France: Market Overview
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Source: Statistics Canada
2015 Trade and Investment between France and Canada (C$, Millions)
|Trade and Investment||(C$, Millions)|
|Canadian Merchandise Exports to France||$3,136.5|
|Canadian Merchandise Imports from France||$6,804,3|
|Canadian Service Exports to France, 2015||$2,643.0|
|Canadian Service Imports from France, 2015||$3,403.0|
|French Direct Investment in Canada||$7,896.0|
|Canadian Direct Investment in France||$6,890.0|
Why France Matters
- France is Canada’s eighth largest partner in the European Union for merchandise trade, its eleventh largest export market and its ninth largest source for imports (Source: Statistics Canada).
- France is the third largest economy in Europe (Source: Eurostat).
- France is the sixth largest destination for Canadian direct investment in the EU, and Canada’s sixth largest source of investment from the EU (Source: Statistics Canada).
- Canada and France maintain excellent bilateral relations based on shared values, a common history and language, as well as rich political and cultural links.
- More than 270 Canadian businesses are represented in France, covering a vast range of economic sectors like aeronautics, land transport, manufacturing, renewable and non-renewable energies, agri-food, as well as engineering, telecommunications, management consulting services, transport, and financial services
Read the guide Exporting to the EU.
Sectoral Opportunities in France
The aeronautical sector as a whole (aerial vehicles, jet engines, parts, equipment, navigation instruments) represents almost 25% of Canada-France commercial trade and remains an important area of cross investments (Source: Global Trade Atlas). France is home to manufacturing facilities for Airbus’s commercial planes, helicopters, and satellites as well as for Dassault business planes. Many Canadian companies are partners and subcontractors of different programs from these groups. Additionally, important purchasers like Safran (engines, landing gear) and Thales (avionic systems) are already established in Canada.
This sector represents 9% of Canadian exports to France in 2015 (Source: Global Trade Atlas). For the agricultural sector itself, concerns about access and market and product conditions will have an important effect on development opportunities. For seafood products, organic products, protein crops, meats, and other food and health ingredients, there is much potential for expansion. When CETA comes into effect, the removal of regulations and tariffs will enable larger growth in processed products and niche grocery store items.
France is an important consumer of primary energy, but must import almost all of its oil and gas. To ensure its energy security, it favours nuclear and renewable energy. Excellent business prospects for cross-investment and technology partnerships exist, notably as part of the new French energy policy.
In 2015, the number of French students studying in Canada was 20,218. The French represent slightly over 5.7% of temporary international residents. Since 2006, the average annual increase in the number of French students coming to study in Canada was 10.6%, greater than the average annual increase for all international students groups collectively (8.4%). France is the third most common country of citizenship for international students after China and India (Source: Immigration, Refugees, and Citizenship Canada). Given its language, France exerts a cultural influence as a priority country in the new Canadian Education Strategy.
Information and Communications Technology (ICT)
Away of the loss of competition of its traditional industrial sector, France has clearly emphasised for the last few years the development of technology, information, and communications companies. Many opportunities are available to companies who can provide electronic solutions to organizations of all sizes.
Bilateral trade in pharmaceutical products represents 7% of Canada-France trade and has risen to $669 million in 2015 (Source: World Trade Atlas). Opportunities in investment, innovation, and technology transfer are very numerous in this sector. The historically-extensive protection of certifications that CETA will allow should act as a powerful incentive to raise activity in this priority sector.
For more information on trade and investment opportunities in France, contact your Trade Commissioner in Paris, France.
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