Broader trade deal on the cards between China and Canada, says economist
Talks are still at an early stage but Canadian observer says agreement could include goods and services as both sides try to diversify their markets
A broader free trade agreement with Canada could set the stage for a new round of similar negotiations between China and other advanced economies, a senior Canadian economist says.
Unlike a traditional pact that includes only goods and tariff items, a broader agreement including services, tariffs and non-tariff barriers could meet the needs of both nations as they seek to diversify their markets, said Kevin Lynch, vice-president of BMO Financial Group, which runs one of Canada’s biggest banks.
“Speaking from the business community in Canada, we see the potential in China is not just a narrow agreement on the goods side, but one that includes services as well,” Lynch told the South China Morning Post in an interview in Guangzhou.
“I think the Canadian government and the Canadian business community would like to see a broader and more comprehensive agreement including goods and services.”
Lynch was previously Canada’s Privy Council clerk and cabinet secretary.