Unpacking the ASEAN–Canada FTA negotiation

Document 25633
Transnational Institute - 06 May 2026

Unpacking the ASEAN–Canada FTA Negotiation

The rising geopolitical competition surrounding the green transition has intensified negotiations for trade and investment agreements aimed at securing market access for renewable energy projects and critical minerals essential to energy transition. These agreements have become protective instruments for multinational corporations, particularly through the investor-to-state dispute settlement (ISDS) mechanism. Currently, numerous free trade agreements (FTAs) are being negotiated across ASEAN, including bilateral agreements between ASEAN member states.

The ISDS mechanism poses a significant threat to the rights and protections of citizens across these nations. By holding states hostage to the interests of foreign investors, ISDS undermines peoples’ struggles to hold corporations accountable for human rights violations, economic losses, and environmental damage or pollution. Consequently, examining the nexus between energy transition and trade agreements is crucial for advancing a fair and just transition agenda in the region.

The ASEAN-Canada FTA is one of these agreements currently under negotiation that includes an investment protection chapter with an ISDS mechanism.1 This briefing note summarizes the October 2025 webinar, “Unpacking the ASEAN-Canada Free Trade Agreement”, which examined the impact of ISDS and highlighted Canadian mining practices through emblematic ISDS cases.

Further read here


  Source: Transnational Institute