Canada–Europe Trade in 2026: Where Things Stand for Importers and Buyers

The trade relationship between Canada and the European Union has rarely been more active. In 2025, two-way merchandise trade between Canada and the EU reached $134 billion — more than 77% above pre-2016 levels, before the Comprehensive Economic and Trade Agreement (CETA) took effect. Counting goods and services together, the EU is now Canada's second-largest trading partner, worth $178.6 billion in 2025.

What's new under CETA in 2026

In March 2026, Canada's Minister of International Trade and the EU's Commissioner for Trade held the fifth meeting of the CETA Joint Committee in Toronto. Both sides reaffirmed their commitment to trade diversification and announced several practical steps, including the launch of negotiations on an EU–Canada Digital Trade Agreement and a mutual recognition agreement that makes it easier for licensed professionals to work across borders.

The European Commission framed the meeting around "driving shared prosperity" — language that reflects how both economies are leaning into the agreement as a hedge against trade uncertainty elsewhere.

Why it matters for buyers and suppliers

For Canadian retail buyers, CETA removes tariffs on the vast majority of European goods, making it more affordable to source European apparel, food, and consumer products. For European brands, it lowers the cost of entering the Canadian market. Practical guidance on using the agreement is available through the federal Trade Commissioner Service.

EuroCan helps both sides act on this opportunity — connecting European suppliers with Canadian wholesale buyers and handling the import, distribution, and market support in between.