The Comprehensive Economic and Trade Agreement (CETA) has been in force provisionally since 2017, but requires ratification in all European Union member states for full entry into force.
Macron and his parliamentary allies managed to approve the deal by a narrow margin in the lower house of the National Assembly in 2019, but ratification requires the support of the upper house of the Senate, where they are in a clear minority.
After scenes of tension rarely seen in the upper house, senators voted 211 times against and 44 times in favour of the pact before confirming the rejection with a second vote. Opponents of the treaty were expected to run out of time for the confirmation vote, but they managed to carve out time by speeding up the debate.
Despite the setback for the government that supports the treaty, a vote against does not in itself invalidate the agreement.
At the debate in the Senate, Trade Minister Franck Riester said rejection would be an “unacceptable manipulation” with serious consequences for France.
According to the minister, the provisional implementation of CETA has helped increase exports to Canada by 33%, while Canadian beef products represent only 0.0034% of French consumption. He also said Europe needs an arrangement with Canada to ensure the supply of key minerals for the green transition. Riester said:
“Today is a bad day, a very bad day, for our economy, for our entrepreneurs, our exporters and farmers. The Senate is delivering a nasty blow to our friendship with Canada and our economy.”
Under EU rules, the rejection only takes effect if the government formally notifies the EU, and Macron is not expected to do so. The government has not yet said how it will handle the situation, but one option is to return the treaty to the National Assembly for a second debate and vote. The treaty has been ratified by 17 EU members, with 10 countries still in the process.
France is the second country to refuse ratification. The first, Cyprus, has not notified the EU Commission of its refusal and continues to apply the treaty pending a new vote.
