Canada’s European pivot draws Trump threat as Mark Carney prepares for EU Parliament speech

Canadian Prime Minister Mark Carney will address the European Parliament on Thursday as tensions with US President Donald Trump escalate over Ottawa’s push to deepen ties with Europe, including a proposal for Canada to become the European Union’s first associate member.

Trump has warned that such a move could be a “hostile act”, raising the stakes for Carney’s speech in Strasbourg. The Canadian leader’s remarks will be closely watched for signs that he will revive the message of his January address to the World Economic Forum in Davos, where he warned that powerful countries can use economic dependence to pressure smaller nations.

Also Read: Trump calls Canada joining EU a 'hostile act', threatens more tariffs on Europe


European Commission President Ursula von der Leyen proposed the associate-member status for Canada on Wednesday, saying Europe wanted to take its relationship with Ottawa “to the highest level possible”. The proposal was warmly received by European lawmakers, with Carney, seated in the front row, rising to embrace von der Leyen as the chamber gave the move a standing ovation.

Trump responded by threatening tougher economic measures against the EU.

Speaking in Charlotte, North Carolina, he said that if European leaders had a “good intention”, the move would be acceptable, but warned: “If it's a bad intention, we'll put very heavy tariffs on Europe.” He also suggested Washington could cut off trade with Europe in certain areas.

Trump called the prospect of Canada joining the EU “laughable” and described Canada as a “terrible trade partner”.

Europe offers Canada another path

For generations, Canada built its economy around close integration with the United States. But Trump's tariffs, demands for economic concessions and repeated references to Canada becoming the 51st US state have pushed Ottawa to diversify its relationships and seek closer economic, security and political ties with Europe.

Von der Leyen's proposal goes beyond the existing Canada-EU free trade framework. She said the two sides should move from the Comprehensive Economic and Trade Agreement, or CETA, towards an “Alliance for the Future” that would create a “common prosperity and economic security space”.

The proposed associate-member status does not currently exist under the EU treaties and its precise rights and obligations would have to be negotiated. The two sides are expected to discuss the idea further when Canada hosts an EU-Canada summit in Montreal on October 29-30.

Canada remains heavily dependent on the US market, with about 70% of its exports going to its southern neighbour. Ottawa has responded to Trump's tariffs with retaliatory measures while rejecting demands that Carney says could threaten Canadian sovereignty.

The EU, meanwhile, has pursued a different approach to its trade dispute with Washington, reaching an arrangement under which most EU exports to the US face tariffs of up to 15%.

Also Read: EU chief Ursula von der Leyen says she wants Canada to become the bloc's 1st associate member

Carney brings his Davos warning to Europe

Carney has repeatedly urged middle powers to reduce their vulnerability to economic coercion by dominant countries.

At Davos in January, he warned that countries negotiating individually with a dominant power risk starting from a position of weakness.

“When countries negotiate alone with a dominant power, we negotiate from weakness. We accept what is offered.”

Trump criticised Carney after that speech, and Thursday's appearance before the European Parliament comes at another sensitive moment in Canada-US relations.

Jonathan Wilkinson, Canada's ambassador-designate to the EU, said Canada was not seeking full EU membership because that would require surrendering some sovereignty. Instead, Ottawa wants “to get as close as we possibly can” to Europe while strengthening its independence.

Carney and European leaders have already expanded cooperation in areas including defence, energy, critical minerals, artificial intelligence and digital trade.

Canada also became the first non-European country to join the EU's Security Action for Europe (SAFE) initiative in February, giving Canadian defence companies access to opportunities linked to the bloc's joint procurement efforts as European countries increase defence spending.

“The policies and rhetoric of the Trump administration are clearly pushing both Canada and the EU to imagine a world without strong US leadership and to act accordingly,” said Daniel Beland, a political-science professor at McGill University in Montreal.

Nelson Wiseman, professor emeritus at the University of Toronto, said Carney's approach to Trump had drawn attention in Europe.

“Carney's shrewdness in dealing with Trump has captured Europe's attention,” Wiseman said.

Washington will be watching

European governments have long viewed Canada as a country with an unusually close understanding of the United States because of their deep economic and political links.

Wiseman said Carney's willingness to resist US pressure rather than quickly accept Washington's demands had reinforced that perception.

The Canadian government's stated aim is to build greater strategic autonomy and resilience by deepening ties with trusted partners. Carney's meetings in Strasbourg this week have focused on cooperation with the EU on critical minerals, energy, defence, research, advanced technologies and financial services.

Beland said Carney may avoid directly naming Trump in his European Parliament speech while still making clear the broader argument he wants to put forward.

“He knows that, beyond Europe, the world will be watching, including the White House,” Beland said.

Carney's speech comes as Canada and the EU seek to define what their proposed deeper partnership could look like. For Ottawa, the talks offer a way to widen its economic and strategic relationships; for Europe, Canada is emerging as a closer partner at a time when the transatlantic relationship with Washington is under fresh strain.