in the course of its active participation in the ongoing negotiations, along with national legal reforms and the signing of conventions on the protection of marine resources. Costa Rica would like to commend Canada's actions in this field, which reflect its commitment to the multilateral system and to an institutional framework based on rules, transparency and equity.

4.320. In the area of services, we note the robustness of its financial, telecommunications and insurance sectors, and also that of transport, where the increase in air transport capacity has led to the growth of the tourism sector. This has also benefited Costa Rica because Costa Rica's beaches and forests play host to thousands of Canadian tourists taking advantage of the frequent and direct flights from Toronto, and .

4.321. Where tariff policy is concerned, attention is drawn to the application of non-ad valorem tariffs and of much higher tariffs in the agricultural sector than in the industrial sector. Costa Rica believes that there is still ample room for improvement in this area.

4.322. The challenges faced by a Member such as Canada are very different from those faced by countries like Costa Rica because of its scale and resources. The manner in which it addresses them, however, is comparable, with the same pragmatism and commitment.

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4.323. We are pleased to have been part of this Trade Policy Review, because, even though my delegation did not put forward any questions, this peer-to-peer exercise in transparency is inclusive and conducive to a frank and constructive exchange.

4.324. I wish Canada a successful conclusion of its Eleventh Trade Policy Review and thank the discussant and the Secretariat once again for their valuable input.

URUGUAY

4.325. First, we congratulate Canada on its key macroeconomic achievements during the period under review, based on a diversified and open economy and a high standard of living for its people. We also highlight the country's efforts to deepen its participation in the international economy through the diversification of its international trade and foreign direct investment, based on transparency, labour rights, the environment, small and medium-sized enterprises, and other elements.

4.326. We also highlight Canada's commitment and active participation and leadership in the routine work of the WTO councils and committees, negotiations, settlement of disputes, promotion of initiatives, in particular the Council for Trade in Goods, under the leadership of Ambassador Stephen de Boer, the chair of which has recently been assumed by Uruguay.

4.327. We note the interest displayed by Canada in concluding trade agreements as part of its trade policy and the entry into force or provisional application of some of these agreements. In this context, we recall that MERCOSUR and Canada have been negotiating a free trade agreement since last year and that, during the negotiation rounds, they made progress in the various chapters of that agreement, including chapters on labour issues, the environment, small and medium-sized enterprises, and gender and trade. As the process moves forward, meetings are held in accordance with an intensive work plan and these will continue next week in Montevideo, we understand, with the aim of concluding the negotiations as a whole by the end of 2019.

4.328. Uruguay wishes Canada every success in its Trade Policy Review.

VIET NAM

4.329. We would like to associate ourselves with the ASEAN joint statement delivered by Ambassador Sunanta Kangvalkulkij of Thailand.

4.330. We are pleased to know that the Canadian economy continued to grow during the review period. Moderate GDP growth was combined with low inflation, a decreasing current account deficit and real exchange rate depreciation. With this performance, we believe that the country's economy will expand further in the years to come.

4.331. For our trade relations, Viet Nam is Canada's largest trading partner within the ASEAN. In 2018, bilateral trade recorded a year-on-year increase of over 10% to nearly USD 3.9 billion.

4.332. Viet Nam's major export items to Canada are garment and textile, footwear, computers, and electronic products and components. Viet Nam mainly imports wheat, and soya bean from Canada. Two-way trade is targeted to reach USD 8 billion in the next five years.

4.333. In terms of investment, we would welcome Canadian investors to invest in the financial, banking, high technology, agricultural and renewable energy sectors.

4.334. Viet Nam and Canada are now Parties of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). Since the entry into force of the Agreement for both countries in January 2019, two-way trade has posted a sharp increase of 30% year-on-year to USD 1.46 billion.

4.335. Given the fact that the CPTPP is a high-standard and "new generation" agreement, with the commitments made to each other in this Agreement, bilateral trade between Viet Nam and Canada is expected to expand strongly and sustainably in the coming time, bringing about practical benefits for both countries and the people.

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4.336. At the multilateral level, Viet Nam highly commends Canada's commitment and valuable contribution over the years to the WTO. Canada is not only the tenth biggest economy in the world, but also one of the most active and leading Members of the Organization. Viet Nam appreciates the important roles played by Canada in promoting negotiations and deliberations in recent years, including potential WTO improvements, particularly at this critical stage for this organization. Canada has been contributing in the process as an important Member and as an active proponent of the various negotiation areas.

4.337. Finally, I would like to commend Ambassador Stephen de Boer and his able team for the very active and constructive role they play in all of the WTO's activities. We wish Canada a very fruitful and successful TPR.

AFGHANISTAN

4.338. We are pleased to note that Canada's economy witnessed GDP growth and low inflation during the review period. GDP per capita reached CAD 59,838 in 2018, up from CAD 58,607 in 2017.

4.339. We appreciate Canada's trade policy focus on diversifying international trade and foreign direct investment (FDI), and on pursuing an inclusive approach to trade, focused on transparency, labour rights, the environment, small and medium-sized enterprises (SMEs), gender, and Indigenous peoples.

4.340. Also, Afghanistan commends Canada for concluding new FTA's and joining new multilateral treaties in the period of review.

4.341. I would like to underline the importance of Canada's commitment and leadership to preserve multilateral trading system and address the challenges of this organization.

4.342. Canada is an active Member of the WTO with regular contribution in WTO committees, negotiations, dispute settlement, monitoring, and plurilateral initiatives. It also plays a leadership role by chairing WTO bodies and promoting initiatives such as trade and gender in the WTO, as well as through its work on WTO reform.

4.343. I would like to take this opportunity to commend the excellent work and leadership of Ambasador Stephen de Boer and his competent team members here in Geneva.

4.344. While Afghanistan values its historic relationship with Canada, we acknowledge the positive role of Canada has played amongst other friends of Afghanistan, during the past 18 years, in our new and critical journey towards a secure, open, democratic and prosperous Afghanistan. In particular, we value Canada's support to Afghanistan during its accession to the WTO.

4.345. I would like to take this opportunity to thank the Government and people of Canada for their invaluable assistance and support provided to my country.

4.346. I conclude my statement by wishing the delegation of Canada a very successful and productive Trade Policy Review.

GUATEMALA

4.347. and Canada have traditionally maintained a close and cordial relationship on a wide range of issues on their bilateral and regional agendas. Where trade and investment are concerned, our two countries have historically maintained a stable and harmonious relationship. There is great potential, however, for a significant expansion of trade in goods and services.

4.348. Guatemala is Canada's second largest trading partner in Central America. The trade balance has shown positive growth in recent years. Bilateral trade in goods between Canada and Guatemala in 2017 amounted to USD 832.2 million. The main products imported from Canada comprise machinery, potatoes, and electrical appliances. The main products exported to Canada are sugar, textiles, vegetables and fruit.

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4.349. Canadian investments in Guatemala constitute one of its principal sources of foreign direct investment (FDI) and cover a wide variety of sectors, such as mining, agriculture, forestry, energy, telecommunications and financial services. Our countries have discussed and negotiated a Free Trade Agreement for several years and we both remain open to continuing those negotiations.

4.350. With regard to the Trade Policy Review that is on our agenda today, we commend the ability of the Canadian economy to withstand external shocks and maintain growth, and also the country's application of a prudent fiscal policy and its efforts over the period 2015–16 to rebalance its deficit. We take note of its active participation in the different arenas of this Organization, in which it has made a constructive contribution to many of the initiatives to strengthen multilateralism.

4.351. Canada notified the WTO of its acceptance of the Trade Facilitation Agreement (TFA) on 16 December 2016. In addition, it has completed the procedures and implemented its commitments under the Information Technology Agreement (ITA) Expansion, and has regularly met its notification requirements during the period.

4.352. At the same time, we are struck by the number of subsidy and incentive programmes providing assistance of various kinds to its enterprises, and also by the implementation of measures to promote women's participation in trade, the promotion of new production chains as an incentive for small and medium-sized enterprises as part of their export diversification strategy.

4.353. Over this review period, Canada has set up Invest in Canada, a ministerial body whose purpose is to increase the country's capacity to attract and facilitate foreign direct investment as a means of generating new sources of employment in the country's various economic sectors.

4.354. It should be noted that one of the issues of particular importance for Canada is that of intellectual property rights. Thus, in 2018, it launched its Intellectual Property Strategy, as a tool to boost growth in the business sector and to foster innovation and technology transfer as key elements of development.

4.355. In conclusion, Guatemala wishes Canada, in the implementation of its economic and trade policies, continued success in terms of economic growth and development, and trusts that our countries will continue to strengthen their trade and friendship ties.

PARAGUAY

4.356. Paraguay wishes to highlight that the country under review, as the Secretariat report rightly points out, is an open-economy Member with trade as its driving force: a "". Faced with a crisis of confidence and the rise of protectionism, Canada has raised the flag for an open predictable and rules-based trading system, which aims to integrate the whole of society into international trade and empower all the stakeholders of the most vulnerable population.

4.357. Canada has not only made trade the engine of its economy: today, global trade flows in both directions (imports and exports) make up approximately 65% of GDP, but it has also been able to distribute the benefits of trade to its population. Thus, in 2018, GDP per capita in nominal terms was USD 46,182, offering its population a high level of quality of life.

4.358. It is impossible for us not to focus on Canada's quest for economic diversification as a lesson learned. In this regard, we would like to commend the Canadian authorities on the adoption of the country's Export Diversification Strategy, with the goal of increasing exports by 50% by 2025. This long-term vision has enabled the country not only to diversify its economy, but also to take a leadership role in the domain of international trade as a model in matters related to inclusive trade. Not only is Canada an attractive trading partner, it is also a Member that demands high social standards of equality and well-being from those which do business with it, repeatedly underlining the importance of labour rights in trade, raising its voice for gender equality and women's empowerment, and campaigning for the inclusion of micro, small and medium-sized enterprises in world trade, an essential step in spreading the benefits of economic development to small players in the economy.

4.359. In the economic and commercial sphere, we hope to continue strengthening our commercial ties through negotiations in the context of MERCOSUR. At this point, we must recognize the

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- 42 - important work performed by that bloc in the search for and opening up of new markets and highlight the progress achieved in the negotiations under way between MERCOSUR and Canada, now at a fairly advanced stage and are entering their sixth round. The MERCOSUR countries represent an opportunity for Canada to expand its economic footprint in South America. The negotiations include segments on access to the market in goods, services and financial services, on the temporary entry of persons, on e-commerce, on investments, on trade and gender, on intellectual property, and on public procurement, to name a few. We look forward to ambitious results that will offer tangible benefits to the populations of both economies.

4.360. For Paraguay, these negotiations represent both an opportunity and a great challenge, since, given the composition of our exportable supply, which essentially comprises agricultural goods, the results may not be immediate. For that reason we are grateful to Canada for giving consideration to Paraguay's special conditions, in particular in the negotiations on services.

4.361. We also note the importance of the entry into force of three new agreements to which Canada is party: the Comprehensive Economic and Trade Agreement between Canada and the European Union (CETA); the Canada-Ukraine Free Trade Agreement (CUFTA); and the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP). In addition, we highlight the country's efforts to renew commitments to its main trading partners, the United States and Mexico, in the context of the North American Free Trade Agreement (NAFTA). We believe that this economic and trade integration will serve as an example inspiring progress towards the greater liberalization of trade in goods and services at the multilateral level.

4.362. At the WTO level, we commend Canada on its support for and the importance that it attaches to the multilateral trading system and we note in particular its active participation in the various WTO committees, groups and initiatives.

4.363. As the Secretariat report highlights, in recent years Canada has played an excellent leadership role in chairing certain WTO bodies and promoting initiatives such as those related to trade and gender, along with its important work within the framework of the WTO reform initiative, demonstrating a high level of commitment to transparency. In that process we would like to highlight Canada's regular compliance with its notification requirements and the constructive multilateral work of its delegation in Geneva.

4.364. In this context, we must also mention the joint efforts that we are making in the area of agriculture in the context of the Cairns Group. We highlight the active role played by the Group in advancing discussions in this domain, with the preparation of documents and statistical data to inform the discussions and facilitate the conclusion of pending issues, in particular those relating to the export competition pillar. At the same time, we highlight Canada's contributions in the framework of the joint initiatives on e-commerce, micro, small and medium-sized enterprises and investment facilitation for development.

4.365. On behalf of my country, I reiterate our congratulations to those responsible for conducting this Review and to the representatives of the Permanent Mission of Canada in Geneva, for their active participation and contribution to the work of this Organization.

PERU

4.366. and Canada enjoy an excellent bilateral relationship, which is remarkable for the wide range of subjects in which we collaborate. This is made possible by the affinity between us of values and objectives, which has led our two countries to use their frequent bilateral discussions, and also those in a variety of regional and multilateral forums, to promote the universal observance of human rights, respect for minorities and indigenous peoples, the empowerment of women, the strengthening of the democratic system, the defence of multilateralism, the fight against the effects of climate change and, of course, the promotion of free trade and investment.

4.367. Where our economic and commercial relationship is concerned, we should draw attention to the increase in Canadian capital in Peru in recent years, which has made Canada one of the main sources of investment in my country. The Peru-Canada FTA, which entered into force in 2009, promoted a favourable legal framework for reciprocal investments, as it included one chapter on this

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- 43 - issue, added to the Agreement specifically for the promotion and protection of investments, and another included for the purpose of avoiding double taxation.

4.368. In the commercial sphere, although the levels of bilateral trade remain substantial, surpassing USD 1.843 billion in 2018, there has been a declining trend in trade since 2011, and Peru is working to reverse this trend and return to the path of growth. To this end, both countries are favourably disposed towards seeking increasingly ambitious levels of integration, through agreements such as the CPTPP and as partner States in the Pacific Alliance.

4.369. Peru notes with satisfaction the recent economic successes scored by Canada, in which international trade has undoubtedly played an important role. The openness of its trade is exemplified by the average tariff rate of approximately 6% and the increased proportion of tariff lines, since Canada's previous Review, that provide duty-free import under the most-favoured-nation principle. Similarly, attention should be drawn to the relatively small number of complaints brought before the technical bodies of this Organization for measures imposed by Canada.

4.370. Where the work of this Organization is concerned, Peru welcomes the cross-cutting and active participation of the Canadian delegation. Peru and Canada have a shared interest in modernizing the WTO and preserving its dispute settlement system. In this regard, we welcome with interest the efforts of the so-called "Ottawa Group", in which Canada has played a leading role. We also share an interest in the reduction or elimination of subsidies that affect trade, for example, in agriculture and fisheries, and we support the search for ways in which this Organization could do more to promote the economic empowerment of women.

4.371. Given that Peru has not raised any questions for this Review, I can only convey the confidence of the Peruvian Government that, by continuing on the path of integration, cooperation and dialogue, Peru and Canada will achieve even better economic results in future years, to the benefit of all our citizens. With that intention in mind, it only remains for me to wish Canada a successful Trade Policy Review.

TAKIKISTAN

4.372. The Republic of Tajikistan commends Canada for all that it has achieved since last TPR. Important steps have been taken by the Government of Canada to advance integration of its economy into the global trading system. During the review period, Canada's global GDP ranking has remained steady. Canada was the world's 10th largest economy in 2017 and the Canadian economy grew by 3.0%, the strongest pace since 2011 and the fastest pace among G7 countries. The economy grew by 1.8% in 2018 and GDP per capita reached approximately USD 46,2 thousand in nominal terms.

4.373. We welcome the efforts of Canada, particularly to advance WTO reform discussions and its active engagement in a number of plurilateral and multilateral initiatives at the WTO. Canada actively participates in the regular work of the WTO committees, negotiations, dispute settlement and monitoring. It also plays a leadership role to promote initiative such as trade and gender in the WTO. Canada notified the WTO of its acceptance of the TFA in 2016 and implemented its commitments under the ITA Expansion.

4.374. On the bilateral ties. The Tajik-Canadian partnership is currently reaching a new level of its development. The main feature is the further expansion of trade relations, implementation of joint socio-economic projects and deepening cooperation in different areas of economy. The numbers of Tajik-Canadian JV has been established and are functioning in the Republic of Tajikistan.

4.375. As the trade relations' indicators are not significant (USD 9.1 million in 2018) the relevant measures are being taken in order to strengthen and raise the trade turnover between two countries.

4.376. Here, I would like to highlight the number of important areas of cooperation between Tajikistan and Canada, including energy, agriculture, information and telecommunication, transport and communication infrastructure, and tourism.

4.377. The Republic of Tajikistan highly appreciates the hard work and strong commitment of Canada and wishes Canada a very successful and productive Trade Policy Review.

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EGYPT

4.378. Egypt and Canada share a well-established and multi-faceted relationship founded on political proximity, development cooperation and cultural exchange, while having economic ties at the very core.

4.379. On the economic front, bilateral trade witnessed a steady growth over the past years. In 2018, the volume of bilateral trade surpassed USD 1 billion, constituting an increase of almost 2% as compared to the previous year. And while we acknowledge the growing trade volume between our countries, we strongly believe that there is much potential to be explored to maximize our mutual benefit.

4.380. We applaud the decision of the Canadian Food Inspection Agency to grant access to Egypt's exports of fresh grapes to the Canadian market as of January 2018, as well as the decision to remove the ban on EgyptAir's cargo flights to Canada as of May 2018. Such decisions reinforce trade relations between our countries; however, we note the high cost of full ocean container inspection in Canadian ports, which poses extra burdens on exporters from developing countries.

4.381. As for investment cooperation, Canada is one of the biggest foreign investors in Egypt, with more than 360 Canadian enterprises in various Egyptian sectors, mainly in manufacturing and financial domains. Yet, we look forward to increased and more diversified Canadian investments in Egypt.

4.382. Egypt firmly supports the multilateral trading system and its contribution to global , and hence greatly appreciates Canada's active role in the various WTO committees, negotiations, and new initiatives, as well as the ongoing discussions regarding WTO reform.

4.383. In addition, Canada is a strong supporter of the WTO's work on trade facilitation and is a donor to the trade facilitation agreement facility, with a contribution mounting to CAD 35.8 million in 2015 and 2016.

4.384. We commend trade liberalization efforts by Canada, particularly the 3% increase in MFN duty-free tariff lines in 2019 as compared to 2014. However, we note that the average tariff on agricultural products remains at a much higher level than that on non-agricultural ones, with the existence of some non-ad valorem duties and tariff peaks.

4.385. Finally, Egypt praises Canada for its impressive economic performance during the review period, in addition to its efforts to further diversify the Canadian economy, and wishes the Canadian delegation a successful Trade Policy Review.

MOROCCO

4.386. Canada is a largely open economy with trade accounting for 65% of its GDP.

4.387. It is also a country very committed to multilateralism. This is reflected in the Ottawa initiative, which it launched in 2018 and which we are following with great interest.

4.388. It is a model country in terms of economic diversification, despite the abundance of its natural resources.

4.389. It is also a highly attractive economy, hence the large share of foreign direct investment that it receives.

4.390. welcomes the cooperation between our two countries in several areas, including agriculture, education, industry, telecommunications and the environment.

4.391. While we still have much higher ambitions, we are pleased to see the growth in trade between Morocco and Canada, and also the expansion of air transport agreements between our two countries.

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4.392. Morocco attaches great importance to the strengthening of cooperation with Canada. This is evidenced by the presence of major Moroccan banks in Canada, set up to serve the Canadian-Moroccan community and to leverage the business development potential between the two countries.

4.393. Canada has a long-standing relationship with its African partners based on strong interpersonal ties, development cooperation relations and business connections.

4.394. In addition, Africa is now one of the most dynamic regions in terms of economic growth. By 2050, the African continent will be one of the world's most populous.

4.395. We call on Canadian stakeholders to take advantage of the development dynamics and economic transformation processes under way in Africa, which hold great opportunities.

4.396. The Kingdom of Morocco wishes Canada, as a partner and friend, every success in its Trade Policy Review.

KYRGYZ REPUBLIC

4.397. The history of the bilateral relations between Canada and the Kyrgyz Republic starts from 1992, when Canada recognized the independence of the Kyrgyz Republic.

4.398. The cooperation between the parties within the regular visits of authorities and business representatives of the countries in multilateral international events gives hope for further constructive and mutually beneficial cooperation. One of them, the first Kyrgyz-Canadian foreign affairs ministerial consultations between the Ministry of Foreign Affairs of the Kyrgyz Republic and Global Affairs Canada, which were held in Ottawa last year.

4.399. As result of the consultations, parties confirmed their intention to make efforts to develop bilateral relations in the field of diversification of trade and economic cooperation and investment cooperation. We hope that these efforts will pave the future background for fruitful cooperation among the states.

4.400. It is worth to note, that despite of far distance, countries could establish resilient and stabile framework of cooperation in trade-economic, political and cultural spheres. The one of the spheres, where states could establish and cooperation on the state level, is a mining field, where the Kyrgyz Republic and the Canadian company mines gold.

4.401. Trade and economic relations between the Kyrgyz Republic and Canada are regulated by the WTO agreement and both countries enjoy the Most Favoured Nation treatment in trade. Early acceptance by Canada of TRIPS Agreement and TFA characterizes Canada as a member fully committed to the WTO rules.

4.402. In the following part of our statement I would like to highlight some key elements of the trade relations between the Kyrgyz Republic and Canada.

4.403. The share of import by the Kyrgyz Republic dominates under the export, what reflects the need of the Kyrgyz Republic of the goods from Canada.

4.404. The main exports goods from Kyrgyzstan to Canada are during the last years are: inorganic chemicals, clothing and clothing accessories, parts and accessories for cars, machines designed for specific industries, special, scientific and control devices and devices, power generating machines and equipment.

4.405. Import from Canada to the Kyrgyz Republic is mostly represented by goods mining purposes as machinery and parts thereof, substances necessary in mining. Other important items of import to the Kyrgyz Republic are represented as follows: pharmacy production, goods from , certain types of building materials and others.

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4.406. Besides the trading of goods, the service sector has also further potential for growth. In this context, we suggest to the delegation of Canada to expand tourism sector of the Kyrgyz Republic and widen cooperation and trade in services sector between our states.

4.407. As part of exploring the possibilities of expanding economic and investment cooperation, we would like to propose to consider the possibility of establishing cooperation with Canadian companies and enterprises. It could be initially forming the basis for establishing and diversifying direct business ties between the two countries.

4.408. I would like to note the constructive cooperation between the Kyrgyz Republic and Canada based on mutual respect and equality, and we cannot stop on accomplished level. I hope that by joint efforts will be able to bring our bilateral relations to new horizons.

4.409. Coming to the logical end of my statement, we wish a successful 11th Trade policy Review to the delegation of Canada.

MALAYSIA

4.410. associates itself with the statement delivered by Thailand on behalf of ASEAN.

4.411. Since the last review, there has been an uncertainty to the challenging economic backdrop. While so, Malaysia applauds Canada the concerted effort to address slower economic growth by making strategic investments in physical and social infrastructure, innovation, science and research, and skills and training. During the period of 2015-2018, Canada's GDP ranking has remained steady. Canada was the world's 10th largest economy in 2015 to 2017.

4.412. At the multilateral front, Malaysia appreciates Canada's strong support and commitment to fair and predictable trade through the rules-based multilateral trading system, especially in this moment when some other members turn inward and retreating to protectionism.

4.413. On WTO reform, Malaysia commends Canada for the leadership role in effort to improve and strengthen the WTO and Canada's active role in resolving this issue, and we hope that the needs and interest of the developing members will remain as a priority. At the same time, we are encouraged by the efforts by Canada in the various Joint Statement Initiatives including the Joint Statement adopted at the previous 11th Ministerial Conference on MSMEs and Ecommerce; as well as Investment Facilitation for Development. Malaysia looks forward to working closely with Canada and all other Members on moving these initiatives forward in the WTO.

4.414. We also commend Canada in its commitment in assisting other developing Members to integrate and benefit from the multilateral trading system through technical assistance and capacity building activities. This include Canada's contributions to the Standards and Trade Development Facility (STDF) that enable Programme to be undertaken to assist developing countries comply with international food safety, animal and plant health standards and therefore, access agricultural markets more easily.

4.415. Canada has been an important partner in trade and investment for Malaysia. In 2018, the total trade between Malaysia and Canada rose 3.8% to USD 1.69 billion. Total exports increased by 0.6% to USD 880 million while total imports expanded by 7.4% to USD 810 million.

4.416. In terms of investment, a total of 87 manufacturing projects with Canadian participation, valued at USD 240 million, were implemented as of 2018. These projects created more than 10,000 employment opportunities for Malaysians. Canada is also an important destination for Malaysia's direct investment abroad. In 2018, Canada was the 5th largest recipient of Malaysia's direct investment abroad.

4.417. The economic partnership between Malaysia and Canada is further enhanced through the ASEAN-Canada Dialogue Partner which cooperates on political and security issues, regional integration, economic interests, inter-faith dialogue, transnational crime and counterterrorism, disaster risk reduction and other areas.

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4.418. On the Trade Policy Review, Malaysia has submitted several questions in writing and we would like to thank the delegation of the Canada in advance for the respective responses. Malaysia is rather interested in seeking more clarification on the competition policy in Canada as well as IP regime.

4.419. Finally, Malaysia would like to congratulate Canada for its robust economic growth during the review period and wishes Canada a successful trade policy review. Malaysia also takes this opportunity to congratulate Ambassador Stephen De Boer for his dedication in leading the Permanent Mission here in Geneva and the Canadian team for the active engagement here with other Missions at the WTO.

EL SALVADOR

4.420. This delegation did not submit any written questions within the deadline; we will now, however, be submitting some questions on the issue of competence and we are grateful in advance to the Canadian delegation for any answers that it can give us.

4.421. From the Secretariat report, we observe that the Canadian economy has had moderate GDP growth, low inflation, a relatively stable federal government debt-to-GDP ratio, a decreasing current account deficit and a depreciation of the real exchange rate. Although the effects of external shocks weakened its growth, Canada implemented monetary and fiscal policy stimuli and managed to contain the impact on its economy.

4.422. We also welcome Canada's efforts to diversify international trade and foreign direct investment, together with the inclusive approach focused on transparency, the environment, SMEs, gender issues and the country's indigenous peoples. Our attention is also drawn by the new policy and the impetus that it is giving to the tourism sector, which has reported strong growth in recent years.

4.423. Canada entered into a number of free trade agreements during the period under review, under which it grants preferential tariff treatment. Provisions have also been included in these agreements on intellectual property, an issue which occupies an important place in Canada's trade policy and one for which it has a new strategy, focused primarily on companies. Of particular note is Canada's accession to the Marrakesh Treaty to Facilitate Access to Published Works for Persons Who Are Blind, Visually Impaired, or Otherwise Print Disabled, which marked the 20th deposit of an instrument of accession and gave rise to the Treaty's entry into force on 30 September 2016. was the second country in the world to deposit its instrument of accession to the treaty.

4.424. At the bilateral level, Canada and El Salvador established diplomatic relations 57 years ago and the Salvadoran diaspora in Canada is one of the largest in . We also share important cooperative ties based on multilateral and bilateral initiatives, through which Canada has provided support in the areas of security and education.

4.425. Where bilateral trade is concerned, dual-track goods traded between Canada and El Salvador increased by 29.6% in 2017. The value of Canadian products exported to El Salvador totalled USD 78.6 million in 2017, while that of Salvadoran exports to Canada totalled USD 37.1 million in 2017. The total amount of Canadian direct investment in El Salvador was USD 965 million in 2016. As can be seen, Canada is a very important trading partner for El Salvador and we attach great importance to strengthening such trade ties in the future.

4.426. At the multilateral level, as reflected in the Secretariat report, Canada has been actively involved in the regular work of the WTO committees, and in the negotiations, settlement of disputes, surveillance and multilateral initiatives. It has also played a leading role by chairing a number of WTO bodies and promoting initiatives such as those related to trade and gender in the WTO, and also through its work on WTO reform.

4.427. Canada has formalized its accession to the Trade Facilitation Agreement (TFA) and has completed the procedures and implemented its commitments under the Information Technology Agreement (ITA) Expansion. Lastly, attention is drawn to Canada's commitment to the multilateral trading system and its regular fulfilment of its transparency obligations.

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4.428. In view of all the foregoing, it only remains for us to congratulate Canada on its excellent results, and to wish it every success in this exercise.

GEORGIA

4.429. Canada has a diversified and sophisticated economy, with the services sector accounting for around 70% of GDP throughout the 2014-18 review period. At the same time, Canada is among world's largest producers of natural resources, including timber, oil, gas, minerals, and ores. Agriculture, energy and mining remain important drivers of Canadian trade and of its trade policy. Among services, and wholesale and retail sales have the largest share of GDP.

4.430. Canada was the world's tenth-largest economy in 2017, compared to eleventh in 2013. Also, in 2017, it was the world's twelfth-largest merchandise exporter – unchanged from 2014. Canada ranked as the world's eighteenth-largest commercial services exporter and the fourteenth-largest importer of commercial services, in 2017. These numbers speak for themselves.

4.431. Georgia commends Canada's strong trade expansion that started in the second half of 2016 and in 2017 as the economy responded to stimulative monetary and fiscal policies, which was preceded by two years of relatively weak growth in 2015 and first part of 2016. Growth continued as well in 2018.

4.432. The trade and economic relations between Georgia and Canada has shown some fluctuation over the years. Even though the last two years demonstrated relative slowdown in trade by 19% decrease in trade turnover in 2018 as compared to 2017, the 5 months of this year displayed 13% increase in trade turnover compared to the same period of 2018, which looks promising and brings in hopes for the further trade expansion.

4.433. The main export commodities that showed significant increase in recent period are wine, mineral water and other products revealing important potential for further export enhancement.

4.434. The investment flow from Canada to Georgia takes its path since 2006 estimating over USD 15 million up to date. Considering Georgia's favourable and liberalized investment climate, which is being improved by means of recent reforms, we are to witness a considerable growth of investment capacity in coming years.

4.435. It is also crucial to outline that 2 rounds of negotiations on the conclusion of the Agreement between Georgia and Canada for the Promotion and Protection of Investments have already been held and the 3rd round is planned to take place by the end of July in Canada. We hope to finalize the negotiations process in near future, as it will serve as a strong incentive to promote bilateral investments and encourage private sector representatives to fully exploit business opportunities in both countries.

4.436. I am delighted to note that consistent increase of the number of tourists from Canada to Georgia (amounted up to about 30 000 in last 5 years) contributes to the further developing of Georgia's tourist sector (8.6 million international visitors since 2014).

4.437. In conclusion, I would like to express Georgia's strong willingness to further expand our bilateral trade cooperation and diversification in the future.

4.438. With this, I wish the delegation of Canada a very successful review.

PANAMA

4.439. We welcome the commitment with which Canada participates in the WTO and recognize its efforts to strengthen the Organization through the Ottawa Group, with the aim of strengthening the multilateral trading system. We believe, however, that the entire membership should participate in these discussions regardless of the volume of their trade.

4.440. Canada is an important trading partner of Panama. Between 2013, when the Free Trade Agreement between the two countries came into force, and the present, more than 99% of the tariff lines have been completely liberalized. Similarly, in 2018, trade between the two countries amounted

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- 49 - to USD 115 million, with Canada's principal exports comprising coins, agricultural products, paper, valves and medicines, while Panama exported salmon and agricultural products to Canada. Trade also takes place between the two countries through the Colon Free Zone, to an approximate total value of USD 25 million. Where foreign direct investment (FDI) is concerned, Canada is the third most important country for Panama, since in 2017 11% of its total FDI derived from that North American country, to a value close to USD 5.6 billion.

4.441. Trade in services is also important, as Canadian companies working in the areas of finance and mining have established themselves in Panama. There are also considerable tourism exchanges between the two countries, with direct flights from the cities of Toronto and Montreal to Panama City and charters to Rio Hato, operated by three airlines from both countries, carrying a total of 200,000 passengers in 2018.

4.442. In the maritime sector, Canadian trade is facilitated by the Panamanian ports and the Panama Canal, providing access from the port of Vancouver to the ports of Europe. In addition, in 2018, trade along routes from the east coast of Canada to the west coast of Latin America and from the west coast of Canada to Africa grew by double digits, thanks to use of the Panama Canal.

4.443. We congratulate Canada on its sustained economic growth during the period under review and its participation in world trade in both goods and services, demonstrating the importance of this sector for its economy. With specific reference to the WTO, we are grateful to Canada for its active participation in negotiating groups, such as those on investment facilitation, micro, small and medium-sized enterprises, women's empowerment and e-commerce, along with the commitment that it has shown in the negotiation of subsidies for fishing and agriculture, through its valuable contributions. Lastly, we would like to acknowledge the outstanding recent participation of Ambassador de Boer as chair of the Council for Trade in Goods.

4.444. We wish Canada success in this TPR.

HAITI

4.445. The Haitian delegation commends Canada on its stance and its strong commitment to supporting fair and predictable trade through a rules-based multilateral trading system as a driving force of global development and economic growth.

4.446. The Haitian delegation also welcomes Canada's policy designed to attract more foreign investment. At the same time, however, it encourages the country's authorities to eliminate the restrictive measures still in force in certain sectors.

4.447. The Haitian delegation notes Canada's commitment to the WTO, which is the forum par excellence for the conduct of discussions to foster a predictable environment for the review of trade disputes and the search for appropriate solutions, as evidenced by its efforts to find a solution to the problem of the and its involvement in discussions on WTO reform.

4.448. The Haitian delegation appreciates Canada's support for Haiti, which, as a least developed country (LDC), benefits from a range of programmes that are enabling the country to improve its performance in certain areas.

4.449. The Haitian delegation commends Canada on the role that it plays in international cooperation to meet the needs of developing countries, including LDCs.

4.450. Lastly, the Haitian delegation takes this opportunity to wish Canada's delegation every success in the present Review.

BENIN

4.451. The delegation of Benin associates itself with the statements made by the groups of which Benin is a member.

4.452. The delegation of Benin congratulates Canada on the progress that it has made since its Tenth Trade Policy Review in 2015, through strategic investments in physical and social

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- 50 - infrastructure, innovation, science and research, and skills upgrading and training, measures which strengthened confidence and boosted short-term spending and which augur well for the future growth of the productive capacity of the Canadian economy.

4.453. The strength of the Canadian economy, reflected in an exceptional 3% growth in 2017, is fuelling federal revenue growth, while sustaining a declining debt-to-GDP ratio and protecting the long-term sustainability of the economy. In 2018, Canada's unemployment rate fell to its lowest level in 44 years.

4.454. Canada's economy is open, diversified and highly developed, with trade playing a crucial role.

4.455. The delegation of Benin welcomes the sustained efforts of the Canadian Government to respond effectively to international developments by pursuing its priorities, namely:

• support for the rules-based system; • export diversification; • promoting inclusive trade.

4.456. As the 12th largest exporter and 12th largest importer of goods in the world in 2017, Canada has grown to become the 18th largest commercial exporter and 14th largest commercial exporter of services in the world, accounting for 2.4% of world trade with an open and diversified economy.

4.457. At bilateral and regional levels, Canada is making continued and significant efforts to diversify its trade to enable exporters to take advantage of opportunities in key emerging markets.

4.458. At the multilateral level, Canada believes that the WTO must remain relevant and responsive to a global trading environment that has been in constant flux since its inception and to continue to serve as a platform for economic growth through trade. Canada is therefore making continued efforts to improve the dispute settlement system, to make it more effective and efficient for all Members.

4.459. The delegation of Benin also welcomes the valuable contribution make by Canada to the negotiations and initiatives under way at the WTO, in particular in the areas of e-commerce and the promotion of women's empowerment.

4.460. In conclusion, the delegation of Benin would like to commend, in the context of bilateral cooperation, the excellent cooperative relationship between Canada and Benin, which is constantly being strengthened, to combat poverty and promote economic and social development in Benin.

4.461. The delegation of Benin thanks the WTO Secretariat and the Government of Canada for the very informative reports prepared for the current session of the country's Trade Policy Review.

4.462. It wishes Canada every success, and a favourable Trade Policy Review.

TRINIDAD AND TOBAGO

4.463. Throughout the history of our diplomatic contact, the relationship between Trinidad and Tobago and Canada has been characterised by cooperation, reciprocity and mutual respect. Bilateral collaboration between our nations remains strong and vibrant, particularly in the areas of security, health, information technology, education, training and agriculture and the environment.

4.464. Trinidad and Tobago and Canada enjoy a cordial relationship and we are encouraged by the growth of the Canadian economy during the period under review. We have noted that at the time of Canada's last Trade Policy Review (TPR), the global economic situation was quite uncertain, with Canada's economic growth being dampened by sharply declining oil prices, which affected the economy. Trinidad and Tobago's trade relationship with Canada has traditionally been robust and the scope of that relationship has expanded over time with Canada becoming one of Trinidad and Tobago's top trading partners.

4.465. We are heartened that Canada recognizes the need to address concerns that trade, and globalization do not benefit everyone. Canada is promoting and pursuing an inclusive approach to

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- 51 - trade as a core approach to address those concerns. We urge Canada to continue to consider the development needs of many of its WTO partners and take necessary steps to ensure that this Organization's work has an appropriate development dimension. We remain optimistic that Canada will be active in supporting developing countries.

4.466. Canada's efforts to support international development in the areas of Trade Facilitation, Aid for Trade, Capacity Building, and Recognizing the Needs of Least Developed Countries are commendable.

4.467. We have noted Canada's Export Diversification Strategy which commits new resources to assist Canadian Small and medium-sized enterprises (SMEs) develop export strategies, build global partnerships, and gain skills and training needed for global trade.

4.468. Allow me to reiterate the significance which Trinidad and Tobago attaches to its relations with Canada. As we look toward the future, I wish to assure you that Trinidad and Tobago remains committed to deepening and enhancing this important partnership, governed by mutual respect, cooperation and friendship.

4.469. We wish Canada a successful Trade Policy Review.

JORDAN

4.470. We congratulate Canada for the economic growth in the second half of their review period, reaching 2% in 2017 and achieving a low unemployment rate in 2018.

4.471. Jordan and Canada enjoy excellent bilateral relations. A free trade agreement between Jordan and Canada entered into force in 2012 and bilateral trade grew from USD 7 million in 2012 to USD 121 million in 2018. Jordanian exports increased from USD 15 million in 2012 to USD 75 million in 2018. Canadian exports to Jordan were USD 62 million in 2012 compared to USD 46 million in 2018.

4.472. Jordan attaches great importance to its relations with Canada which always hold further promising opportunities for both countries.

4.473. Finally, we wish Canada all prosperity and a successful Trade Policy Review.

ISRAEL

4.474. Israel is pleased to note that international trade has continued to play an essential role in the Canadian economy, which has largely maintained an open trade regime and has pursued liberal trade and investment policies driven by strong internal demand, economic reforms, domestic expenditure and a very successful services sector.

4.475. We note that, during the period under review, Canada's trade policy was focused on diversifying international trade and foreign direct investment, focusing on transparency and small and medium-sized enterprises, among other topics.

4.476. Israel witnessed this directly through the modernization of the Canada-Israel Free Trade Agreement, through which Canada and Israel made substantial changes to the existing FTA. This modernized FTA is hopefully bound to increase the already substantial two-way merchandise trade between Canada and Israel, which, in 2018, stood at almost USD 2 billion, more than three times higher than 20 years ago when the CIFT Agreement came into effect.

4.477. I also wish to note the Canada-Israel Industrial Research and Development Fund that serves as a platform for the collaboration between Israeli and Canadian companies on issues that relate to technology and innovations.

4.478. At the multilateral level, Israel values Canada's contribution to the WTO, where we have shared values and supported common areas of interest. We have, in addition, collaborated in various for a, such as the Friends of the System, and participated in plurilateral initiatives such as the ITA and, recently, the Joint Initiative on Electronic Commerce and Domestic Regulations.

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4.479. Canada has also taken a leading role in the ongoing WTO reform work through the Ottawa Group, and we are grateful for this. It is Israel's view that Canada has stood firmly as a strong advocate of the multilateral trading system throughout the existence of the WTO and especially during the period under review.

4.480. In closing, we would like to take this opportunity to, once again, extend our appreciation and wish Canada every success in this Trade Policy Review.

REPUBLIC OF MOLDOVA

4.481. As one of the world's top trading nations, Canada plays an important role in the multilateral trading system and by promoting the principles of fair, predictable and rule-based trade, it acts as a champion of the WTO. Moreover, by adopting an inclusive approach to trade – that is built on gender equality, transparency, empowerment of underrepresented groups, consideration of labour rights and environment in trade agreements – Canada is setting out commendable examples.

4.482. During the review period, Canada's economy has registered solid economic indicators, with diversified trade, the two ways trade flows amounting for more than two thirds 2/3 of the GDP and increasing investments as the driving forces. As part of its progressive trade agenda, Canada has consolidated and modernized its network of free trade and investment protection and promotion agreements.

4.483. Canada and Republic of Moldova have enjoyed over 25 years of evolving commercial relations and in the two last years only, our bilateral trade flows have doubled. The main products exported include wines (which we hope you all can also try next time you are in or Ottawa alongside with Japanese sake), juices, fresh and dry fruits, nuts and apparel. Moldovan merchandise imports from Canada primarily comprise frozen fish, automobiles, electric machinery, wood, alcohol, pharmaceutical products, tanning and dye chemicals and others. At the same time, Canada remains an important investor in the Republic of Moldova. Currently there are around 70 enterprises with Canadian capital operating in Moldova and we aim to encourage and attract more investors in our country.

4.484. Last year, in Ottawa, our Governments have signed the Foreign Investment Promotion Agreement (FIPA) along with a joint declaration on progressive and inclusive trade, intended to provide greater predictability and certainty for investors, to deepen the economic ties and to expand investment opportunities bilaterally.

4.485. Our progressive cooperation is also reflected in the work undergone in this house. We highly appreciate Canada's engagement in the plurilateral and multilateral initiatives in the WTO, in particular, I will emphasize the joint statements on e-commerce, domestic regulation of services, investment facilitation and Micro, Small and Medium-Sized Enterprise, the declaration on women and economic empowerment, all of which mark important milestones for the WTO negotiations in which Canada's contribution is valuable and Republic of Moldova is willing to continue our engagement in all of these initiatives.

4.486. The Republic of Moldova also commends and highly appreciates the Canada's important role in the Aid-for-Trade program, capacity building and assistance projects which reaffirms its commitment to support development across WTO membership.

4.487. My delegation attaches great value to the declared desire of the Canadian authorities to protect and build global confidence in the benefits of the liberalized trade and the multilateral system that supports it, safeguarding the economic health of all trading nations.

4.488. Before concluding, allow me to congratulate the Canadian delegation on the successfully ongoing Trade Policy Review and wish them utmost success in continuing the good work and advancing their trade policy endeavours. My country is interested in strengthening our engagement and partnership both on the bilateral and multilateral levels, with a view of enhancing our fruitful cooperation.

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PAKISTAN

4.489. At the outset, we wish to congratulate Canada on the milestones it has achieved during the period under review.

4.490. Pakistan and Canada share excellent bilateral cooperation in the areas of trade, economic and social sector development with collaboration on a range of issues at the WTO. Bilateral trade between Pakistan and Canada stood at USD 886.95 million in FY 2017-18 with Pakistan having a trade deficit of USD 365.71 million. During the first six months of FY 2018-19 (July-December), Pakistan's exports to Canada stood at USD 138.96 million, an increase of 13% as compared to the previous period.

4.491. Around 68 % of Pakistan's exports to Canada are in Pakistan's traditional sectors i.e., Textile and Leather articles. Pakistan is the 10th largest exporter of Textile and leather articles to Canada and a beneficiary of the Canadian General Preferential Tariff (GPT).

4.492. Canada has imposed antidumping duties on export of Carbon Steel Welded Pipes from Pakistan. Pakistani exporters have been cooperating fully with Canadian authorities to provide all necessary information and we hope that the matter will be resolved amicably.

4.493. In the area of services, Pakistan has raised the issue of business visas with Canadian authorities in view of a high rejection rate for Pakistani businessmen. At a recent meeting between Pakistan's Commerce Minister and Canada's Minister of International Trade and the Minister of Immigration Refugees and Citizenship, Canada agreed to reduce the timeframe for visa issuance for Pakistani businessmen. Similarly, various travel advisories issued by Canadian authorities have hampered Business to business cooperation and meetings in Pakistan. Pakistan sincerely hopes that these issues will be resolved in wake of strengthening future bilateral trade and economic cooperation at all levels.

4.494. Pakistan and Canada cooperate on a range of issues at the WTO, particularly as part of the Cairns group in Agriculture negotiations and as Friends of the System. We wish to particularly highlight the positive and active role played by Canada at the WTO under the leadership of Ambassador Stephen de Boer for his efforts to advance discussions on improving and safeguarding the multilateral rules-based trade system.

4.495. We wish Canada success in its future endeavours to achieve its targets for economic growth, prosperity and global integration and look forward for greater collaboration towards our shared goals.

4.496. At the end, we wish Canada a very successful and fruitful TPR.

NIGERIA

4.497. Since the last review, Canada, has maintained one of the most liberal trade and investment regimes globally, which serves as the backbone of its successful integration into the global economy. We note from the Secretariat report, that between 2015 and 2018, the economy of Canada grew at an average of 3.0% in 2017 and 2018 1.8%. It is also worthy of note that Canada has achieved a high standard of living for its population, with its GDP per capita in nominal terms at USD 46,182 in 2018. In this regard, Canada should be commended for sustaining these characteristics, strengthened by an open trade and investment regime and supported by transparent regulatory settings. Therefore, Nigeria, like other WTO members, can benefit from Canada's remarkable achievements, which illustrates how an open trade and investment regime is crucial in harnessing the benefits of global integration.

4.498. We are encouraged to note that consistently, Canada takes its rights and obligations in the WTO seriously. For example, by actively participating in the regular work of the WTO committees, negotiations, dispute settlement, monitoring, and plurilateral initiatives. Canada has continually played a leadership role in the area of trade and gender in the WTO and also duly notified the WTO of its acceptance of the Trade Facilitation Agreement (TFA) in 2016. Nigeria is also strongly committed to the seamless implementation of the TFA, in the context of the ongoing reforms by the

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Government, including improvements in the business environment, especially, ease of doing business. In this regard, there are useful lessons to be learnt from Canada's experience.

4.499. Nigeria is pleased to note the strong commitment of Canada in taking a balanced and progressive approach to strengthen the functions of the WTO and preserve its credibility and relevance. We both share these core objectives. As partners, Canada should be commended for its active engagements, with open mind and pragmatic approach, in the joint initiatives; such as domestic regulation on Trade and Services, e-commerce, investment facilitation for development, and MSMES. The most recent Joint Statement on Domestic Regulation was co-sponsored by Nigeria and was officially signed by 56 WTO Members through their Ministers at Paris. Nigeria shares the view that such Joint initiatives seeks to complement the multilateralism and not undermine it.

4.500. Notwithstanding its achievements, as noted in the Secretariat report, Canada is faced with some economic challenges, notably, its exposure to the global market has indeed created a permanent challenge to improve the competitiveness of the Canadian economy. We are mindful of these challenges, mentioned in the Secretariat report. However, we are happy to note that the Authorities of Canada are already implementing appropriate measures, as well as taking action necessary, to address some of these challenges.

4.501. In conclusion, my delegation would continue to work closely with Canada and the rest of the membership during this period. We are confident that Canada, would continue to play its role as an active player and make its contributions according to its capacity.

4.502. We wish Canada a successful 11th TPR review exercise and congratulate the entire delegation for their engagement.

JAMAICA

4.503. Jamaica has had a longstanding and mutually-beneficial relationship with Canada over the years on multiple fronts.

4.504. Canada is also home to a large Jamaican diaspora and is one of the leading contributors to the high tourism flows to the island each year.

4.505. In terms of bilateral trade, Canada is around third among Jamaica's main export markets, with exports amounting to USD 207 million in 2018. In that same year, Jamaica's import bill from Canada was valued at approximately USD 127 million. Jamaica's main exports to Canada include: alumina, beverages, and non-traditional food items. Among Jamaica's main imports from Canada are food, vegetables, machinery and transport equipment, and manufactured goods. Jamaica has consistently maintained a trade surplus with Canada since the early 1980s, mainly due to the exports of alumina.

4.506. It is important to note the mutually-beneficial nature of CARIBCAN, under which substantial imports from Canada continue to enter Jamaica. Through CARIBCAN, the Canadian market has contributed significantly to Jamaica's objective of expanding and diversifying its exports, increasing employment, and increasing value added for exports, as outlined in its National Export Strategy. Given that at least 80% of jobs in Jamaica are linked to trade, and most Jamaican exporters to Canada operate small and medium enterprises, Jamaica's trading relationship with Canada significantly contributes to increasing levels of enterprise development and entrepreneurship and major policy thrust of the Government of Jamaica.

4.507. Jamaica therefore looks forward to the continued operation of CARIBCAN in the years ahead, particularly in terms of helping Jamaica to attain the targets set out in its National Development Plan, Vision 2030, as well as the 2030 Agenda for Sustainable Development.

4.508. We note from the reports that agriculture, energy and mining remain important drivers of Canadian trade and of its trade policy, with the services sector accounting for around 70% of GDP. Jamaica is therefore of the view that services will remain a very important area of trade between both countries for the foreseeable future, and thus strongly encourages the further development of bilateral trade in this important sector.

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4.509. Canada continues to be an important development partner for Jamaica, at both the national and regional levels. Jamaica is therefore appreciative of the support that the Government of Canada has given over the years on various initiatives, and we look forward to strengthening our partnership with Canada in these and other areas in the future.

4.510. We further commend Canada for its active engagement within the WTO, including the negotiations on fishery subsidies and agriculture, the Joint Statement Initiatives on E-Commerce, investment facilitation and MSMEs, as well as ongoing discussions on WTO reforms.

4.511. Canada has also provided general support through trade facilitation, aid for trade, and capacity building initiatives geared towards assisting developing country Members like Jamaica and least-developed Members within the WTO participate more effectively within the multilateral trading system.

4.512. Jamaica firmly believes that Canada, as one of the world's leading economies, continues to be an important player, crucial to the preservation and effective operation of the multilateral rules-based trading system. In this regard, Jamaica highly values the assurances given by Canada of its continued commitment to an open, inclusive and rules-based multilateral system, with the WTO at its core, and we look forward to working closer with Canada and other Members to promote a system that fonctions optimally and yields trade benefits for all, including an improved quality of life for all our citizens.

4.513. In conclusion, we, once again, commend Canada and extend our best wishes for a successful review.

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5 REPLIES BY THE REPRESENTATIVE OF CANADA AND ADDITIONAL COMMENTS

5.1. Thank you, Chair. Canada would like to thank the WTO Members who participated on Wednesday in our 11th Trade Policy Review. We very much welcome the feedback on our trade policies and practices, and also the insight into our longstanding bilateral trade and economic relationships with many WTO Members. The Trade Policy Review is an important exercise, and we will reflect carefully on the helpful feedback that has been provided by Members.

5.2. Canada is encouraged by the many Members who voiced their support for Canada's inclusive approach to trade, which seeks to ensure that underrepresented groups – including SMEs, women and Indigenous peoples - can engage in and benefit from trade and investment opportunities. Inclusive trade supports economic growth that is more broadly shared and maintains public confidence in an open, rules-based trading system.

5.3. We also took note of the number of Members who commented on Canada's efforts on notification – we are working hard on this front, and will continue to do so, reflective of Canada's ongoing commitment to transparency. Canada is always ready to assist the Secretariat and other Members to support fulfilment of the WTO transparency obligations.

5.4. There were also many Members which referenced Canada's active engagement in advancing various ongoing initiatives at the WTO – such the fisheries subsidies negotiations which are taking place this week and the joint statement initiative on e-commerce. These initiatives provide important opportunities to update WTO rules to reflect 21st century realities.

5.5. Given the contribution that bilateral and regional FTAs and bilateral investment treaties make to the rules-based trading system, Canada was struck by the number of Members who mentioned the highly positive impact that such agreements have had in growing our bilateral trade and investment relationships. Increasing market access and providing strong frameworks to foster trade and investment benefit both Canada – as a trade-dependent economy – and our diverse trading partners, and assist us in our efforts to diversify global markets.

5.6. Many Members who spoke highlighted Canada's visible commitment to the WTO, including on the important topic of WTO reform. I too would like to recognize the efforts of Canada's dedicated Mission here in Geneva – Ambassador de Boer and his team work hard every day to advance Canada's engagement on WTO and WTO reform issues.

5.7. We have received over 650 written questions to date and have already answered those questions which came in at the beginning of the week, in addition to the responses provided to questions received before the TPR. We are committed to answering promptly those questions which have come in more recently as well as any additional questions, within the next few weeks.

5.8. Please allow me now to provide some reactions to several key areas where Members have expressed concerns.

Trade remedies

5.9. A number of you noted the increase in anti-dumping and countervailing measures that Canada has put in place. It is worth pointing out that there were a similar number of initiations in the previous review period, but that there are more measures in force now due to the cumulative nature of the measures. The increase in AD and CVD measures in force is the result of an increase in industry petitions and is consistent with global trends over this period. Furthermore, the measures which Canada has taken are primarily limited to a narrow range of products that may be affected by underlying issues of concern – such as global steel overproduction capacity.

5.10. Anti-dumping and countervailing measures are legitimate tools to address situations where trading practices of foreign firms or Governments are causing – or threatening to cause – injury to our domestic industry. Importantly for any measures taken by Canada – Canadian investigations, including global safeguard investigations, are conducted by arm's length bodies in a transparent and impartial manner, in accordance with WTO rules.

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Agriculture

5.11. Agriculture is also a recurring theme in the comments and questions of a large number of Members.

5.12. Where agriculture is concerned, we are continuing the liberalization of our market at multilateral, bilateral and unilateral levels. We have made significant progress in reducing our agricultural tariffs since our last Trade Policy Review. The proportion of duty-free agricultural tariff lines under the most-favoured-nation (MFN) regime has risen since 2015 from 59.6% to 68.5%. In 2017, Canada also carried out a unilateral tariff elimination exercise, which included the elimination of intra-quota tariffs covering a variety of imported ingredients for agri-food processing.

5.13. Several comments were also made about Canada's supply-management system, which makes it possible for dairy, poultry and egg producers to derive fair returns from their labour and investment and ensures that consumers have access to a consistent supply of high quality products. Canada provides significant market access for supply-managed products through its WTO commitments and has recently raised the levels of its market access commitments by establishing tariff quotas under the CETA and the CPTPP. Canada is also in the process of implementing additional market access under the CUSMA. The CUSMA also includes new transparency provisions for milk pricing that apply to both Canada and the United States.

5.14. Canada recently announced support measures to help its dairy, poultry and egg producers to adapt to new trade agreements. Canada is working to implement this new commitment with a view to ensuring compliance with its international trade obligations.

5.15. Where the elimination of export subsidies is concerned, at the end of 2015 Canada removed wheat, coarse grains, oilseeds, oilcakes, vegetable oils and vegetables from its schedule of commitments. The remaining export subsidies will be eliminated by the end of 2020, in line with the Nairobi Ministerial Decision on Export Competition. As mentioned by several Members on Wednesday, negotiations to strengthen the rules and restrict Members' ability to provide agricultural domestic support measures that distort production and trade are a key factor in discussions on agricultural reform and remain a priority for Canada. Canada intends to maintain its leadership at the technical level in preparation for the next Ministerial Conference in June 2020.

5.16. With regard to the concerns expressed about the Canadian Agricultural Partnership, we wish to clarify that the Partnership incorporates several programmes that meet the green box criteria of the , including the AgriStability programme, along with a suite of programmes implemented to promote innovative and sustainable growth in the sector, to support the diversity and dynamism of the sector as it develops, and to boost trade and expand market access.

5.17. Canada is aware of the backlog in its notifications of domestic support in agriculture, and is working hard to improve its internal procedures for the preparation of notifications.

Investment Canada Act/review

5.18. A number of Members noted concerns with the Investment Canada Act. The Investment Canada Act is Canada's primary mechanism for reviewing foreign investments in Canada. Its purpose is twofold: to review significant foreign investments to determine if they are likely to be of net benefit to Canada; and to review foreign investments that could be injurious to national security.

5.19. Since Canada's last TPR, the Act was amended to improve transparency – including a statutory obligation to report annually on the administration of national security provisions, as well as publishing the national security review guidelines, which include a non-exhaustive list of the factors considered in assessing a proposed investment.

5.20. Understanding that acquisitions by State-Owned Enterprises can pose unique concerns, the SOE Guidelines under the Investment Canada Act provide that issues of state influence, control and commercial orientation are examined as part of net benefit reviews. Canada also applies a different threshold for review of acquisitions by SOEs as compared to private investments. Canada has

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5.21. As many delegates noted on Wednesday, the Government of Canada has recently taken several steps to improve Canada's investment climate and implemented several measures to increase Canada's ability to attract and facilitate high-impact foreign direct investment and the jobs that come with it, including through Invest in Canada.

5.22. As attested in some Member interventions, Canadian companies are also significant investors abroad – in many sectors and markets – and this drives our efforts to improve transparency and predictability through a rules-based global investment regime.

Log export restraints

5.23. Canada notes the comments made by some Members regarding its log export programs. Canada's log export processes are administered in a transparent and efficient manner. In British Columbia, approvals processes for logs do not constitute a restriction on exports as almost all of fibre subject to a surplus evaluation is deemed eligible for export.

Intellectual property

5.24. Canada is committed to maintaining a sound and efficient intellectual property (IP) regime that is conducive to innovation, investment, and economic growth. As a part of this commitment, since 2015, Canada has modernized all of its key IP statutes including the Patent Act, Copyright Act, Industrial Designs Act, and Trade-marks Act, the latter of which included extensive legislative reforms to expand Canada's open geographical indications regime. Additionally, Canada's IP Strategy launched in April 2018 further complements Canada's regime by developing new IP tools for businesses, increasing awareness with respect to IP protection, and countering IP misuse that harms both consumers and businesses.

Government Pograms for Business

5.25. Some WTO Members raised questions about Canada's government programs for supporting business, such as the CanExport program provided by Canada's Trade Commissioner Service. The Canadian Trade Commissioner Service is equivalent to a trade promotion organization combined with an investment attraction agency. Its mandate is to help companies navigate international markets and help attract foreign direct investment to Canada. The main role of Canada's trade commissioners, located in over 160 cities worldwide, is to provide companies with business insights and access to international contacts.

5.26. The CanExport program provides limited funding to small and medium-sized enterprises of any given industry for activities such as market research and travel to trade fairs in order to develop new export markets. Given the pre-export focus of the program, the support provided is non-trade distorting.

Temporary Entry

5.27. Canada takes note of the concerns raised with respect to acquiring work permits for foreign professionals. Canada manages labour mobility through the Temporary Foreign Worker Program (TFWP) and the International Mobility Program (IMP). Both serve as tools for employers to address labour market needs, and to reinforce Canada's economic growth.

5.28. The TFWP ensures that Canadians and permanent residents have first access to available jobs. This is done through the Labour Market Impact Assessment, which requires that employers look locally before seeking to meet their human resource needs abroad. More recently, the TFWP, and as part of the Global Skills Strategy (GSS), introduced the Global Talent Stream (GTS) which expedites the processing of LMIAs for in-demand occupations principally in IT, science and engineering for multinational innovative corporations seeking to establish and grow their operations in Canada.

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5.29. In its first two years, over 40,000 people have taken advantage of the Global Skills Strategy, including nearly 24,000 highly skilled workers in occupations such as computer programming, information system analysis and software engineering.

Development

5.30. I want to acknowledge comments made by some Members on Canada's engagement with respect to trade and development, including Aid for Trade and preferential treatment for LDCs. Canada firmly believes that trade is and must continue to be an engine of growth for all Members of the Organization. As highlighted in our report, development provisions in WTO rules are intended to foster the ability of developing countries to become full participants in the multilateral trading system and to help them reap the benefits of WTO membership. Going forward, we must reflect on how we incorporate development considerations in trade rules in our discussions in a renewed manner, and we welcome all Members' engagement on this fundamental aspect of the Organization. We intend to continue to work with Members to implement new WTO agreements in a manner that addresses legitimate concerns of developing countries while maintaining the integrity of the system.

Conclusion

5.31. In conclusion Mr. Chair, please let me reiterate that Canada is a trading nation. In the face of global uncertainty on trade, we continue to pursue economic growth through trade liberalization, as well as diversification of our exports into global markets. We firmly believe our international trade relationships are mutually beneficial, and, with our inclusive approach to trade, we are seeking to ensure that these benefits are widely shared in our own society, and in those of our trading partners. The more our citizens can see the benefits and opportunities flowing from trade and investment opportunities, the more confidence they will have in the open, rules-based trading system – with the WTO at its core.

5.32. I would like to thank WTO Members once again for your thorough and insightful comments, as well as our Chair, Ambassador Teehankee, and Ambassador Gonzalez, our discussant. Finally, I would also like to thank the WTO Secretariat for your diligent work in preparing the report for this review.

DISCUSSANT

5.33. Thank you, Mr. Chairman. I would like to start by thanking and congratulating the Canadian delegation led by Ms. Kendal Hembroff for their commitment to this transparency exercise, your constructive and open approach, and for providing complete and timely replies to the more than 600 questions received for this TPR.

5.34. I would also like to commend Canada for choosing the alternative timeframe for its Trade Policy Review, as it provides further time and useful information to Members to prepare their feedback to the Member under review.

5.35. I have organized my closing remarks around the following four broad topics as I took note of our discussion on Wednesday where more than 50 delegations took the floor, and one more today, which are: the economic environment; the trade and investment regimes; trade policies and practices; and Canada's role in the WTO.

5.36. On the economic environment, Members recognized the good economic performance of the Canadian economy thanks to its countercyclical fiscal policies among other factors. GDP growth has been moderate, inflation low, the federal government debt to GDP ratio has remained relatively stable, and the current account deficit has declined.

5.37. Members also noted the diversification and sophistication of the Canadian economy, underlying its global standing in size, its participation in trade, and the abundance of natural resources.

5.38. As for the trade and investment regimes, many Members highlighted Canada's inclusive approach to trade, with its focus on transparency, labour rights, the environment, small and medium size enterprises, gender, and indigenous peoples.

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5.39. Canada's active trade negotiation agenda was also acknowledged, both for the new agreements such as CETA, CPTPP and the Canada-Ukraine FTA, as well as for the modernization of existing ones such as the Canada-United States-Mexico Agreement and the bilateral FTAs with Israel and Chile. In some cases, it was noted by Members, and something that might be worth to follow up on, the potential impact of some of these Agreements on third parties, as well as the systemic implications of some of their provisions as they get implemented.

5.40. With regards to Foreign Direct Investment, Members recognized the reforms made to facilitate and promote inward investment, but at the same time expressed concerns about the persistence of restrictions in some sectors, a subject of attention in previous TPRs.

5.41. On trade policies and practices, although there was an overall positive assessment of Canada as an open economy, several elements were raised as areas for consideration or further improvement.

5.42. First of all, as compared with previous reviews, the increase in the use of trade remedies by Canada was noted.

5.43. Also, the agriculture sector continued to be a focus of attention from Members as in previous TPRs, due to different instruments such as tariff rate quotas, tariff escalation, tariff peaks, non-ad valorem tariffs, and the support and supply-management system, in particular related to eggs poultry and dairy products.

5.44. Similarly, several Members raised the issue of national treatment of alcoholic beverages, and called for the adoption of non-discriminatory measures consistent with WTO commitments.

5.45. As for Canada's role in the WTO, it was widely praised as an example for fulfilling its notification obligations.

5.46. Also, the ratification of the TFA, the implementation of ITA, and the support of Canada to developing countries and LDCs through preferential tariff treatment and other mechanisms such as the TFA Facility and Aid for Trade was commended.

5.47. Furthermore, Members highlighted the role played by Canada in the Ottawa Group to promote and facilitate dialogue on how to strengthen the multilateral trading system.

5.48. Canada's active participation in ongoing WTO negotiations, especially on fisheries subsidies, as well as its role in supporting the work of the Joint Initiatives, in particular leading the discussions on trade and gender, were also recognized.

5.49. Finally, I would like to highlight the widespread importance expressed by Members with respect to their bilateral relationship with Canada, and their interest in deepening their economic and trading ties with this Member of the WTO.

5.50. Mr. Chairman, in closing, I wish to thank you for inviting me to act as discussant in this TPR in my personal capacity. It has been an honour and a pleasure to do so. I wish to congratulate again the Canadian delegation for their active participation in this TPR, and wish to the ones returning home a very safe and happy return, hopefully after enjoying some of Geneva's sunshine by the lake.

NEPAL

5.51. It is appreciable that economic fundamentals of Canada are encouraging. During the review period (2015-18), the Canadian economy was characterized by moderate GDP growth, low inflation, a relatively stable federal government debt-to-GDP ratio, a declining current account deficit, among others. Similarly, having a diversified and sophisticated economy, with the services sector accounting for around 70% of GDP, one of the world's largest producers of several natural resources, including timber, oil, gas, minerals, and ores, Canada's agriculture, energy and mining remain important drivers of Canadian trade and of its trade policy. It is encouraging to note that the export sector of Canada creates one in six job.

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5.52. We would like to appreciate that Canada has been providing 98.6% preferential tariff treatment unilaterally for the LDCs since 1983. In addition to duty-free quota-free market access, Canada also applies preferential rules of origin to LDC.

5.53. Nepal and Canada enjoy excellent bilateral relations ever since the establishment of diplomatic relations on in 1965. The relations between the two countries are based on cordiality, goodwill, mutual understanding and cooperation. We appreciate the support of Canada in socio economic development of Nepal including the support provided during the devastating earth quake of 2015. Regarding export trade performance between Nepal and Canada, the latter enjoys the surplus in total trade. As of 2017, the total value of export of Nepal to Canada is Rs 8 million and value of export of Canada to Nepal is about Rs 90 million. Regarding the items of trade, Nepal exports to Canada mainly carpets, garments and handicrafts while Canada exports machinery, electronic equipment, medical equipment and parts and so on.

5.54. Though the goods trade between two countries is not encouraging, there is enormous opportunities to for the partnership in services trade including tourism, ICT, health, education, among others.

5.55. Since Nepal has undergone the state restructuring, including formation of new constitution, election under the federal system and stability to the Government which have created highly conducive environment for the investment and technology transfer in hydro power, digital and physical infrastructure development, agriculture, among others. As Nepal is celebrating 2020 as "Visit Year", may I take this opportunity to cheer the government officials and people of Canada to visit beautiful Nepal for having lifetime experience.

5.56. We value the relationship between the two countries and expect strengthened partnership for our socio-economic development. We wish Canada a great success for the Trade Policy Review.

UKRAINE

5.57. At the outset, Ukraine would like to thank the Canadian delegation for its fruitful and constructive participation in this Trade Policy Review, in particular, for the comprehensive responses to the Ukraine's written questions.

5.58. We also would like to express our sincere appreciation to Ms. Kendal Hembroff, Head of Canadian delegation, for the systemic and in-depth analyses of the Members' concerns and comments and to the discussant Ambassador Juan Carlos Gonzalez for the helpful profound comments delivered this morning.

5.59. We don't have any specific follow-up questions to pose. Nevertheless, the issues of improving market access for agricultural products are of paramount importance for Ukraine and from the systemic point of view we are interested in further intensification of cooperation in this area.

5.60. Ukraine is willing to work closely with Canada both on bilateral track under the Canada-Ukraine Free Trade Agreement and through the discussions in the WTO, sharing the common objectives of maintaining and strengthening the multilateral trading system.

EUROPEAN UNION

5.61. Let me first thank Canada for the comprehensive overview presented last Wednesday and this morning of the main developments occurred in its trade and economic policy during the review period.

5.62. We would also like to thank Canada for having provided timely replies to the questions raised by the EU. The answers gave some useful clarifications on the issues we had raised.

5.63. On a limited number of issues, we had additional follow-up questions which have been transmitted to Canada or have already been discussed bilaterally. In this regard, we look forward to continuing our cooperation with Canada in the framework of the CETA, including about resolving some of our concerns in that context.

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5.64. The discussion on the first day of the review has shown that many Members share the EU's positive views about the constructive role that Canada plays within the WTO and in international trade. Allow me here to pay a special tribute again to the excellent cooperation that there is between the EU Mission, Ambassador De Boer, John O'Neill and the team.

5.65. We are also looking forward to our continued cooperation in all the relevant multilateral and plurilateral fora.

5.66. On behalf of the EU, I would like to congratulate again Canada for concluding this productive and successful review.

UNITED STATES

5.67. The delegation of the United States wishes to express its appreciation to Director General Kendal Hembroff for her excellent stewardship of Canada's Trade Policy Review. We also wish to recognize and express our appreciation for the extensive efforts made by Canada's Geneva Mission and other government officials to respond to the questions raised by Members during this Review.

5.68. To Ambassador Gonzalez, we thank you for your insightful remarks which helped guide us through this Review, and we greatly appreciate the work of the Secretariat staff in preparing the policy review documents that made these discussions possible.

5.69. We thank Director General Hembroff for her remarks this morning and her efforts to address the comments offered by Members during this Review. In particular, we appreciate the remarks acknowledging Members' questions related to supply management and interest in Canada's intellectual property regime.

5.70. The active participation of Members in this Trade Policy Review only serves to highlight the keen interest we share in trade-related developments in Canada.

5.71. The United States submitted a number of written questions and we appreciate the timely responses we have received. The responses will be helpful to us as we continue our engagement with Canada, bilaterally, regionally and here at the WTO.

5.72. We have also submitted follow-up questions related to agriculture, to clarify some of Canada's earlier responses, and we look forward to Canada's written responses.

5.73. As the United States noted in our questions and statement, we remain interested in updates to Canada's intellectual property regime. We are concerned that certain federal and provincial measures governing the sale of alcohol in Canada discriminate against imported goods, and that high tariffs on dairy products restrict competition from the United States and other Members. We will continue to engage on these and other important issues.

5.74. In conclusion, we appreciate the opportunity to participate in Canada's eleventh Trade Policy Review. We offer our congratulations to Director General Hembroff and her team on a useful and successful Trade Policy Review.

CHINA

5.75. Like other Members, China attaches great importance to the TPR. We appreciate the opportunity to participate in this Review and provide our concerns to Canada.

5.76. We appreciate the replies provided by Canada and we will further study them.

5.77. In closing, we congratulate Canada's delegation for a successful TPR.

MS. KENDAL HEMBROFF (HEAD OF DELEGATION)

5.78. I don't have too much to add. Certainly, we have very much appreciated the opportunity to be able to participate in our eleventh Trade Policy Review. This has been a very fruitful exchange

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- 63 - over the last few days, and certainly we look forward to continuing to work with WTO Members as we find ways to be able to refine and improve our trade policies.

5.79. I think the only comment that I would make is just to thank everyone here who has actively participated in this process since the Secretariat and Government reports were share with all Members. We look forward to doing this again in another five years' time.

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6 CONCLUDING REMARKS BY THE CHAIRPERSON

6.1. This eleventh Trade Policy Review of Canada has indeed allowed us to understand the important developments in the economic, trade and investment regime of Canada over the last four years. I would like to thank the Canadian delegation headed by Ms. Kendal Hembroff, Director General, Trade Negotiations, Global Affairs Canada, for their very active participation and engagement in this exercise. I would also like to thank our discussant, Ambassador Juan Carlos Gonzalez, Permanent Representative of Colombia to the WTO, for his remarks and insightful words that have propelled these discussions, as well as the 53 delegations which took the floor during this meeting.

6.2. Members commended Canada for its overall solid economic performance. They noted that during the review period the Canadian economy has been characterized by moderate but improving GDP growth, low inflation, a relatively stable federal government debt to GDP ratio, and a declining current account deficit. The economy had adjusted to lower oil prices and the ensuing deterioration of its terms of trade through the implementation of stimulative monetary and fiscal policies. We also noted that the unemployment rate, at 5.8%, was at its lowest level in over 40 years. By maintaining an open and competitive economy, Canada had achieved a high standard of living for its population, with GDP per capita exceeding USD 46,000 in 2018.

6.3. Members commended Canada's work in the WTO, in particular its leadership role in many areas, including the Ottawa Group to further WTO reform. Members also praised Canada for its contribution to the regular work of Committees and for its commitment to strengthen the multilateral trading system overall. Several Members noted that Canada was pioneering the pursuit of an inclusive trade agenda by taking into account the particular needs of women, MSMEs, and Indigenous peoples in its trade and related policies. Members also appreciated Canada's track record in providing timely notifications to the WTO. Several Members showed appreciation for Canada's support of least-developed countries, particularly with respect to the Aid-for-Trade and Trade Facilitation initiatives.

6.4. Members also noted the importance of trade for Canada, with aggregate two-way commercial trade flows equivalent to 65% of GDP. Members acknowledged Canada's efforts to diversify its trade, as exemplified by the recently launched Export Diversification Strategy.

6.5. The reports and Members' interventions noted that not only had Canada continued to pursue liberalization initiatives in the WTO, as for example, the ITA, fisheries' subsidies, agriculture, domestic regulation, and others; it had also been active in pursuing new bilateral or plurilateral agreements during the period. Additional market access, as well as the new disciplines incorporated into the EU-Canada Comprehensive and Trade Agreement (CETA), the Canada-Ukraine Free Trade Agreement (CUFTA), the Comprehensive and Progressive Trans-Pacific Partnership (CPTPP) and the Canada-United States-Mexico Agreement (CUSMA), were all expected to have a further positive impact on trade, investment, and employment for Canada in the future. The modernization of existing FTAs was also noted as an important development.

6.6. On investment, Members highlighted the importance of an open and transparent investment regime as FDI played an important role in the Canadian economy. While there had been some liberalization of investment during the review period, many inquired about longstanding restrictions and hoped these could be addressed. Some Members also noted that they were recipients of Canadian outward investments, from which they both mutually benefitted.

6.7. Members appreciated the implementation of changes to Canada's internal trade regime as the Agreement on Internal Trade (AIT) had been replaced by the Canadian Free Trade Agreement (CFTA) in 2017. Not only was this expected to bring about improvements in domestic market access and other efficiencies, but it would better align Canada's domestic regime with commitments in its international agreements.

6.8. Members noted that Canada's average MFN applied tariff had remained relatively stable at 6.1% in 2019 and that the number of duty-free tariff lines had increased since the last review, to over 70%. This was partly due to unilateral MFN liberalization under ITA II. However, averages continued to differ considerably between agricultural and non-agricultural goods. Canada was commended for having undertaken a number of measures to facilitate trade, including using

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- 65 - streamlined border processes through various programmes, and some noted that improvements in this area were still possible.

6.9. Some Members expressed concern about national treatment issues in Canada's regime relating to the taxation and sale of alcoholic beverages. It was noted that reduced or zero excise taxes applied to domestic brewers and to wine made entirely from Canadian-grown agricultural products. In addition, importation, inter-provincial/territorial trade, and retail sale of alcoholic beverages remained the exclusive business of provincial and territorial Liquor Control Authorities, which did not always guarantee a fair and competitive environment.

6.10. Members noted that Canada is an active user of trade remedy measures, and that recourse to them had risen during the review period, as witnessed by the increase in the number of measures in place. They called on Canada to show restraint in the use of these measures and they also queried Canada with respect to legislative changes introduced during the review period. We note and thank Canada for their direct responses to this concern of Members and I hope more dialogue can take place in this area.

6.11. Noting that Canada was a major player in agricultural trade, some Members were of the view that Canada's agricultural sector was characterized by numerous commodities in which Canada was a globally competitive exporter, but also by inward-looking supply management systems applicable to dairy, eggs, and poultry. Canada's supply management was underpinned by imports subject to tariff quotas, high out-of-quota tariffs averaging 238.7% for dairy, and pricing arrangements and restraints on domestic producers that distorted competition. Canada was encouraged to be transparent in its dairy pricing policies and any new assistance provided to dairy farmers and processors, and to undertake further domestic reforms to demonstrate Canada's commitment to global reform of agricultural trade.

6.12. Canada received over 650 written questions and has provided timely replies to most of them, of which Members were highly appreciative. This TPR will be successfully concluded once replies to the follow-up questions are received in one month's time. The large number of questions and active engagement by over 50 delegations is testament to the importance of Canada to the multilateral trading system and it is clear that Canada has been a strong supporter of the multilateral trading system and the TPR process in both its words and actions. The Trade Policy Review Mechanism indeed has a role for engendering constructive dialogue among Members and in increasing transparency. May I then add my word of congratulations to Canada on the successful conclusion of this Trade Policy Review and thank all the delegations for their cooperation and assistance.

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