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Canada-EU summit ends in Montreal with “alliance for the future” and talks toward associate membership

Canada-EU summit ends in Montreal with “alliance for the future” and talks toward associate membership

Prime Minister Mark Carney says Canada and the European Union launched an “alliance for the future” at a summit closing in Montreal, with talks aimed at associate-member status over the next eight months.

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Canada and the European Union closed a two-day summit in Montreal on Friday by officially launching an “alliance for the future,” with leaders pledging to spend the next eight months in talks toward making Canada an associate member.

Carney made the announcement at a news conference alongside European Commission President Ursula von der Leyen and European Council President Antonio Costa, calling the agreement a step toward “associate membership for Canada” while launching the new alliance for the future.

A seven-page joint statement released by both jurisdictions also set out areas of cooperation, including more industrial collaboration and supply chain integration, and it cites joint projects already under way.

Among the announcements highlighted in the lead-up and included in the Friday agreements were a new digital trade agreement and a deal that would allow the European Investment Bank to fund critical raw materials projects in Canada.

Carney said the agreements signed Friday are intended to make it easier for Canadians to do business with and within the EU, arguing that changes such as seamless payments would help reduce red tape for online sales and cross-border trade.

He also announced Canada would join an EU loan program for Ukraine, with Ottawa pledging an initial contribution of 500 million euros, described as roughly $775 million.

The joint statement also cites arrangements intended to provide Canadian artificial-intelligence researchers access to European supercomputers and calls for further discussions on Arctic and border security.

In the trade and climate policy areas, the statement calls for reforming the World Trade Organization rather than replacing it, and it also points to actions to fight climate change and biodiversity loss.

Carney said leaders discussed the prospect of Canadian goods being affected by the EU’s anti-deforestation law and its Carbon Border Adjustment Measures, which tariff imports to reflect European pollution pricing.

A Canadian government official speaking on background said more work remains on ensuring European institutions recognize what Canada is doing federally and provincially to price emissions, adding that talks are “very advanced.”

The joint statement includes a commitment to “explore a next-generation youth mobility partnership” involving work and academic exchanges, with von der Leyen saying the goal is to have Canada fully join Erasmus+, the EU’s student exchange program.

A Canadian government official said the goal is for Canada to join Erasmus+ midway through 2027 and that Canada also wants to become a full member of the Horizon Europe program by 2028.

The official said Canada is already a second-tier member of Horizon, which funds research and innovation projects, and said Horizon Europe’s 2021 to 2027 funding pool is about $41 billion.

Costa said the leaders discussed expanding labour mobility between Canada and Europe, while Culture Minister Marc Miller said in comments Thursday that any discussions on labour mobility in industries such as film production would need to involve provinces because they have their own tax credits.

Miller also said discussions with European counterparts involve setting new regulations for promoting Canadian and European content on streaming services, along with safeguards for children online.

Looking ahead, the leaders said Carney will join a meeting of von der Leyen’s cabinet next spring and that Costa will host Carney in June at a meeting of the European Council, with Costa saying the goal is to announce more details at the June meeting.

The summit concluded amid criticism from the opposition, including Conservative Leader Pierre Poilievre, who said nine of 28 EU member countries have yet to ratify CETA, and he also called for an end to charging a carbon tariff on certain Canadian imports.

The Bloc Québécois said Carney must fulfil a promise to hold a vote on the new arrangements with the EU, arguing the alliance and status should be negotiated with Quebec given the provincial jurisdiction involved in areas touched by the announcements.

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