Canada’s Fast-Track Partnership to Asia: The Republic of Korea
As Canada looks beyond the U.S. market to Asia in order to expand its export, technology and partnering horizons, the world’s top ranking country according to Bloomberg’s Innovation Index must not be overlooked. As of January 1, 2019, 95% of Canada’s exports have benefited from duty-free access into the Republic of Korea (“Korea”) under the Canada-Korea Free Trade Agreement enacted in 2015 (CKFTA). The agreement presents a great opportunity for Canadian businesses seeking to expand abroad, as Korea is the world’s 10th largest economy and Canada’s ninth-largest importer. While many Canadian businesses have taken advantage of the agreement—exports to Korea have increased from $4 billion CAD in 2015 to $6.3 billion CAD in 2021—there is room for future expansion as Canadian businesses wishing to also access the potential of the Korean market can continue to take advantage of an economy with a GDP of $1.6 trillion USD.