President Donald Trump has threatened the European Union with new tariffs if it moves ahead with a proposal to make Canada the bloc’s first “associate member”, extending a trade dispute with Ottawa into relations across the Atlantic.
Speaking to reporters on Wednesday while travelling to an event in North Carolina, Trump said Canada’s proposed status could be viewed as a “hostile act” towards the United States. He warned of “very serious tariffs” and suggested the US could cease trading with Europe “on many things”.
“If it’s a good intention, that’s fine. If it’s a bad intention, we’ll put very heavy tariffs,” Trump said. He dismissed any prospect of Canada joining the EU as “laughable” and called Canada a “terrible trade partner”.
The proposal came from European Commission President Ursula von der Leyen, who raised the prospect during her annual speech to the European Parliament in Strasbourg. She proposed opening the way for Canada to become the EU’s first “associate member”.
Such a status does not exist under current EU treaties. It would have to be created from scratch, and it remains unknown whether EU member states will support the proposal or how any new arrangement would work.
Canada’s prime minister, Mark Carney, has described the country’s objective as a “unique alliance” with Europe rather than membership of the bloc. His office welcomed the prospect of a “far stronger, more ambitious alliance in the future”.
Canada and the EU are considering closer cooperation on trade, technology, defence, energy, critical minerals and the Arctic. A Canada-EU summit is expected in Montreal next month.
The initiative comes after a sharp deterioration in relations between Washington and Ottawa. Canada was among the first countries affected by Trump’s tariff policy, and trade talks between Ottawa and Washington broke down last month.
Trump imposed further sanctions on Canada after those talks collapsed. Carney said he would respond to Trump’s sanctions in kind.
Trump’s latest comments put the EU directly into a dispute that had centred on the bilateral relationship between the US and Canada. The president did not identify which European sectors could face tariffs, and it is unknown whether his warning will change the EU’s approach to the proposed associate status.
Von der Leyen’s proposal concerns areas where Canada and the EU are seeking a closer strategic relationship, including defence, energy, critical minerals and Arctic cooperation. The status itself, however, would require agreement on a new legal framework before Canada could become an associate member.
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