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The expected result is that this chapter aims to facilitate the temporary free movement of businessmen to support bilateral trade in goods, services and investment, by imposing regulatory requirements such as labour market testing and digital restrictions. While a CUFTA with Ukraine is expected to improve access to the bilateral market, trade in services is unlikely to increase significantly. Canada is already fairly open in most service sectors and, due to a CUFTA, national regulatory changes are not expected. Imports of Canada`s services from Ukraine may increase as a result of a free trade agreement with Ukraine, but the environmental impact of a potential increase is expected to be negligible. Given the relative weakness of bilateral trade relations between Canada and Ukraine, the environmental impact of a CUFTA is expected to be very limited. All environmental effects are expected to be related to an increase in Canadian production due to increased demand for Canadian exports due to lower tariffs. Due in part to their significant share of overall Canadian exports to Ukraine and the current relatively high level of Ukrainian tariffs, Canada`s fisheries and seafood and agriculture sectors are the regions where production could increase the most as a result of a CUFTA. However, as noted below, the environmental effects are expected to be minimal due to a possible increase in Canadian exports to Ukraine. A recent study of Canada-Ukraine business models and trends has found great potential in Ukraine for Canadian companies that manufacture vehicles, engines, turbines, aircraft and turbo-aircraft, petroleum gas, ethylene polymers, rubber, pulp and meat.

Eliminating trade barriers and creating new opportunities for businesses in both countries. According to Ukraine`s National Statistics Service, the volume of bilateral merchandise trade between Canada and Ukraine was $263.8 million in 2014, more than 12% less than in 2013. Volumes have declined in recent years. None of the contracting parties to the agreement is an important trading partner. However, the signing of the free trade agreement should improve the volume of trade between the two countries and contribute to Ukraine`s economic reforms and promote wide-ranging stability. It should be noted that the agreement applies only to trade in goods; Trade in services is not within the scope of the agreement. In addition to the removal of tariffs, Canadian negotiators will also aim to introduce provisions that would facilitate enhanced cooperation with Ukraine to make trade more efficient, including through trade promotion measures and customs procedures to ensure security, transparency and effective origin verification procedures. The original rules, transparent, predictable and consistent in their application, are developed to ensure that the benefits negotiated under the agreement are paid to their contracting parties. Effective August 1, 2017, the Canada-Ukraine Free Trade Agreement (CUFTA) aims to improve market access conditions for Canadian and Ukrainian businesses, including the removal of tariffs. With the entry into force of the CUFTA, Canada immediately eliminated tariffs on 26.5% of its customs positions, resulting in 98.1% of Canada`s customs positions on imports from Ukraine being exempt from tariffs.