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ARTICLE · 24 SEPTEMBER 2014

Canada Ratifies Investment Agreement With China

Borden Ladner Gervais LLP
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On 12 September 2014, the Government of Canada announced it had ratified its Foreign Investment Promotion and Protection Agreement with China.

CanadaInternational Law

On 12 September 2014, the Government of Canada announced it had ratified its Foreign Investment Promotion and Protection Agreement (FIPA) with China. The ratification occurred against a backdrop of continuing rapid growth in China's economy and Canadian's increasing interest in investing there. Canadian direct investment in China was valued at CDN$4.9 billion for 2013, with China's investment into Canada valued at about CDN$16.6 billion. China is currently Canada's second-largest trading partner (second only to the United States), with two-way bilateral trade of approximately CDN$73.2 billion for 2013.

Canada and China began negotiating the FIPA over twenty years ago in 1994. These slowed as China prepared for accession to the World Trade Organization. Negotiations resumed in earnest in 2004. On 9 September 2012, Canada's Minister of International Trade and Minister for the Asia-Pacific Gateway, Ed Fast, and China's Minister of Commerce, Chen Deming, signed the FIPA.

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