As of today, 21 September, 98% of all tariffs between Hungary and Canada are eliminated. This is a momentous occasion for Canada, the EU and Hungary as the Canada-EU Comprehensive Economic and Trade Agreement - known as CETA - comes into effect through provisional application, said Isabelle Poupart, Ambassador of Canada to Hungary, and Nicholas Sarvari, President of the Canadian Chamber of Commerce in Hungary, in a joint statement on Thursday.
Creating a host of new opportunities for both Canadian and Hungarian businesses, this important milestone will both deepen and broaden the strong bilateral relationship between Canada and Hungary, which is underpinned by important people-to-people ties through the more than 340,000 Canadians who have Hungarian roots.
Trade between the EU and Canada is already significant, but CETA is a game changer that will include benefits for all. As of this morning, this progressive free trade agreement has already started increasing two-way trade, promoting new economic opportunities and strengthening economic relations between Canada and Hungary.
Virtually all of Hungary’s exports to Canada are now tariff-free, including key automotive, electronic, and agri-food products, making them more cost competitive. And Hungarian companies looking to source world class technologies and products will be able to import leading Canadian goods and services duty free.
Beyond these benefits for the trade in goods, CETA provides Canadian and Hungarian companies with unprecedented access to public procurement opportunities. Businesses on both sides of the Atlantic - smaller companies in particular - will benefit from more legal certainty, better mobility for company employees, and more streamlined rules and procedures generally.
But CETA is about more than just economic benefits. It is a new, progressive type of trade agreement - one that aims to shape globalization in a positive way. Part of the reason that CETA is so ground-breaking is that it ensures economic growth goes hand in hand with workers’ rights and high levels of environmental protection.
CETA sends an unmistakable signal that Canada and the EU believe in open societies and open economies; the two are interlinked and can lead to prosperity for all of our citizens through new investments, new businesses and new jobs, while protecting governments’ right to regulate in the public interest and to deliver key public services. Of specific interest to Hungary, CETA upholds our respective standards and regulations in such areas as environmental protection and food safety, including those related to Genetically Modified Organisms (GMO).
CETA also demonstrates that despite the unrest and uncertainty in many parts of the world, we continue to build bridges and we remain open to the world.
Canada and the EU, including Hungary, have long been close friends and strategic partners. Now, through this agreement, we have set the standard for a new generation of trade agreements. We are confident that Canada-Hungary bilateral relations will be further bolstered in the months and years to come as Canadian and Hungarian companies take advantage of the benefits that CETA provides.
The Embassy of Canada in Budapest and the Canadian Chamber of Commerce in Hungary are committed to assisting Canadian and Hungarian businesses in taking advantage of this momentous trade deal. For additional information on CETA, please contact the Canadian Trade Commissioner Service in Hungary or reach out to the Canadian Chamber of Commerce in Hungary.
