President Donald Trump is threatening heavy tariffs on Europe if the European Union moves forward with a proposal to make Canada its first-ever associate member, calling the potential partnership a hostile act.
EU Commission President Ursula von der Leyen made the associate membership proposal Wednesday as Canada looks to reduce its dependence on the United States. The move would expand Canadian relations with Europe in areas including trade, climate, and AI.
Trump said the idea was "laughable" and warned of serious consequences.
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"If they do that, I think it's an all hostile act, I will put very serious tariffs or stop trading with Europe on many things. So if they do that, if Europe does that, with a bad intention, if it's a good intention, that's fine. If it's bad intention, we'll put very heavy tariffs on them," Trump said.
Canadian Prime Minister Mark Carney backed the EU proposal Thursday morning, framing it as a matter of sovereignty and partnership.
"We are looking for partnerships that are complementary, that reinforce our sovereignty. And that's what is on offer here. And Canadians are united that nobody is going to tell us what language we speak. No one is going to dictate our culture, or with whom we can strike agreements internationally," Carney said.
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Carney also addressed the broader economic tensions, saying in French that financial mechanisms have been used for coercion, supply chains constitute weak points to be exploited, economic integration is now being weaponized, and tariffs are being used to exert pressure.
The proposal comes just days after new tariffs on Canadian goods took effect. Additional tariffs targeting the auto industry are set to take effect in the new year.
