Ontario Signs New Free Trade Agreements with British Columbia and Canada’s Three Territories
July 22, 2025
Memorandums of understanding now in place with 10 provinces and territories to grow Ontario’s economy by removing internal trade barriers
Recently, Ontario Premier Doug Ford was joined by British Columbia Premier David Eby, Yukon Premier Mike Pemberton, Northwest Territories Premier R.J. Simpson and Nunavut Premier P.J. Akeeagok to sign two new Memorandums of Understanding (MOUs) to boost internal trade, improve labour mobility and tear down long-standing barriers to doing business between provinces and territories. This included an Ontario-British Columbia MOU and an MOU between Ontario and the three territories.
“With President Trump’s ongoing threats to our economy, there’s never been a more important time to boost internal trade to build a more competitive, resilient and self-reliant economy,” said Premier Ford. “By signing these MOUs and working together, we’re helping Canada unlock up to $200 billion in economic potential and standing shoulder to shoulder to protect Canadian workers across the country.”
Through these agreements, premiers are working together to eliminate red tape, cut costs for businesses and open new pathways for skilled workers to move more freely across the country. With the MOUs signed today, Ontario has now secured agreements with 10 provinces and territories, making Ontario the national leader in strengthening interprovincial trade and cooperation.
To support this work, the Ontario government recently passed the Protect Ontario Through Free Trade Within Canada Act, which strengthens Ontario’s ability to pursue cross-Canada commerce, withstand U.S. tariffs and tackle future economic challenges head-on. Ontario also remains the only province or territory to eliminate all party-specific exceptions under the Canadian Free Trade Agreement.
“When Ontario and BC team up to knock down trade barriers, it’s good for workers, it’s good for businesses and it’s good for the people of both provinces,” said Premier David Eby, British Columbia. “Between our provinces, we have more than half of the population of the country. This agreement is key to unlocking one Canadian economy.”
“This agreement between Ontario and the territories is about making it easier for people, goods and ideas to move across the country,” said Premier Mike Pemberton, Yukon. “It’s an important step in reducing barriers and expanding opportunities for workers, businesses and communities in the North — building on progress we’ve already made. By working together, we’re helping ensure that the territories, including the Yukon, can fully participate in and contribute to Canada’s economy.”
“For the North to reach its full economic potential, we need to reduce the barriers that make it harder for our people and businesses to connect with the rest of the country — and for them to connect with us,” said Premier R.J. Simpson, Northwest Territories. “This agreement is a step toward that: supporting labour mobility, streamlining certification and opening up new opportunities for Northerners. It reflects a shared commitment to building a more open, connected and resilient Canadian economy.”
“This MOU is a strategic opportunity for Nunavut to enhance labour mobility, reduce trade barriers and strengthen our economic ties with other jurisdictions,” said Premier P.J. Akeeagok, Nunavut. “It positions Nunavut to be a more connected and competitive player in Canada’s economy.”
Premier Doug Ford will host Canada’s Premiers and their delegations for the Council of the Federation’s 2025 Summer Meeting from July 21–23.
Quick Facts
- Ontario has now signed MOUs with 10 of 12 other provinces and territories to boost interprovincial trade.
- In 2021 (latest available data):
- Ontario-British Columbia trade was valued at $47.9 billion
- Ontario-Yukon trade: $800 million
- Ontario-Northwest Territories trade: $800 million
- Ontario-Nunavut trade: $1.7 billion
- In 2023, the Province exported $183.9 billion of goods and services to other provinces and territories and imported $142.7 billion, resulting in two-way trade of $326.6 billion and a trade surplus of $41.2 billion.
- Ontario’s $50 million Ontario Together Trade Fund will assist local businesses in taking advantage of new interprovincial trade opportunities.
- Thirty-five per cent of Canada’s overall trade takes place within its own borders.
Quotes
“At a time of global uncertainty, Ontario is proud to be leading a new era of economic cooperation within Canada. By signing agreements with seven provinces and all three territories, our government is taking unprecedented actions towards tearing down trade barriers, opening new pathways for workers and businesses and helping unlock up to $200 billion in economic potential each year. Together, we will build a more resilient and self-reliant economy, to unlock new opportunities for Ontario industries and strengthen supply chains for generations to come.”
– Vic Fedeli
Ontario Minister of Economic Development, Job Creation and Trade
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