Trade Agreement Investor


In accordance with paragraphs 14 (3) and 14 (4) of the Act, the thresholds for investments that are audited are $5 million in assets for direct investments and $50 million in assets for indirect transactions. These thresholds apply to investments by an investor who is not a “WTO investor,” as defined in section 14, paragraph 6 of the Act, which involves acquiring control of a Canadian company that is not “controlled by a WTO investor” just prior to the completion of the investment. The main obligation of contracting states is not to discriminate against foreign investors against their own investors (national treatment) and those of a third country (the most favoured nation). States Parties may, on some lists, express reservations about the principle of non-discrimination. Switzerland`s reservations about national treatment relate to the acquisition of land, certain provisions of corporate law and various laws in the energy sector. Under the European Free Trade Association (EFTA), Switzerland is a party to free trade agreements (which provide market access conditions for investment) with Chile, Singapore, South Korea, Colombia, Peru, Ukraine, Hong Kong and several Central American countries (Costa Rica, Guatemala, Panama). It also signed a bilateral free trade agreement with Japan. It is not permissible to deteriorate the investment conditions of investors in partner countries. Discriminatory state measures in one sector must therefore be compensated by improved conditions for access to investment in other sectors. For more information on Canada`s trade agreements, please visit the Global Affairs Canada website. The method of calculating the value of the Canadian business that is the subject of the investment is defined in sections 3.3, 3.4 and 3.5 of the Investment Canada Regulations, depending on whether the Canadian company is a listed company, an unlisted company or the company acquired through the acquisition of assets. In accordance with Article 14.11, paragraph 6, of the Act and the annexed timetable, commercial investors include companies and individuals of which the country is a party to the ultimate control of one of the following trade agreements: international foreign investment law governs foreign direct investment and the settlement of disputes between foreign investors and sovereign states.

This guide identifies the best resources for locating primary and secondary materials related to international investment legislation, with a focus on bilateral investment agreements (ILOs) and investor-state dispute resolution. Discover new ways to expand your international presence. Canada`s broad (and growing) commercial network provides Canadian businesses with preferential access to various markets around the world. This page examines Canada`s Free Trade Agreement (FTA), Foreign Investment Promotion and Protection Agreements (FIPA), multilateral agreements and World Trade Organization (WTO) agreements. Note: The texts of the treaty on this page are exclusively for information; the official texts of the treaties are published in the “Treaty of Canada” series. In addition to THE ILO, which aim to protect investments already made in the partner country (post-establishment phase), it is also possible to establish international rules to ensure that investors have free access to markets (pre-establishment phase).

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