Donald Trump has threatened the European Union with serious tariffs and reduced trade after the bloc proposed making Canada its first associate member, dismissing the idea as “laughable”.
Calling the proposal a “hostile act,” the US president told reporters he could impose very serious tariffs or halt trade with Europe. “If it’s a good intention, that’s fine. If it’s a bad intention, we’ll put very heavy tariffs on Europe,” he added.
European Commission President Ursula von der Leyen invited Canada to become the EU’s first associate member on Wednesday, one day before Canadian Prime Minister Mark Carney was set to address the European Parliament.
Von der Leyen urged closer cooperation on technology, defence, and energy with Carney, telling the European Parliament that as democracies face a “fracture in the international rules-based system,” Brussels and Ottawa must draw nearer.
Canada and the EU already share a trade deal and numerous bilateral agreements, but ties have grown closer since Trump returned to the White House, raised tariffs on both allies, and repeatedly floated the notion of Canada becoming the 51st US state while criticizing the bloc.
In a move to diversify defence ties away from the United States, Carney’s office announced on Wednesday that Canada had formally applied to join the British-led Joint Expeditionary Force military coalition.
The force is a rapid-response military partnership of 10 North Atlantic NATO member states, including Denmark, the Netherlands, Norway, and Sweden.
On Wednesday, Carney and British Prime Minister Andy Burnham held a bilateral meeting at Everton football club’s grounds. Both leaders, fans of the Premier League club, then attended the team’s match against Wolves.
The two discussed deepening defence cooperation and the opportunities and challenges posed by artificial intelligence. Downing Street said both prime ministers stressed the importance of building close ties with European partners, particularly on trade and defence.
The 27-member EU has never had an associate membership category, though it maintains close ties with Norway, Iceland, and Switzerland, allowing deep economic integration while these countries follow many EU rules. It remains unclear what associate membership would entail, including for Canada’s relationship with the EU single market.
Von der Leyen said on Wednesday it was time to move beyond trade-based cooperation to a broader “alliance for the future” and “bring the relationship with Canada to the highest level possible.”
“We will work on intelligent manufacturing, create a tech alliance, integrate defence industrial bases, and make the Arctic a flagship joint project,” she said.
She cited energy, critical minerals, batteries, AI, cyber, and economic security as other areas of cooperation. “This is a partnership not against anyone else, but for our common strength,” she said.