Canada Accelerates Global Trade Push, Concluding Ecuador FTA and Fast-Tracking ASEAN Negotiations

Canada is making a concerted push to expand its global trade footprint, having formally concluded free trade agreement (FTA) negotiations with Ecuador and simultaneously accelerating talks for a comprehensive pact with the Association of Southeast Asian Nations (ASEAN). The moves signal a clear strategy to unlock new markets for Canadian businesses in both South America and the rapidly growing Indo-Pacific region.

On February 9, it was announced that Canada and Ecuador had concluded FTA negotiations after an exceptionally swift nine-month process that spanned six rounds, according to Ecuador Brief. The agreement is now set for legal review and translation before being sent to the respective legislatures for ratification. Officials hope the pact could enter into force by late 2026 or early 2027. The deal is expected to eliminate tariffs on 98.1% of Canadian tariff lines and 97.2% of Ecuadorian lines, opening the door for key Canadian industrial goods and major Ecuadorian agricultural exports like bananas, shrimp, and cocoa. Notably, the agreement also includes modern provisions on labor protections, environmental safeguards, and inclusive trade for Indigenous and women-owned enterprises.

Just days later, on February 15, Omnitrans reported that Canada and ASEAN have agreed to accelerate their own FTA negotiations, setting a target completion date for 2026. During a recent ASEAN Summit, Canadian Prime Minister Mark Carney advocated for faster progress to secure access to the bloc’s market of nearly 700 million consumers. To support this goal, Canada announced $25 million in technical assistance to aid in the acceleration and implementation of the agreement. This two-pronged approach—finalizing a deal in South America while fast-tracking a larger one in Asia—demonstrates a significant and strategic effort by Canada to diversify its trade relationships and create new opportunities for its export-oriented economy.