- President Trump threatened to impose tariffs on the EU or halt trade with the bloc if it proceeds with making Canada its first associate member.
- European Commission President Ursula von der Leyen announced the EU is opening the door for Canada to become an associate member, a status not currently defined in EU treaties.
- The proposal comes as Canada seeks to diversify away from the U.S. amid a trade war, with Trump having imposed a 50% tariff on Canadian goods and planning to ban dairy, alcohol, and auto imports.
Quotes
“I think it's laughable ... Canada has been a terrible trade partner”
“if I think it's at all a hostile act, I will put very serious tariffs or stop trading with Europe on many things.”
“Washington and Ottawa may find an off-ramp from the current trade war, but Canada will continue to reduce its vulnerability to U.S. economic pressure.”