Minister says Canada and the EU are closing in on a digital trade agreement

Canada exported nearly $15bn in digital services to the EU in 2024, Sidhu said, with an opportunity to grow that figure once an agreement is in place. 

The negotiating directives the European Commission put to the Council on September 10, 2025 set out where Brussels will not move.  

The directives state that the talks “should result in rules covering cross-border data flows addressing unjustified data localisation requirements, while neither negotiating nor affecting the EU’s personal data protection rules.” 

Per the directives, the agreement should not prevent EU and member state authorities from regulating in the public interest, including “ensuring the integrity and stability of the Union’s financial system, privacy and personal data protection.” 

The same text lists protection of computer source code forced technology transfer, and online consumer protection among the subjects the talks may cover. 

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