Canada seeks 'unique alliance' with EU as trade war with US intensifies

Canadian Prime Minister Mark Carney has said Canada is seeking a "unique alliance" with the European Union, while ruling out formal membership of the bloc. He made the comments in Toronto as tensions with the United States deepened over tariffs and stalled trade negotiations. Carney said Canada and the EU share values, priorities and complementary strengths, and argued that both sides would be stronger together.

Sponsored

Carney said discussions would begin on what he described as the most ambitious possibilities short of full membership. He was responding to reports that EU officials had been open to the idea of Canada becoming an associate member, according to officials on both sides. The prime minister said Canada was not seeking formal EU membership, but wanted a closer relationship that reflected shared interests.

He is due to travel this week to the UK and France, and to address the European Parliament in Strasbourg. The remarks come after Canada and the US failed to reach agreement in trade talks in late August. Washington has imposed tariffs on key Canadian sectors including steel, aluminium and lumber, as well as an additional 50% levy on about C$28bn of Canadian goods.

Ottawa has responded with levies of up to 50% on C$28bn of American products, including steel, furniture and cotton T-shirts. The dispute has widened into one of the most significant trade confrontations between the two neighbours in recent years. The shift in tone also reflects a broader effort by Carney to make Canada's economy more resilient and less dependent on the United States.

Sponsored

Since taking office, he has promoted a strategy aimed at building a more independent and more resilient economy. That approach has gained urgency as relations with the Trump administration have become more hostile. Carney has also said Canada shares values with European partners, suggesting that closer ties with Europe could form part of a wider diversification strategy.

The timing of the comments is notable because they come as Carney prepares for meetings in Europe with senior political figures and institutions. He is expected to attend European Commission President Ursula von der Leyen's State of the European Union address during his trip. The planned discussions suggest Canada is testing how far cooperation with the EU could go without crossing into formal membership.

That could have implications for trade, regulation and political alignment if both sides decide to pursue a deeper framework. What remains unclear is how far the EU is willing to go and what form any new arrangement could take. It is also not yet known whether the talks will produce concrete proposals or remain exploratory.

#Canada #EuropeanUnion #MarkCarney #tradewar #tariffs

Sponsored