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Trade News

Each day TFO Canada publishes a sample of trade news on the Canadian import market along with any new, updated or changed regulations and legislations regarding international trade; countries in which TFO Canada offers services and on the export sectors which it promotes.


International Trade Minister announces tariff elimination on tech products

Tuesday, July 05, 2016 > 10:32:38

July 4, 2016 - Ottawa, Ontario - Global Affairs Canada       

Canadians will benefit from lower costs and increased trade opportunities as a result of today’s implementation of an expanded Information Technology Agreement (ITA), announced by the Honourable Chrystia Freeland, Minister of International Trade.

Canada’s implementation of the World Trade Organization’s (WTO) expanded ITA eliminates tariffs on 201 tech and information-related products. On July 1, 2016, Canada permanently locked in its duty-free status on the majority of products covered under the expanded ITA. The remaining tariffs will be eliminated over three years.

The ITA will benefit Canadian exporters of many products, including audiovisual products and parts, flight simulators, telecommunication products, software, media-storage devices, medical devices, touch-screen devices and medical equipment.

The additional products are estimated by the WTO to account for approximately $1.3 trillion in global annual trade. Canada is one of 53 WTO members, including China, the European Union, South Korea, Japan, and the United States, participating in the expanded ITA.


“Canada is pleased to see the elimination of tariffs on these additional 201 tech products. This will benefit Canadian businesses and workers, allowing for easier access to the latest technology and making our exports more attractive in foreign markets. We encourage our global partners to consider the benefits of joining this initiative.”

- Hon. Chrystia Freeland, P.C., M.P., Minister of International Trade

Quick facts

  • The expanded ITA builds on the original 1996 ITA and eliminates participants’ tariffs on additional information and communications technology (ICT) and related products that Canada exports. This includes flight simulators, audiovisual products and parts, advanced semiconductors, telecommunications products, software, media storage devices, radar apparatus, medical devices and navigational equipment.

  • Canada’s annual global exports of the products covered by the expanded ITA amount to approximately $17.8 billion.

  • Canada’s ICT sector consists of almost 37,500 firms involved in ICT manufacturing, software and computer services, communication services and ICT-wholesaling activities. The ICT sector employs roughly 585,000 people and, in 2015, accounted for 4.4 percent of Canada’s GDP.

  • Canada’s ICT industry includes companies in every sector, from the manufacturing of telecom equipment to software development to services to digital media to microelectronics.

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