Canada and EU Strengthen Economic Bonds Amid U.S. Tariff Threats

Canada aims to enhance trade relations with the EU to counter potential U.S. tariffs, as stated by trade minister Mary Ng. The EU-Canada trade agreement has substantially increased trade since 2017. Canada is focusing on critical minerals and SMEs, while aiming to diversify exports beyond the U.S.

Amid rising tensions from potential U.S. tariffs, Canada seeks to bolster its economic connections with the EU, according to Trade Minister Mary Ng's comments on Saturday. Ng emphasized the importance of adhering to global trading rules during her conversation with Reuters.

Having benefitted from a free trade agreement since 2017, the EU and Canada have witnessed a 65% surge in bilateral trade. The agreement further expanded with the establishment of a raw materials partnership in 2021. Ng met EU trade chief Maros Sefcovic over a lunch following her meeting with WTO Director-General Ngozi Okonjo-Iweala in Geneva.

Mary Ng highlighted the need for more robust efforts to assist Canadian businesses in penetrating EU markets, with special focus on critical minerals and small and medium enterprises. She also mentioned Canada's goal to diversify exports beyond the U.S., revealing successful trade deals with Indonesia and Ecuador, and pushing for growth in the Indo-Pacific region.