Canada advances ASEAN and Philippine trade agreements, with signatures targeted for 2027
Canada has announced major progress on two Southeast Asian trade agreements, but neither agreement is in force. Prime Minister Mark Carney said in Manila on November 14 that negotiations with the Association of Southeast Asian Nations had been substantially concluded, while separate negotiations with the Philippines had been completed. Both processes are moving towards a possible signature in 2027, with further steps still required before businesses can use the promised access.
The broader ASEAN agreement would connect Canadian businesses more closely with a region of almost 700 million people and an economy valued at close to C$6 trillion. The government expects the agreement, once operating, to add nearly C$2 billion to Canadian gross domestic product and support almost 14,000 jobs, particularly in agriculture and manufacturing. Those are projected benefits conditional on implementation, rather than jobs already created or output already produced.
Trade diversification, not an immediate replacement for the US market
ASEAN was Canada's fifth-largest merchandise trading partner as a group in 2025. Two-way goods trade reached C$52.5 billion, up 22.7 percent from 2024. Negotiations began in 2021. Canada has now announced C$5 million in technical assistance to help ASEAN economies prepare for ratification and implementation, following a separate C$25 million assistance announcement at the previous year's summit. The purpose is to reduce dependence on a single partner and give exporters more customers, not to claim that existing US trade has already been replaced.
The Philippine agreement covers a separate market of more than 110 million people and an economy estimated at C$680 billion. Ottawa says Canadian exports to the country could rise as much as threefold by 2035 once the agreement is in force, with agriculture and forest products among the opportunities. Merchandise trade between the countries was C$3.4 billion in 2025, up 7.4 percent, while Canadian direct investment in the Philippines was approximately C$1.7 billion, up 44 percent. The export projection is a possible outcome, not an agreed purchase order.
Commercial cooperation extends beyond tariff talks
The visit also produced memoranda covering ocean technology, drones, renewable energy and electricity supplies for industrial users and data centres. Canada announced C$26 million for cooperation in areas including nuclear safety, climate-resilient agriculture, food security and infrastructure. These wider commitments should be distinguished from the trade agreements themselves. Signing, domestic approval, implementation rules and the ability of individual firms to compete will determine when the announced opportunities turn into actual sales.