"Now we get to continue to work on a bespoke agreement, a comprehensive agreement, over the coming years that will really maximize our trade opportunities and boost things for everyone", Trudeau said.
The government said it paved the way for negotiations to begin next year on a new comprehensive deal with Canada.
Following its referendum vote in 2016 to leave the EU, Britain can now strike trade deals of its own.
The interim deal beat the looming December 31 Brexit deadline, replacing Canada's current agreement with Britain under the European Union that covers trade between the two countries.More news: Apple to Pay Another $113 Million to State Prosecutors for 'Batterygate'
"This is a fantastic agreement for Britain which secures transatlantic trade with one of our closest allies". In Canada's case, legislation to change regulations and laws (including its custom tariff) to comply with the new agreement must be approved by Parliament before the deal can take effect.
"I think we've been known to be a country of traders (...) we're a small speck in the greater global world and the more relationships we can have that have good trade possibilities is vital to the Canadian economy..." said Durocher.
A fresh "more advanced deal" is expected to go further in areas including digital trade, the environment and women's economic empowerment, the statement added. It is banking on increased trade with countries such as the United States and India to offset any negative impact from severing ties with the European Union, which accounted for 47% of Britain's overall trade previous year. Meanwhile, trade negotiations are ongoing with countries including Australia, New Zealand and the United States. Johnson's critics point out that many are largely the same as the European Union deals.More news: NBA’s Raptors denied permission to play in Canada, head to Tampa
In their release, the Canadian Chamber of Commerce has urged both the British and Canadian governments to now publish the details of the updated trade agreement to ensure businesses can understand all the practical details.
Goldy Hyder, president of the Business Council of Canada, said the transitional deal will prevent a disruption of Canada-British trade, but noted he wanted to see its specific terms. It will cover about 1.5 percent of the U.K.'s total trade in goods and services.
Britain is now locked in fraught talks with the European Union to set the terms of their future trading relationship for when the post-Brexit transition period ends on December 31.More news: Warmer for the weekend - Showers by Thanksgiving