Ursula von der Leyen offers Canada EU associate membership, Trump threatens trade war
The president of the European commission, Ursula von der Leyen. (Image courtesy: X/@vonderleyen)
New Delhi: Canada could be offered a new relationship with the European Union that stops short of full membership but brings the country closer to the 27-nation bloc. The European commission president Ursula von der Leyen proposed making Canada the EU’s first associate member on Wednesday as Ottawa seeks to deepen its economic and strategic ties beyond the United States.
The proposal would take the relationship between Canada and Europe beyond their existing free trade agreement, Ceta. Von der Leyen said the two sides could work towards an “Alliance for the Future” covering defence, energy, critical minerals, advanced manufacturing, artificial intelligence, quantum technology, cybersecurity and the Arctic.
Trump sees possible Canada-EU shift as a threat
The proposal quickly drew a warning from the United States president, Donald Trump, who said a closer Canada-EU relationship could trigger a fresh trade confrontation. Trump said the move could be a “hostile act” and warned that Washington could impose heavy tariffs on European countries or restrict trade if it believed the arrangement was being pursued with bad intentions.
Trump also dismissed the prospect of Canada joining the EU as “laughable” and described Canada as a “terrible trade partner”. His comments came as Washington and Ottawa remain locked in a wider dispute over tariffs, trade and Canada’s efforts to protect its domestic market.
The US president has also repeatedly spoken about Canada becoming the 51st US state, remarks that have added to tensions between the two long-standing allies. On Wednesday, Trump signed a memorandum directing the US government to remove Canadian goods from federal procurement, with the White House describing the measure as retaliation for Canada’s “Buy Canadian” policy.
For Canada, closer ties with Europe are part of a wider effort to reduce its reliance on the US economy. Around 70 per cent of Canadian exports go to the American market, leaving Ottawa particularly exposed to changes in US trade policy. Canadian officials have made clear that full EU membership is not what Ottawa is seeking. Instead, the idea is to create a framework that allows Canada to cooperate more closely with Europe while retaining its decision-making powers and sovereignty.
Jonathan Wilkinson, Canada’s ambassador-designate to the EU, said Ottawa and Brussels had already discussed the possibility of associate membership before von der Leyen announced it publicly. He said the two sides were concentrating on defining the substance of the relationship first and would decide later what to call the arrangement.
The Wall Street Journal recently reported that Canadian and European officials had been discussing the possibility of associate membership as a new category of relationship with the bloc. According to reports full EU membership was not being considered, while Canadian and European officials were seeking the closest possible relationship between the two sides.
There is currently no established EU model for associate membership, meaning the proposal would require the bloc and Canada to work out the details from scratch. Questions remain over the rights, responsibilities and decision-making powers that such a status would provide, as well as the approvals that would be required from EU member states.
The framework could take shape during a Canada-EU summit expected in October. Both sides are expected to use the meeting to discuss how far they want the relationship to go and whether associate membership is ultimately the right description.
Canada has already taken steps towards deeper cooperation with Europe in defence. It became the first non-European country to join the EU’s SAFE defence procurement programme, while the proposed wider partnership could open further cooperation on military production, technology and critical minerals.
Von der Leyen has said the proposed partnership is not directed against any other country. For Canada, however, the timing is significant, as relations with Washington become more difficult, Europe is emerging as a much more important partner in Ottawa’s effort to diversify its international relationships.
