Trump warns EU of tariffs if Canada union turns hostile to US
Donald Trump, President of the US (photo: Getty Images)
US President Donald Trump reacts to EU proposal to deepen ties with Canada and grant it associate member status. The American leader stated that under certain circumstances, Washington could respond with new trade restrictions, according to Politico.
US President Donald Trump stated that he could impose very serious tariffs against the EU if he considers the decision on Canada's associate membership in the EU a hostile step toward Washington.
The US president called the idea of Canada's associate membership in the EU "laughable" and stated that Ottawa is a terrible trading partner.
According to Trump, if the initiative has good intentions, Washington will not react in such a manner. However, if the US views it as a hostile step, Trump threatened very serious tariffs or a halt to trade with Europe in several areas.
Canada is forced to seek new partnerships
The EU initiative emerged against the backdrop of deteriorating trade relations between Canada and the US. Ottawa seeks to reduce dependence on the American market and expand economic and security ties with other partners.
Canada and the EU already have the CETA free trade agreement. The new proposal envisages the possibility of significantly broader cooperation, including in the defense industry and economic security sector.
At the same time, the proposed status has not yet been agreed upon by EU member states and requires further negotiations.
Context of the statement
The EU wants to offer Canada the status of the bloc's first-ever associate member to strengthen the alliance amid global instability. Previously, such status was also offered to Ukraine.
Earlier, The Wall Street Journal revealed details of Ottawa's pivot away from Washington. According to journalists, the Canadian government has "set its sights" on EU membership and is considering options for creating a special status for the country within the bloc.