ABU DHABI: The United Arab Emirates expects its newly signed Comprehensive Economic Partnership Agreement with Canada to contribute approximately US$8.7 billion to its economy by 2033, according to Minister of Foreign Trade Dr. Thani bin Ahmed Al Zeyoudi.
Speaking to Emirates News Agency on October 28, Al Zeyoudi said the agreement is also projected to increase UAE exports to Canada by around US$11.8 billion by 2033. The figures represent anticipated economic benefits, rather than gains already achieved. Canada is the first G7 member with which the UAE has signed a CEPA.
Agreement Signed in Ottawa
Al Zeyoudi and Canada’s Minister of International Trade deal, Maninder Sidhu, signed the agreement on October 27 during the visit of Abu Dhabi Crown Prince Sheikh Khaled bin Mohamed bin Zayed Al Nahyan to Ottawa.
According to Global Affairs Canada, negotiations concluded in 47 days. The agreement forms part of a wider effort to deepen commercial ties, diversify export markets and encourage investment between the two countries.
Tariff Reductions to Expand Market Access
Once fully implemented, the agreement will reduce or eliminate tariffs on more than 99% of current Canadian exports to the UAE. Canadian sectors expected to benefit include agriculture, industrial machinery, power generation equipment and aerospace.
The agreement also addresses non-tariff barriers and expands access for goods and services, including environmental and engineering services, according to the Canadian government.
For UAE exporters, Al Zeyoudi identified iron, aluminium, gold, pharmaceuticals, selected electronic products and food products among the goods expected to benefit.
He said bilateral non-oil trade reached approximately US$4.2 billion in 2025, increasing by more than 22%. Trade deal expanded a further 18% in the first half of 2026 compared with the corresponding period a year earlier.
Investment Cooperation Extends Beyond Trade
The broader partnership includes new cooperation in logistics and energy. During the Ottawa visit, DP World signed a memorandum of understanding with Arctic Gateway Group and CentrePort Canada to advance a transportation corridor connecting Canadian infrastructure with its global logistics network.
Masdar and Natural Resources Canada also established an energy cooperation framework intended to bring together UAE renewable energy companies and Canadian partners.
Entry Into Force Expected in 2027
Canada expects the CEPA to enter into force in 2027. Its official agreement page currently lists the deal as signed but not yet in force, meaning businesses have not yet gained access to its preferential trade deal arrangements.
Implementation will be the next major milestone as both countries move toward putting the agreement’s market-access commitments into operation.
