Canada seeks pact with Southeast Asian countries to diversify trade

KUALA LUMPUR: Canada is seeking to finalize a free trade deal with Southeast Asian nations as part of a push to expand into new markets, its top diplomat said on Wednesday (July 10), responding to the hefty tariffs imposed on it by the United States, its neighbour and largest trade partner.

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Canada is finalizing a trade deal with ASEAN to strengthen Indo-Pacific economic ties.
The agreement aims to reduce reliance on G7 markets.
Canada also plans cooperation with ASEAN on energy, food security, AI, and digital economy.

Foreign Minister Anita Anand said Canada intends to continue a multilateral trade relationship with the 10-member Association of Southeast Asian Nations. Canada believes the global economy will be driven by the Indo-Pacific region in the years ahead, she added.

"The work is being done with alacrity to finalize the text of the free trade agreement," Anand told Reuters in an interview, following her meeting with counterparts from the ASEAN bloc in the Malaysian capital.

"It is complex but we are very much looking forward to it being completed as soon as possible," she said, without providing further details.

Anand said the ASEAN-Canada FTA is one of the ways Canada can diversify its trade relations beyond the Group of Seven nations.

Beyond trade, Canada will also work with ASEAN on energy, food security, digital economy and artificial intelligence, she added.