Canada and the Philippines conclude talks on free trade deal, Mark Carney says

Prime Minister Mark Carney announced on Saturday that Canada has concluded negotiations with the Philippines on a free trade deal, as Canada seeks to reduce its dependence on the US following strained relations. One year ago, both countries initiated talks on a new free trade agreement. Speaking at the ASEAN summit in Manila, Carney emphasized that the government would expedite finalizing the deal, with implementation expected in 2027.

The agreement is anticipated to take around six months for formal signing. The Prime Minister highlighted potential benefits for sectors including agriculture, aerospace, AI, forest products, mining, energy, and services. Canada also aims to secure a broader trade deal with the 11-member ASEAN group, with negotiations substantially completed.

Carney stated that these announcements were part of a strategy to establish a network of reliable partners, providing more opportunities for businesses, better job prospects, and reduced reliance on the United States. Canada aims to double non-US exports by 2035, aligning more closely with Europe as a counterbalance to US trade tensions.

The US President Donald Trump is due to visit Manila early next week and proceed to China for the APEC summit in Shenzhen. Carney will subsequently visit Cambodia and China.