Canada is removing federal internal trade barriers

June 30,2025

RED FM News Desk

Ottawa, Ontario – The federal government is moving to eliminate interprovincial trade barriers under its control, Internal Trade Minister Chrystia Freeland announced in a press release on Monday. 

Freeland stated that Ottawa has now removed all federal exemptions in the Canada Free Trade Agreement that previously limited trade between provinces. While Prime Minister Mark Carney had already reduced many of these barriers before the spring election, nearly two dozen exemptions remained, mainly for national security reasons. 

Most of the removed exemptions were related to federal procurement policies, according to the statement. 

The announcement comes just ahead of the Canada Day deadline Carney had set for removing these trade barriers, and follows the recent passage of the Liberal government’s “One Canadian Economy” bill. 

Meanwhile, some provinces have been taking their own steps to reduce internal trade barriers by signing agreements and memorandums of understanding. 

However, significant challenges remain. Various interprovincial trade barriers still exist, including regional restrictions on certain products, inconsistent regulations across provinces, and obstacles to the free movement of workers.