The CPTPP incorporates the tariff outcomes contained in the original TPP Agreement. The elimination of tariffs under the CPTPP now provides Canadian exporters across a broad range of sectors with new opportunities in key markets, including Japan, and Vietnam. Most tariff lines became duty-free when the Agreement entered into force for each CPTPP country. Tariffs on other goods will be eliminated gradually over “phase-out” periods, which vary by country and are detailed in each country’s respective tariff elimination schedules (see Annex 2-D of the Agreement for the tariff elimination schedules of each CPTPP country). Footnote 1 Consult the Canada Tariff Finder to explore tariff information for the CPTPP market, and other countries with which Canada has a free trade agreement.
Overall tariff elimination under the CPTPP
- The CPTPP provides comprehensive tariff elimination across all sectors. Once fully implemented, 99% of tariff lines among CPTPP parties will be duty-free.
- Once the agreement is fully implemented, Canada will have duty-free access to CPTPP countries for:
- 94% of Canadian agriculture and agri-food products exports
- 99% of Canadian industrial products exports
- 100% of Canadian fish and seafood products exports
- 100% of Canadian forest product exports
Tariff elimination schedules
- The first tariff cut for the initial six countries to ratify the CPTPP (Canada, Australia, Japan, Mexico, New Zealand, and Singapore) took place on December 30, 2018.
- The second tariff cut for each of the initial six countries, except Japan, took place on January 1, 2019.
- Japan’s second tariff cut will take place on April 1, 2019. This coincides with Japan’s fiscal calendar.
- With the exception of Japan, each subsequent tariff cut under the Agreement will take place on January 1 until the tariff commitments are fully implemented. Japan’s subsequent tariff cuts will take place on April 1.
Tariff elimination for Vietnam, Peru, and Malaysia
- The CPTPP entered into force for Vietnam on January 14, 2019, Peru September 19, 2021, and Malaysia November 29, 2022.
- Canada, as one of the first six countries to ratify the CPTPP, selected to “catch-up” tariff elimination commitments vis-à-vis these new Parties.
- As a result, at the time of entry into force, these Parties applied multiple tariff cuts with respect to Canadian imports, and Canada made an equivalent number of tariff cuts on imports.
- Parties all continue to make made subsequent tariff cuts on January 1 to fully implement tariff commitments.
Tariff elimination for subsequent ratifying countries
- Tariff elimination information for the remaining CPTPP countries (i.e. Brunei and Chile) will be made available once those countries ratify the Agreement.
Footnotes
Footnote 1
In each country’s tariff schedule, tariff cuts are referred to as “years”. It is important to note that “year 1” in the tariff schedule should be read as the “first tariff cut” (i.e. the cut that will take place upon entry into force of the Agreement), while “year 2” should be read as the “second tariff cut”.
Date Modified: 2022-03-07