The Donald Trump administration threatened that if Canada is accepted as an associate member of the European Union, it will impose additional tariffs and may cut trade with Europe.
Trump's Threats at the Press Conference
Trump said at a press conference after arriving in North Carolina on Wednesday: "This threat depends on the intentions of European leaders. If the intentions are good, there is no problem; but if the intentions are bad, we will impose heavy tariffs on Europe." He also indicated that the United States might halt its trade with Europe in certain areas.
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Trump further stated at a campaign rally in the state: "We support European countries. All we have to say is that we will no longer trade with you. We don't need anything you have. We have cars, wood, food, and everything." Trump's threats and his repeated comments about turning Canada into the 51st state of the United States have soured relations between the two northern neighbors.
Canada and the European Union Developments
Canada is looking to reduce its dependence on the United States, which receives about 70 percent of the country's exports. Mark Carney, the Prime Minister of Canada, has called for the creation of a "unique coalition" with the European Union. In her annual speech on the state of the European Union, Ursula von der Leyen, President of the European Commission, announced that Canada and the European Union will expand their cooperation based on their existing free trade agreement known as CETA.
Von der Leyen described this closer relationship based on shared democratic values and told Carney: "Ultimately, Europe and Canada believe in democracy." Carney is scheduled to speak at the European Parliament on Thursday and was welcomed at this meeting.
A Canadian official familiar with last week's negotiations said that Ottawa is reviewing its relationship with the European Union, which may not lead to full membership. This official stated that Canada is seeking an agreement that allows its citizens to live and work in Europe without a visa.
Jonathan Wilkinson, Canada's designated ambassador to the European Union, said that Ottawa had discussed associate membership with European officials before von der Leyen's speech and "knew that this issue was under consideration." He added: "Canada is not seeking full membership in the European Union as this would require ceding some sovereignty. Instead, Ottawa wants to approach this bloc in a way that strengthens Canadian sovereignty."
Carney's office welcomed von der Leyen's proposal and stated that Canada is strengthening its relations with the European Union "to enhance its sovereignty" and supports moving beyond CETA.
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Source: independent.co.uk
