← Your dashboard·HoC · 45-1passed
Official record· LEGISinfoHouse of Commons · Bill C-18

C-18 · Canada-Indonesia Comprehensive Economic Partnership Agreement Implementation Act

An Act to implement the Comprehensive Economic Partnership Agreement between Canada and Indonesia

Introduced Dec 11, 2025·Sponsor: Maninder SidhuLPCMEDIUM
AI-assisted analysis
At a glance
  • Implements the Comprehensive Economic Partnership Agreement with Indonesia.
  • Approves terms that restrict legal recourse related to the Agreement without Attorney General consent.
  • Requires Canada to cover costs associated with managing the Agreement.
  • Mandates compliance checks for Canadian companies under the Agreement.
  • Ensures a review of the Agreement's operation every three years.
Canadian businessesTrade unionsLegal professionals
AI-assisted analysis
What's actually in this bill
Why this bill matters

This bill seeks to implement a free trade agreement that enhances economic relations between Canada and Indonesia, which could lead to increased trade, investment opportunities, and support for small enterprises in both countries. By reducing trade barriers, it aims to stimulate economic growth and create jobs.

The tradeoff

While the agreement can lower trade barriers and potentially reduce costs for consumers, it may also expose domestic producers to heightened competition from Indonesian imports, which could negatively affect local industries and jobs.

BROADTITLE: PARTIALA broad bill spanning 3 related subjects.
What the title leaves out

The title omits details about specific changes to tariff classifications and rates that are crucial for understanding the bill's overall impact on trade and the economy.

What it actually covers
Canada-Indonesia Free Trade Agreement ImplementationAmendments to tariff classificationsChanges to Tariff Rates
Full billCanada-Indonesia Free Trade Agreement Implementation
What it does

This legislation implements the Comprehensive Economic Partnership Agreement between Canada and Indonesia which aims to create a free trade area and promote economic relations between the two countries. It outlines various objectives such as enhancing trade, investment opportunities, and supporting micro and small enterprises.

Why it matters

The agreement is significant as it aims to bolster economic growth and job creation in both Canada and Indonesia through reduced trade barriers. It potentially expands market access for Canadian businesses and encourages trade and investment that could benefit the economies of both nations.

The problem it addresses

The legislation is addressing existing barriers to trade and investment between Canada and Indonesia, promoting a structured approach to enhance bilateral economic relationships.

Who benefits

Canadian and Indonesian businesses, particularly micro, small, and medium-sized enterprises, benefit through increased trade opportunities and market access.

The tradeoff

While businesses may gain from easier trade, there could be negative impacts on domestic producers in Canada if they face increased competition from Indonesian imports, potentially harming local industries.

Canadian businessesIndonesian businessesMicro and small enterprisesDomestic producers in CanadaConsumers
Read the actual text (45)
Short title

1This Act may be cited as the Canada–Indonesia Comprehensive Economic Partnership Agreement Implementation Act .

Definitions

2The following definitions apply in this Act. Agreement means the Comprehensive Economic Partnership Agreement between Canada and Indonesia, done at Ottawa on September 24, 2025. ( Accord ) Committee means the Joint Committee established under Article 23.1 of the Agreement. ( Comité ) federal law means the whole or any portion of an Act of Parliament or a regulation, order or other instrument issued, made or established in the exercise of a power conferred by or under an Act of Parliament. ( texte législatif fédéral ) Minister means the Minister for International Trade. ( ministre )

Interpretation consistent with Agreement

3For greater certainty, this Act and any federal law that implements a provision of the Agreement or that allows the Government of Canada to meet an obligation under the Agreement is to be interpreted in a manner consistent with the Agreement.

Non-application of Act and Agreement to water

4For greater certainty, nothing in this Act or the Agreement applies to natural surface or ground water in liquid, gaseous or solid state.

Construction

5For greater certainty, nothing in this Act, by specific mention or omission, is to be construed to affect in any manner the right of Parliament to enact legislation that implements any provision of the Agreement or that allows the Government of Canada to meet an obligation under the Agreement.

Binding on His Majesty

6This Act is binding on His Majesty in right of Canada.

Purpose

7The purpose of this Act is to implement the Agreement, the objectives of which, as elaborated more specifically through its provisions, are to (a) establish a free trade area in accordance with the Agreement; (b) promote, through the expansion of reciprocal trade, the harmonious development of economic relations between Canada and Indonesia in order to create opportunities for economic growth; (c) provide for a predictable framework for business planning and investment; (d) promote fair competition in trade between Canada and Indonesia; (e) substantially increase investment opportunities in Canada and Indonesia, while preserving the right of each party to the Agreement to regulate to achieve legitimate policy goals; (f) reduce or eliminate barriers to trade in goods and services in order to contribute to the harmonious development and expansion of trade; (g) seek to ensure that the benefits and opportunities created by the Agreement are widely shared; (h) support the growth and development of micro, small and medium-sized enterprises by enhancing their ability to participate in and benefit from the opportunities created by the Agreement; (i) promote environmental protection, including through effective enforcement of environmental laws, mutually supportive trade and environmental policies and practices, and strengthened environmental cooperation between Canada and Indonesia; (j) promote the protection and enforcement of labour rights and the improvement of working conditions; (k) encourage enterprises operating within Canada or Indonesia or subject to their jurisdiction to respect internationally recognized corporate social responsibility and responsible business conduct standards and principles; (l) promote sustainable development; (m) promote transparency, good governance and the rule of law, while strengthening commitments to combat bribery and corruption in trade and investment; (n) recognize the importance of increased engagement by Indigenous Peoples in trade and investment and facilitate such engagement; and (o) recognize the right of the parties to the Agreement to adopt or maintain measures with respect to cultural industries in accordance with the rights and obligations provided for in the Agreement.

Causes of action

8(1) No person has any cause of action and no proceedings of any kind are to be taken, without the consent of the Attorney General of Canada, to enforce or determine any right or obligation that is claimed or arises solely under or by virtue of sections 11 to 14 or an order made under section 15 . Causes of action under Agreement (2) Subject to Articles 10.24 and 13.22 to 13.43 of the Agreement, no person has any cause of action and no proceedings of any kind are to be taken, without the consent of the Attorney General of Canada, to enforce or determine any right or obligation that is claimed or arises solely under or by virtue of the Agreement.

Agreement approved

9The Agreement is approved.

Canadian representative on Committee

10The Minister is the principal representative of Canada on the Committee.

Payment of expenditures

11The Government of Canada is to pay its appropriate share of the aggregate of any expenditures incurred by or on behalf of the Committee.

Powers of Minister

12(1) The Minister may (a) subject to subsections (2) to (4), appoint representatives of Canada to any panel, committee, subcommittee, working group, expert group or other subsidiary body referred to in Chapter 23 or 24 of the Agreement; (b) appoint a panellist in accordance with Article 24.8 of the Agreement; and (c) propose candidates to serve as the chair of a panel, or select the chair, in accordance with that Agreement. Power of Minister of the Environment (2) The Minister of the Environment may, with the concurrence of the Minister, appoint representatives of Canada to the Environment Sub-Committee established under Article 17.21 of the Agreement. Power of Minister of Labour (3) The Minister of Labour may, with the concurrence of the Minister, appoint representatives of Canada to the Labour Council established under Article 17.32 of the Agreement. Power of Minister — Article 17.47 of Agreement (4) The Minister may, with the concurrence of the Minister of the Environment and the Minister of Labour, appoint representatives of Canada to the Committee on Trade and Sustainable Development established under Article 17.47 of the Agreement. Delegation (5) The Minister may delegate the Minister’s powers, duties or functions under any of subsections (1) to (4) to any officer of the Department of Foreign Affairs, Trade and Development.

Administrative support

13The Minister is to designate an agency, division or branch of the Government of Canada to facilitate the operation of Chapter 24 of the Agreement and to provide administrative assistance to panels referred to in that Chapter.

Payment of costs

14The Government of Canada is to pay the costs of or its appropriate share of the costs of (a) the remuneration and expenses payable to members of panels, committees, subcommittees, working groups, expert groups and other subsidiary bodies, to independent experts and to the assistants of panel members; and (b) the general expenses incurred by panels, committees, subcommittees, working groups, expert groups and other subsidiary bodies.

Orders — Article 24.13 of Agreement

15(1) The Governor in Council may, for the purpose of suspending benefits in accordance with Article 24.13 of the Agreement, by order, do any of the following: (a) suspend rights or privileges granted by Canada under the Agreement or any federal law to Indonesia, in respect of goods of Indonesia, to service suppliers or investors of Indonesia, or in respect of investments of investors of Indonesia; (b) modify or suspend the application of any federal law in respect of Indonesia, goods of Indonesia, service suppliers or investors of Indonesia or investments of investors of Indonesia; (c) extend the application of any federal law to Indonesia, goods of Indonesia, service suppliers or investors of Indonesia or investments of investors of Indonesia; (d) take any other measure that the Governor in Council considers necessary. Period of order (2) Unless repealed, an order made under subsection (1) has effect for the period specified in the order.

16Schedule VII to the Financial Administration Act is amended by adding the following in alphabetical order: Comprehensive Economic Partnership Agreement between Canada and Indonesia, done at Ottawa on September 24, 2025.

17The schedule to the Investment Canada Act is amended by adding, at the end of column 1, a reference to “ Agreement within the meaning of section 2 of the Canada–Indonesia Comprehensive Economic Partnership Agreement Implementation Act ” and a corresponding reference to “Article 1.5” in column 2.

18Subsection 2(1) of the Customs Act is amended by adding the following in alphabetical order: CICEPA has the same meaning as Agreement in section 2 of the Canada–Indonesia Comprehensive Economic Partnership Agreement Implementation Act . ( APÉGCI ) Indonesia has the same meaning as in subsection 2(1) of the Customs Tariff . ( Indonésie )

Certificate of origin completed by importer

19Subsection 35.1(3.1) of the Act is replaced by the following: (3.1) If an importer of goods for which preferential tariff treatment under the CPTPP, CUSMA or CICEPA will be claimed is the person who certifies that the goods meet the rules of origin set out in, or contemplated by, the CPTPP, CUSMA or CICEPA , the importer shall do so in writing, in the prescribed form with the prescribed information, and on the basis of supporting documents that the importer has or supporting documents that are provided by the exporter or producer.

Certificate of Origin — CPTPP, CUSMA or CICEPA

20(1) Subsection 97.1(1.1) of the Act is replaced by the following: (1.1) If an exporter or producer of goods that are exported to a CPTPP country, a CUSMA country or Indonesia and for which preferential tariff treatment under the CPTPP, CUSMA or CICEPA will be claimed in accordance with the laws of that country is the person who certifies that the goods meet the rules of origin set out in, or contemplated by, the CPTPP, CUSMA or CICEPA , the exporter or producer shall do so in writing, in the prescribed form with the prescribed information, and (a) in the case of an exporter, on the basis of supporting information that the exporter has or by relying on supporting information that the producer has; and (b) in the case of a producer, on the basis of supporting information that the producer has. (2) Subsection 97.1(3) of the English version of the Act is replaced by the following: Notification of correct information (3) A person who has completed and signed a certificate in accordance with subsection (1) or (1.1) and who has reason to believe that it contains incorrect information shall immediately notify each person and each country or authority to whom the certificate was given of the correct information.

21Part 1 of the schedule to the Act is amended by adding, in alphabetical order, a reference to “Indonesia” in column 1, a corresponding reference to “CICEPA” in column 2 and a corresponding reference to “Indonesia Tariff rates of customs duty under the Customs Tariff ” in column 3.

22Part 2 of the schedule to the Act is amended by adding, in alphabetical order, a reference to “CICEPA” in column 1 and a corresponding reference to “paragraph 4 of Article 3.25” in column 2.

23Part 3 of the schedule to the Act is amended by adding, in alphabetical order, a reference to “Indonesia” in column 1 and a corresponding reference to “subparagraphs 1(a), (c) and (d) of Article 4.8 of CICEPA” in column 2.

24Part 4 of the schedule to the Act is amended by adding, in alphabetical order, a reference to “Indonesia” in column 1 and a corresponding reference to “CICEPA” in column 2.

25Part 5 of the schedule to the Act is amended by adding, in alphabetical order, a reference to “CICEPA” in column 1 and a corresponding reference to “Chapters 3 and 4” in column 2.

26Schedule 2 to the Commercial Arbitration Act is amended by adding, at the end of column 1, a reference to “Article 13.25” and a corresponding reference to “Comprehensive Economic Partnership Agreement between Canada and Indonesia, done at Ottawa on September 24, 2025” in column 2.

Definition of Indonesia Tariff

27(1) Section 2 of the Canadian International Trade Tribunal Act is amended by adding the following after subsection (4.5): (4.6) In this Act, Indonesia Tariff means the rates of customs duty referred to in section 49.71 of the Customs Tariff . (2) Subsection 2(5) of the Act is amended by adding, in alphabetical order, a reference to “Indonesia” in the list of countries.

Definition of principal cause

28The Act is amended by adding the following after section 19.0191: 19.0192 (1) In this section, principal cause means, in respect of a serious injury or threat of a serious injury, an important cause that is no less important than any other cause of the serious injury or threat. Emergency measures — Indonesia (2) The Tribunal shall inquire into and report to the Governor in Council on the question whether goods that are entitled to the benefit of the Indonesia Tariff are, as a result of that entitlement, being imported in such increased quantities, in absolute terms or relative to domestic production of like or directly competitive goods, and under such conditions as to constitute a principal cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods, if the Governor in Council, on the recommendation of the Minister, refers the question to it for an inquiry and report. Terms of reference (3) The Tribunal shall conduct an inquiry under subsection (2) and prepare its report in accordance with the terms of reference established by the Governor in Council or the Minister, as the case may be. Tabling of report (4) The Minister shall cause a copy of each report submitted to the Governor in Council or the Minister to be laid before each House of Parliament on any of the first 15 days on which that House is sitting after the report is so submitted. Notice of report (5) The Tribunal shall cause notice of the submission of a report to be published in the Canada Gazette .

Definition of principal cause

29The Act is amended by adding the following after section 20.07: 20.08 (1) In this section, principal cause means, in respect of a serious injury or threat of a serious injury, an important cause that is no less important than any other cause of the serious injury or threat. Determination in respect of goods imported from Indonesia (2) If, in an inquiry conducted under section 20 into goods imported from Indonesia that are specified by the Governor in Council or in an inquiry conducted pursuant to a complaint under subsection 23(1) into goods so imported that are specified by the Tribunal, the Tribunal finds that the specified imported goods and goods of the same kind imported from other countries are being imported in such increased quantities and under such conditions as to be a principal cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods, the Tribunal shall determine whether the specified imported goods are a principal cause of the serious injury or threat of serious injury. Determinations (3) In the case of an inquiry to which subsection (2) applies, the Tribunal shall include in its report any determinations made under that subsection. Inquiry under section 30.07 (4) In an inquiry under section 30.07 into goods imported from Indonesia conducted pursuant to an extension request, the Tribunal shall determine whether the goods imported from Indonesia are a principal cause of the serious injury or threat of serious injury to domestic producers of like or directly competitive goods.

Definition of complaint

30Section 21.1 of the Act is replaced by the following: 21.1 In sections 23 to 30, complaint means a written complaint filed with the Tribunal under any of subsections 23(1) to ( 1.098 ) and, for the purposes of those sections, a complaint is properly documented if the Tribunal is satisfied that it contains or is accompanied by the information required by section 23.

Filing of complaint — Indonesia Tariff

31Section 23 of the Act is amended by adding the following after subsection (1.097): (1.098) Any domestic producer of goods that are like or directly competitive with any goods being imported into Canada and that are entitled to the Indonesia Tariff, or any person or association acting on or behalf of such a domestic producer, may file a written complaint with the Tribunal alleging that, as a result of that entitlement, the imported goods are being imported in such increased quantities, in absolute terms or relative to domestic production of like or directly competitive goods, and under such conditions as to constitute a cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods.

32Paragraph 25(2)(c) of the Act is replaced by the following: (c) in the case of a complaint filed under subsection 23(1.06), (1.08), (1.083), (1.09), (1.091), (1.092), (1.096) or (1.098) , send to the Minister a copy of the complaint and the information examined by the Tribunal in making its determination.

33Paragraph 26(1)(a) of the Act is amended by adding the following after subparagraph (i.97): (i.98) in the case of a complaint filed under subsection 23(1.098), the goods that are entitled to the Indonesia Tariff are, as a result of that entitlement, being imported in such increased quantities, in absolute terms or relative to domestic production of like or directly competitive goods, and under such conditions as to constitute a principal cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods,

34Subsection 27(1) of the Act is amended by adding the following after paragraph (a.97): (a.98) in the case of a complaint filed under subsection 23(1.098), the goods that are entitled to the Indonesia Tariff are, as a result of that entitlement, being imported in such increased quantities, in absolute terms or relative to domestic production of like or directly competitive goods, and under such conditions as to constitute a principal cause of serious injury, or threat of serious injury, to domestic producers of like or directly competitive goods;

Notice of expiring orders

35(1) The portion of subsection 30.03(1) of the Act before paragraph (a) is replaced by the following: 30.03 (1) The Tribunal shall cause to be published in the Canada Gazette a notice of the expiry date of any order that imposes a surtax on any goods under subsection 55(1), section 60, subsection 63(1), 74(1) or (2), 75(1) , 76(1) or 77(1) of the Customs Tariff or includes any goods on the Import Control List under subsection 5(3), (3.2) or (4.1) of the Export and Import Permits Act , but no notice shall be published if

Filing of request relating to extension orders

36Subsection 30.04(1) of the Act is replaced by the following: 30.04 (1) Any domestic producer of goods that are like or directly competitive with any goods that are subject to an order referred to in subsection 30.03(1), or any person or association acting on behalf of any such domestic producer, may file with the Tribunal a written request that an extension order be made under subsection 63(1), 74(7), 75(3) , 76(3) or 77(3) of the Customs Tariff or subsection 5(3.2) of the Export and Import Permits Act because an order continues to be necessary to prevent or remedy serious injury to domestic producers of like or directly competitive goods.

37Subsection 2(1) of the Customs Tariff is amended by adding the following in alphabetical order: Canada–Indonesia Comprehensive Economic Partnership Agreement has the same meaning as Agreement in section 2 of the Canada–Indonesia Comprehensive Economic Partnership Agreement Implementation Act . ( Accord de partenariat économique global Canada–Indonésie ) Indonesia means the land territories, internal waters, archipelagic waters, territorial sea, including the seabed and subsoil thereof, and air space over such territories and waters, as well as the contiguous zone, the continental shelf and exclusive economic zone, over which Indonesia has sovereignty, sovereign rights or jurisdiction as defined in its laws, and in accordance with international law, including the United Nations Convention on the Law of the Sea, done at Montego Bay on December 10, 1982. ( Indonésie )

38Paragraph 14(2)(c) of the Act is amended by adding the following after subparagraph (xv): (xvi) subsection 75(1);

39Section 27 of the Act is amended by adding the following in alphabetical order: IDT refers to the Indonesia Tariff. ( TID )

Application of IDT

40The Act is amended by adding the following after section 49.7: Indonesia Tariff 49.71 (1) Subject to section 24, goods that originate in Indonesia are entitled to the Indonesia Tariff rates of customs duty. “A” final rate for IDT (2) If “A” is set out in the column entitled “Preferential Tariff” in the List of Tariff Provisions following the abbreviation “IDT” in relation to goods entitled to the Indonesia Tariff, the Indonesia Tariff rate of customs duty that applies to those goods is the final rate of “Free”. “F” staging for IDT (3) If “F” is set out in the column entitled “Preferential Tariff” in the List of Tariff Provisions following the abbreviation “IDT” in relation to goods entitled to the Indonesia Tariff, the Indonesia Tariff rate of customs duty that applies to those goods is the initial rate, reduced as provided in the “F” Staging List. Staging for IDT (4) If “Y1”, “Y2” or “Y3” is set out in the column entitled “Preferential Tariff” in the List of Tariff Provisions following the abbreviation “IDT” in relation to goods entitled to the Indonesia Tariff, the Indonesia Tariff rate of customs duty that applies to those goods is the initial rate, reduced (a) if “Y1” is set out, (i) effective on the coming into force of this subsection, to four fifths of the initial rate, (ii) effective on January 1 of the year that is one year after the year of the coming into force of this subsection, to three fifths of the initial rate, (iii) effective on January 1 of the year that is two years after the year of the coming into force of this subsection, to two fifths of the initial rate, (iv) effective on January 1 of the year that is three years after the year of the coming into force of this subsection, to the one fifth of the initial rate, and (v) effective on January 1 of the year that is four years after the year of the coming into force of this subsection, to the final rate of “Free”; (b) if “Y2” is set out, (i) effective on the coming into force of this subsection, to nine tenths of the initial rate, (ii) effective on January 1 of the year that is one year after the year of the coming into force of this subsection, to eight tenths of the initial rate, (iii) effective on January 1 of the year that is two years after the year of the coming into force of this subsection, to seven tenths of the initial rate, (iv) effective on January 1 of the year that is three years after the year of the coming into force of this subsection, to six tenths of the initial rate, (v) effective on January 1 of the year that is four years after the year of the coming into force of this subsection, to five tenths of the initial rate, (vi) effective on January 1 of the year that is five years after the year of the coming into force of this subsection, to four tenths of the initial rate, (vii) effective on January 1 of the year that is six years after the year of the coming into force of this subsection, to three tenths of the initial rate, (viii) effective on January 1 of the year that is seven years after the year of the coming into force of this subsection, to two tenths of the initial rate, (ix) effective on January 1 of the year that is eight years after the year of the coming into force of this subsection, to one tenth of the initial rate, and (x) effective on January 1 of the year that is nine years after the year of the coming into force of this subsection, to the final rate of “Free”; and (c) if “Y3” is set out, (i) effective on the coming into force of this subsection, to fourteen fifteenths of the initial rate, (ii) effective on January 1 of the year that is one year after the year of the coming into force of this subsection, to thirteen fifteenths of the initial rate, (iii) effective on January 1 of the year that is two years after the year of the coming into force of this subsection, to twelve fifteenths of the initial rate, (iv) effective on January 1 of the year that is three years after the year of the coming into force of this subsection, to eleven fifteenths of the initial rate, (v) effective on January 1 of the year that is four years after the year of the coming into force of this subsection, to ten fifteenths of the initial rate, (vi) effective on January 1 of the year that is five years after the year of the coming into force of this subsection, to nine fifteenths of the initial rate, (vii) effective on January 1 of the year that is six years after the year of the coming into force of this subsection, to eight fifteenths of the initial rate, (viii) effective on January 1 of the year that is seven years after the year of the coming into force of this subsection, to seven fifteenths of the initial rate, (ix) effective on January 1 of the year that is eight years after the year of the coming into force of this subsection, to six fifteenths of the initial rate, (x) effective on January 1 of the year that is nine years after the year of the coming into force of this subsection, to five fifteenths of the initial rate, (xi) effective on January 1 of the year that is 10 years after the year of the coming into force of this subsection, to four fifteenths of the initial rate, (xii) effective on January 1 of the year that is 11 years after the year of the coming into force of this subsection, to three fifteenths of the initial rate, (xiii) effective on January 1 of the year that is 12 years after the year of the coming into force of this subsection, to two fifteenths of the initial rate, (xiv) effective on January 1 of the year that is 13 years after the year of the coming into force of this subsection, to one fifteenth of the initial rate, and (xv) effective on January 1 of the year that is 14 years after the year of the coming into force of this subsection, to the final rate of “Free”. Rounding of specific rates (5) If a reduction under subsection (3) or (4) results in a specific rate of customs duty that includes a fraction of one tenth of a cent, the rate shall be rounded down to the nearest one tenth of a cent. Rounding of amounts — fraction other than 0.5 (6) If a reduction under subsection (3) or (4) results in a rate of customs duty that includes a fraction of one per cent other than 0.5, the resulting percentage shall be rounded down to the nearest percentage that divides evenly by 0.5. Elimination of rates of less than two per cent (7) If a reduction under subsection (3) or (4) results in a rate of customs duty that is a percentage of less than two per cent, the rate shall be further reduced to “Free” immediately.

Order by Governor in Council

41The Act is amended by adding the following after section 74: Bilateral Emergency Measures — Indonesia 75 (1) Subject to subsections (2) to (5), if at any time it appears to the satisfaction of the Governor in Council, as a result of an inquiry made by the Canadian International Trade Tribunal under subsection 19.0192(2) of the Canadian International Trade Tribunal Act or further to a complaint filed under subsection 23(1.098) of that Act, that goods that are entitled to the Indonesia Tariff are, as a result of that entitlement, being imported in such increased quantities, in absolute terms or relative to the domestic production of like or directly competitive goods, and under such conditions as to constitute a principal cause of serious injury, or a threat of serious injury, to domestic producers of like or directly competitive goods, the Governor in Council may, on the recommendation of the Minister, by order (a) suspend, during the period that the order is in effect, any reduction of the rate of customs duty with respect to those goods that would otherwise be made after that time by virtue of section 49.71; and (b) make those goods subject to a temporary duty, in addition to any other duty specified in this Act or in any other Act of Parliament relating to customs, at a rate set out in the order, but that rate, when added to the rate of customs duty specified in the Indonesia Tariff that is in effect in respect of those goods at that time, may not exceed the lesser of (i) the Most-Favoured-Nation Tariff rate of customs duty that is in effect in respect of those goods at the time the order is made, and (ii) the Most-Favoured-Nation Tariff rate of customs duty that was in effect in respect of those goods immediately before the coming into force of this subsection. Terms and conditions (2) An order under subsection (1) (a) is not to be made more than once in respect of goods of any particular kind; (b) remains in effect only for the period, not exceeding two years, that is specified in the order; (c) may be made during the period beginning on the day on which this subsection comes into force and ending (i) if the order is in respect of goods for which the Indonesia Tariff rate of customs duty is reduced to the final rate of “Free” over a period of less than 10 years, on the day that is 10 years after the day on which this subsection comes into force, and (ii) if the order is in respect of goods for which the Indonesia Tariff rate of customs duty is reduced to the final rate of “Free” over a period of 10 years or more, on the day after the expiry of the tariff staging period in respect of those goods. Extension of order (3) The Governor in Council may, on the recommendation of the Minister, by order, extend the period of an order made under subsection (1), if it appears to the satisfaction of the Governor in Council, as a result of an inquiry made by the Canadian International Trade Tribunal under section 30.07 of the Canadian International Trade Tribunal Act that the order continues to be necessary to prevent or remedy serious injury to, and to facilitate the adjustment of, domestic producers of like or directly competitive goods. The total period of the order is not to exceed three years. Rate of duty when order ceases to have effect (4) If an order made under subsection (1) ceases to have effect in a particular calendar year, the rate of customs duty applicable to the goods after the order ceases to have effect is the rate of customs duty that is applicable in accordance with section 49.71. Definition of principal cause (5) In this section, principal cause means, in respect of a serious injury or threat of serious injury, an important cause that is not less important than any other cause of the serious injury or threat.

42Section 79 of the Act is amended by adding the following after paragraph (o): (p) subsection 75(1).

43The List of Countries and Applicable Tariff Treatments set out in the schedule to the Act is amended by adding, in the column “Tariff Treatment / Other”, a reference to “IDT” opposite the reference to “Indonesia”.

44The List of Tariff Provisions set out in the schedule to the Act is amended by (a) adding in the column “Preferential Tariff / Initial Rate”, above the reference to “GPT”, a reference to “IDT:”; (b) adding in the column “Preferential Tariff / Final Rate”, above the reference to “GPT”, a reference to “IDT:”; (c) adding in the column “Preferential Tariff / Initial Rate” a reference to “Free” after the abbreviation “IDT”, and adding in the column “Preferential Tariff / Final Rate” a reference to “Free (A)” after the abbreviation “IDT”, for all tariff items except those tariff items set out in Schedules 1 and 2 to this Act; (d) adding in the columns “Preferential Tariff / Initial Rate” and “Preferential Tariff / Final Rate”, a reference to “N/A” after the abbreviation “IDT” for those tariff items set out in Schedule 1 to this Act; and (e) adding in the columns “Preferential Tariff / Initial Rate” and “Preferential Tariff / Final Rate” after the abbreviation “IDT”, for each tariff item set out in Schedule 2 to this Act, the rates of duty and staging categories set out with respect to that tariff item in that Schedule.

Order in council

45This Act comes into force on a day to be fixed by order of the Governor in Council.

Schedule 1Amendments to tariff classifications
What it does

This part revises various tariff classifications in Canada by listing specific codes for goods. It updates the description and categorization of numerous items imported to the country.

Why it matters

Understanding the changes to tariff classifications is important for businesses engaged in international trade, as it affects import duties and compliance requirements. Accurate classifications can influence market prices and competitiveness.

The problem it addresses

The provisions aim to ensure clarity and accuracy in the tariff classification system for various goods, which is essential for trade regulation.

Who benefits

Importers and businesses benefit from clear tariff classifications that support easier compliance and potentially lower duties on some goods.

The tradeoff

While businesses gain clearer guidelines, there may be increased scrutiny and compliance burdens placed on them, particularly if classifications lead to higher tariffs for some imported goods, impacting consumers through potential price increases.

ImportersConsumersCustoms officialsBusinessesTrade associations
Schedule 2Changes to Tariff Rates
What it does

This part sets out a list of tariff items with initial and final rates, altering duties on various imported goods. Specific rates are specified for different items, indicating whether they will be temporarily free or subject to certain percentage duties.

Why it matters

This matters as it affects the cost of imported goods, which can influence prices for consumers and businesses in Canada. It can also impact trade relationships and economic conditions.

The problem it addresses

The provisions aim to update and adjust import tariffs which may have become outdated or uncompetitive.

Who benefits

Importers or consumers may benefit from lower or eliminated tariffs which can result in reduced prices for goods.

The tradeoff

While consumers may enjoy lower prices, domestic producers may face increased competition from imports, potentially harming their sales and market share.

ImportersConsumersDomestic manufacturersTrade regulatorsEconomists
Official record· parl.ca
Official drafter summary (parl.ca)

This enactment implements the Comprehensive Economic Partnership Agreement between Canada and Indonesia, done at Ottawa on September 24, 2025. Among other things, it (a) approves the Agreement; (b) provides that no recourse may be taken on the basis of certain provisions of the enactment or any order made under those provisions, or on the basis of the provisions of the Agreement, without the consent of the Attorney General of Canada; (c) provides for payment by Canada of its share of the expenditures associated with the operation of the institutional and administrative aspects of the Agreement; (d) gives the Governor in Council the power to make orders in accordance with the Agreement; (e) requires the Minister for International Trade to ensure that Canadian companies comply with the principles and guidelines referred to in Article 22.‍15 of the Agreement; and (f) requires a comprehensive review of the operation and effect of the Act and of the Agreement every three years. It also makes related amendments to certain Acts to bring them into conformity with Canada’s obligations under the Agreement. Available on the House of Commons website at the following address: www.ourcommons.ca

AI-assisted analysis
What MPs debatedCONTESTED112 speeches · 31 MPs · 28,877 words
Points of contention
  • Disagreements on inclusion of human rights protections in the agreement
  • Concerns about investor-state dispute settlement mechanisms favoring multinationals
  • Debate on the actual economic impact vs. projected benefits of the agreement
  • Concerns over consultation processes with provinces and stakeholders

Liberal and some Conservative MPs broadly supported the bill, while Bloc and Green MPs raised significant concerns.

Where MPs stood24 MPs · grouped by party · ranked by speaking volume
AI-assisted analysis
CPC10 spoke · 4 support · 3 oppose
Garnett Genuis
Garnett GenuisSUPPORTS5 speeches · 2,289 words
Argued that Conservatives support advancing the bill to the next stage of consideration.In general, the current government has not brought these issues to the forefront. We continue to have a huge problem with products coming into Canada that are made with forced labour.
DM
David McKenzieSUPPORTS5 speeches · 1,811 words
Argued that trade agreements like Bill C-18 are essential for expanding market access and creating opportunities for Canadian producers.Canada should be well positioned to supply that demand. We have vast energy resources, world-class producers, workers who are second to none anywhere in the world and some of the highest environmental standards in the world.
Adam Chambers
Adam ChambersMIXED7 speeches · 1,753 words
Argued for sending the bill to committee for further scrutiny to address concerns about procurement opportunities.I think we can satisfy that demand.
Jason Groleau
Jason GroleauOPPOSES5 speeches · 1,736 words
Criticized the agreement in Bill C-18 as marginal and unimportant compared to bigger trade issues like U.S. tariffs.Once again, Bill C-18 does not remove [...] significant challenges for Canadian beef producers.
Michael Chong
Michael ChongSUPPORTS5 speeches · 1,690 words
Supported Bill C-18, emphasizing the importance of diversifying trade with Indonesia.The Conservatives support Bill C-18, an act to implement the comprehensive economic partnership agreement between Canada and Indonesia, because we support diversifying our trade with other partners, especially in the Indo-Pacific region.
JM
Jacob MantleMIXED2 speeches · 473 words
Supported the government's efforts to open new markets for Canadian exporters.A new trade agreement is good, but I think Canadians should know that it is not a panacea for the problems we face.
Blaine Calkins
Blaine CalkinsNEUTRAL2 speeches · 153 words
Highlighted historical context of trade and pipeline projects in Canada.Based on the announcement by the government on the expected value of this trade relationship with Indonesia, I wanted to ask my colleague if he can tell me what the value of one LNG tanker leaving Canada might be worth to our economy in context.
Ted Falk
Ted FalkOPPOSES1 speech · 134 words
Criticized the bill for favoring private companies like Brookfield over Canadian interests.Who is the Prime Minister working for, Canada or Brookfield?
Marc Dalton
Marc DaltonSUPPORTS2 speeches · 102 words
Argued that Conservatives support free trade agreements, referencing past successes.Conservatives stand for free trade agreements. Under Harper we had a couple of dozen free trade agreements.
TJ
Tamara JansenOPPOSES1 speech · 91 words
Argued that the economic impact of the deal is negligible, estimating it at only 0.012% of GDP by 2040.the economic impact will be just 0.012% of the GDP by 2040.
LPC9 spoke · 9 support · 0 oppose
Maninder Sidhu
Maninder SidhuSUPPORTS5 speeches · 1,908 words
Argued that Bill C-18 represents a strategic decision to help Canadian businesses compete globally.I rise today with pride and conviction to speak in support of Bill C-18, legislation that will bring into force the Canada-Indonesia comprehensive economic partnership agreement.
Peter Fonseca
Peter FonsecaSUPPORTS5 speeches · 1,689 words
Argued that Bill C-18 supports economic growth and trade opportunities for Canadian firms in Indonesia.Bill C-18 would do exactly that. It would support services trade. It would enhance investment certainty. It would reduce red tape. It would create opportunity.
Steeve Lavoie
Steeve LavoieSUPPORTS5 speeches · 1,569 words
Argued that Bill C-18 diversifies Canada's trade and reduces dependency on major trading partners.I therefore invite all members of the House to support Bill C-18 for a more diversified, resilient and prosperous economy.
Kevin Lamoureux
Kevin LamoureuxSUPPORTS12 speeches · 1,033 words
Argued that Bill C-18 opens up significant trade opportunities with Indonesia, which is beneficial for Canada.When we look at Bill C-18, it is important we put it in the perspective of a commitment in an election platform the Liberal Party presented to Canadians.
Yasir Naqvi
Yasir NaqviSUPPORTS4 speeches · 457 words
Argued that the bill promotes energy security and climate change goals through enhanced electrification.I think it is good news for our farmers. Our farmers were present at the committee process, and they agreed that the agreement will allow for them to export more Canadian-produced goods to places like Indonesia.
ÉB
Élisabeth BrièreSUPPORTS2 speeches · 177 words
Supported the government's efforts to develop new economic partnerships, emphasizing their importance for market diversification.I would also like to commend all the work being done by the Prime Minister and his entire team to develop new partnerships such as this one.
Jean-Yves Duclos
Jean-Yves DuclosSUPPORTS1 speech · 139 words
Argued the agreement has solid benefits for farmers.There is no such thing as an ideal agreement; there are only agreements that could be signed.
JD
John-Paul DankoSUPPORTS1 speech · 116 words
Argued for investment in ports and trade infrastructure as vital for economic growth.I really appreciated his discussion of the need for investment in ports, trade corridors and infrastructure...
John-Paul Danko
John-Paul DankoSUPPORTS1 speech · 91 words
Argued that diversifying Canada's economy and increasing trade is a priority.Having greater Canadian access to the eighth-largest economy in the world, certainly on agriculture, seafood and lumber, is great news for Canadians.
BQ4 spoke · 0 support · 2 oppose
Legislative stages
  1. First reading (House of Commons)
    Dec 11, 2025
  2. Second reading (House of Commons)
    Feb 2, 2026
  3. First reading (Senate)
    Mar 11, 2026
  4. Third reading (House of Commons)
    Mar 11, 2026
  5. Second reading (Senate)
    Apr 15, 2026
  6. Third reading (Senate)
    May 5, 2026
  7. Royal Assent
    May 6, 2026