Negotiations for a trade deal between the European Union and the UK after Brexit have been ongoing since March. Both have until the end of the transitional period for Brexit on 31 December to conclude a free trade agreement. In the absence of an agreement, the trade partnership between Britain and the EU is governed by World Trade Organization (WTO) rules. Canada and Australia have a strong and varied bilateral relationship. Canada regularly consults with Australia to promote common interests on international issues on the basis of their political convergence in many areas, including defence and security, trade, economic growth, illegal immigration, counter-terrorism, counter-proliferation, social issues (including indigenous peoples), transportation and regional issues. Canada`s defence relations with Australia are the largest in the Asia-Pacific region. Canada also cooperates closely with Australia through multilateral institutions such as the United Nations, the Commonwealth, the World Trade Organization, the G20, the Organization for Economic Co-operation and Development, the Cairns Group and Asia-Pacific Economic Cooperation. Ceta has also streamlined product testing procedures by expanding mutual recognition and reducing the costs of trading in animal and plant products. In the service sector, Ceta provides a framework for mutual recognition of professional qualifications and removes some unfair nationality requirements.
For much of Ceta, it is about continuing cooperation on service rules, rather than actually extending market access to sectors that have previously been closed. Canada negotiates bilateral free trade agreements with the following countries and trading blocs: Canada is regularly referred to as a trading nation, with total trade accounting for more than two-thirds of its GDP (the second highest level in the G7 after Germany).   Of all of this trade, approximately 75% are wiretapped with countries that are part of free trade agreements with Canada, particularly with the United States through the North American Free Trade Agreement (NAFTA).  At the end of 2014, bilateral trade in Canada reached $1 trillion for the first time.  Foreign services in Canada and Australia exchange officers for professional development purposes and similar agreements have been reached between other divisions of government. Canada`s trade relationship with Australia is strong and diverse. In 2018, two-way merchandise trade between Canada and Australia remained stable at $4.1 billion. Canadian exports totaled $2.0 billion and consisted largely of value-added products such as machinery, aircraft and parts, electrical and electronic machinery and equipment, motor vehicles and parts, as well as scientific and precision instruments. Imports amounted to $2.1 billion and included inorganic chemicals, meat, beverages, precision instruments and technical machinery.
Two-way trade in services in 2018 was estimated at about $2.7 billion, with Canadian exports accounting for about $1.6 billion. Relations between Canada and Australia are friendly and very productive. Relationships have developed over a long history and are based on both a common past and shared values in the areas of trade, defence relations, academic and student exchanges, culture, consular agreements, parliamentary relations, multilateral cooperation and political and governmental affairs. Under the Canada-Australia Trade Agreement (CANATA), products that are the manufacture or manufacture of Canada benefit from reduced tariffs upon entry into Australia, provided they comply with the rules of origin agreed under this agreement.