Montreal/Brussels. In view of growing geopolitical tensions and the difficult relationship with the USA, the European Union and Canada are moving even closer together and are forging an “alliance for the future”. At the end of a two-day summit in Montreal, Canada, both sides launched numerous new projects. For example, they are intended to reduce dependence on major powers such as China and the USA for artificial intelligence (AI) and critical raw materials. There is also the hope that this can also strengthen one's own influence in international politics.
“The connection between the European Union and Canada will be the closest, deepest and most unique there is,” said EU Council President António Costa at the summit talks with Canadian Prime Minister Mark Carney. Chancellor Friedrich Merz wrote from afar during a trip to Asia: “Today we – the European Union and Canada – are beginning a new chapter in our relations.” The unprecedented initiative will cover all aspects of the partnership: security and defence, growth and jobs, sustainable development and people-to-people contacts.
With his statement, however, Merz once again made it clear that he rejects the term “associated membership” for the intensified partnership. EU Commission President Ursula von der Leyen wants to use this expression to describe the new relations with Canada. On the sidelines of the summit, Deutsche was optimistic that there was still the possibility of Canada becoming the first “associated member of the European Union”. It is an “association without accession,” she emphasized. This also includes greater coordination of political measures and administrative structures and enabling exchanges between parliaments and the courts.
The EU and Canada want to work more closely together on energy security – for example through a feasibility study for LNG exports to Europe. The agreement on nuclear cooperation between Canada and the European Atomic Energy Community Euratom is also to be modernized.
The partners want to facilitate European investment in the extraction of Canadian raw material reserves. This particularly includes critical raw materials such as rare earths, which are important for, among other things, electric car engines, semiconductors and batteries, clean tech and the defense industry. According to EU figures, imports of such critical raw materials from Canada have already increased by 62 percent between 2024 and 2025.
Between 2016 and 2025, two-way trade in goods and services increased by 80 percent. Canada is currently closely linked to the EU, primarily through the Ceta free trade agreement. It has been applied provisionally since 2017, but is still not fully in force because some EU states have not ratified the agreement. The EU is Canada's second largest trading partner.
Both sides want to work more closely together on the regulation and security of AI. Canada and the EU also want to facilitate mutual access to their digital markets, including cloud and AI services and infrastructure. Canada is also to be integrated into the EU high-performance computing infrastructure.
More cooperation in defense, cyber defense and protection of important infrastructure is planned. Both sides reiterate their support for Ukraine. Canada is already part of an EU program for loans for joint defense procurement and is also expected to participate in the EU support loan for Ukraine, which is attacked by Russia.
What will happen next with the term “associated membership” remains unclear for the time being. It was deleted from the summit declaration. From the Federal Government's point of view, it should have been discussed with the EU member states before using this term - among other things, because it is already being used at the initiative of Chancellor Merz in connection with Ukraine's EU accession process. But supporters are betting that she can still be changed over time.
The USA is likely to follow the rapprochement with great interest. US President Donald Trump described Canada's move for associated EU membership as ridiculous. He threatened consequences if the rapprochement was deemed a “hostile act” and harmed US interests. He would then impose high tariffs or stop trade with Europe in many areas, he warned.
