Canada Service Trade Policy Research

As a trade-oriented and globally-integrated economy, Canada benefits from a healthy, open, transparent, rules-based international trading system. Bilateral and regional initiatives can complement and reinforce multilateral liberalization by generating political momentum, by developing and refining elements of the trade regime, and by preparing domestic industries for the further opening of markets.The past decades have seen a broad structural shift towards services in the Canadian economy. Since its Trade Policy Review, Canada has continued to liberalize its trade regime on unilateral, multilateral, and preferential bases. This has included the introduction of simplified customs procedures both to facilitate trade and reinforce border security. Although the Canadian economy is generally free from significant policy-induced distortions, such interventions detract from Canada's otherwise strong support for production based on comparative advantage, a principle that has served Canada well in most areas. As well, the successful experience of Canada in trade policy and market openness will help China to improve the service level in the tertiary industry.