Comprehensive Economic and Trade Agreement (CETA): Opportunities of Business Collaboration between Canada and V4 (Czech, Hungary, Poland and Slovakia) Countries
Study by Muhammad Mohiuddin
Comprehensive economic and trade agreement (CETA) between Canada and European union is considered an exemplary trade deal that is likely to simplify as well as open-up new avenues for business opportunities both for Canadian and European firms. Visegrad 4 (V4) countries are growing faster and have important export oriented manufacturing industry along with vibrant service industry. Canada and V4 countries have many similarities in economic structure and international business patterns. They have also complementary resources, expertise and markets that are yet to be fully explored by business firms of these two regions. Based on extensive literature review, and discussions with leading experts, this study recommends that there are ample business opportunities to collaborate and participate into the Global value chain (GVC) in Aerospace, Automobile, Biotech, Clean technology, Construction and ICT industries including gaming industry. Firms from Canada and V4 countries can also collaborate in commercial service and other service industries. Recent trade data shows that trade between EU and Canada have a growth of 9.1% after CETA came into force and likely to grow further. Despite potential business opportunities, there are still some cultural and administrative differences that need to be addressed to realize the full business potentialities between these two regions. Public sector, private sector and academia should come together to further explore business opportunities, challenges and guide business firms on how to avail those opportunities.
Muhammad Mohiuddin was Visiting Research Fellow of VISEGRAD Fellowship 2018 at the Institute of Foreign Affairs and Trade.
This study was produced within the Think Visegrad Non-V4 Fellowship programme.