Total number of posts 387.
The ASEAN–Canada Free Trade Agreement (ACAFTA) negotiations were officially launched at the Tenth ASEAN Economic Ministers (AEM)–Canada Consultation held in November 2021. Both sides are currently working to advance the negotiations toward a meaningful agreement that delivers tangible economic benefits to ASEAN and Canada, while strengthening their shared commitment to a rules-based trading system and to open, fair, and sustainable market-driven growth.
ASEAN represents a promising market for Canada, with a population of nearly 700 million and an estimated combined GDP of over USD 5 trillion. The region is Canada’s fourth-largest trading partner, with total two-way trade amounting to approximately USD 42.3 billion. Within ASEAN, Viet Nam is Canada’s largest trading partner, followed by Indonesia, Singapore, and Malaysia.
According to the Joint Feasibility Study, a free trade agreement between ASEAN and Canada is expected to reduce non-tariff measures and facilitate trade, potentially contributing an additional USD 1.5 billion to the region’s economy.
Vietnamese Minister of Industry and Trade Nguyen Hong Dien and Canadian Minister of International Trade Maninder Sidhu met on the sidelines of the 47th Association of Southeast Asian Nations (ASEAN) Summit in Malaysia (Source: MOIT)
The Fourteenth AEM–Canada Consultation was held on 26 September 2025 in Kuala Lumpur, Malaysia, during which both sides reaffirmed their commitment to strengthening bilateral economic relations and promoting an open, fair, and rules-based multilateral trading system. The Ministers welcomed the progress of the ACAFTA negotiations, viewing the agreement as a key framework to boost trade and investment flows, enhance supply chain resilience, and lay a foundation for long-term economic prosperity. The Ministers committed to working towards the conclusion of a comprehensive, high-quality, and mutually beneficial agreement, with the aim of substantially concluding the negotiations by 2026.
Source: Department of Multilateral Trade Policy, Ministry of Industry and Trade of Viet Nam
