The EU and its other friends

By Winona Kamphausen

Can Canada become the 28th Member State? No. 

But as Canada and the EU are growing closer in response to the hostility of the new Trump Administration, this Transatlantic friendship might be rekindled. 

In early March, United States President Trump raised tariffs on Canadian trade, prompting Canadian politicians to pull American alcohol brands from shelves. Television broadcasts showed empty aisles as employees packed away glass bottles.

Canada is not the only country affected by U.S. tariffs. On 26 March, Trump announced tariffs on cars manufactured in the EU, further escalating tensions.

Strengthening Canada-EU trade ties: Rising U.S. protectionism has pushed Canada and the EU closer. Trade Minister Mary Ng emphasised the need to expand beyond existing agreements, particularly in critical minerals—cobalt, lithium, and nickel—which are key to the energy transition. The EU seeks to secure these resources to reduce its reliance on China. Since implementing the Comprehensive Economic and Trade Agreement in 2017, Canada-EU trade has grown by 65%, with a raw materials partnership established in 2021.

Reducing U.S. dependence: At the Canada-EU Leaders’ Meeting on 12 February 2025, then-Prime Minister Justin Trudeau, European Commission President Ursula von der Leyen, and European Council President António Costa discussed deepening economic and security ties. Trudeau stressed that NATO and CETA thrive on trust, reaffirming Canada’s commitment to Europe.

Canada had already set a goal in 2018 to reduce its dependence on the U.S., aiming to increase non-U.S. exports by 50% by 2025. This diversification appears vital, especially as Trump suggested Canada could benefit from U.S. statehood. Mark Carney, on his first trip as Prime Minister, reinforced Canada’s European ties. French President Emmanuel Macron even called Canada ‘the most European of non-European countries.

Expanding cooperation: While some outlets, such as The Economist, have suggested that Canada should join the EU—an unlikely prospect—it seems clear that economic and security ties between the EU and Canada will strengthen during the current U.S. presidency.

As U.S. tariffs escalate, Canada and the EU must strengthen cooperation in defence, energy security and infrastructure. Estonian Prime Minister Kaja Kallas described the partnership as ‘strong, dynamic, and built to last.’

With Europe rearming, Canada’s role as a key energy and resource supplier could further solidify this alliance. Strengthened ties with the EU may reshape Canada’s economic and geopolitical future, reinforcing its position as a crucial European ally.

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