Free Trade’s Bleak Outlook

After years of talks and a week or two of comic opera, Canada and the European Union stifled resistance from Wallonia -- the French-speaking part of Belgium -- and signed their Comprehensive Economic and Trade Agreement. It was a good result, though with disturbing implications.

CETA is a new kind of free-trade agreement. Going far beyond the elimination of most tariffs on goods, it also breaks down non-tariff barriers, and aims to foster trade in services and increase flows of foreign investment. Think of it as a scaled-down version of the Transatlantic Trade and Investment Partnership the U.S. hopes to reach with the EU. Even though the Walloons’ objections to CETA were dealt with, after a fashion, the episode inspires little confidence in TTIP’s prospects.