U.S. President Donald Trump is warning Canada’s deepening alliance with Europe could amount to a “hostile act” — threatening the EU with “very heavy” tariffs if he decides the emerging partnership is aimed at the United States.
The warning came Wednesday after EU President Ursula von der Leyen opened the door to Canada becoming the bloc’s first “associate member.”
“If it’s a good intention, that’s fine. If it’s a bad intention, we’ll put very heavy tariffs on Europe,” Trump told reporters.
Trump also suggested Washington could stop trading with Europe in certain areas, while dismissing the prospect of Canada becoming an EU associate member as “laughable” and branding Canada a “terrible trade partner.”
His comments mark another escalation in Canada’s deteriorating economic relationship with its largest trading partner.
Just hours earlier, Trump signed a presidential memorandum directing U.S. officials to identify Canadian-origin goods in the federal civilian procurement system that can legally be removed or made unavailable for purchase.
The White House accused Canada of imposing “unreasonable” barriers on American companies through federal and provincial procurement restrictions.
Trump’s memorandum directs U.S. officials to identify Canadian products that can be excluded and notify federal agencies of domestic alternatives.
The move follows Trump’s declaration earlier this month that Canada would face “NO RECIPROCITY — NO ACCESS” after accusing Canadian governments of shutting American businesses out of procurement markets.
The latest threats come as Carney moves to deepen Canada’s economic and strategic relationship with Europe.
During her State of the Union address Wednesday, von der Leyen proposed moving beyond the existing Canada-EU Comprehensive Economic and Trade Agreement toward what she called an “Alliance for the Future.”
The proposed partnership would deepen cooperation in manufacturing, defence, energy, critical minerals, artificial intelligence, quantum technology, cybersecurity and the Arctic.
“We want to bring the relationship with Canada to the highest level possible,” von der Leyen said.
“I would like to work with you on opening the door for Canada to be the first associate member of the EU.”
But Canada has not agreed to become an EU associate member, and exactly what such a relationship would mean remains unclear. The concept has no established EU legal framework and would require further negotiations.
Prime Minister Mark Carney has instead described the emerging relationship as a “unique alliance,” while welcoming deeper cooperation with Europe.
Conservative Leader Pierre Poilievre, meanwhile, is demanding clarity from the prime minister and warning against surrendering Canadian sovereignty as negotiations with Europe deepen.
Speaking at the Conservative caucus retreat in Penticton, B.C., Poilievre said his party supports free trade and continued NATO cooperation with European allies but drew a line at importing EU rules into Canada.
“Conservatives say no EU taxes, no EU laws, and no EU open-border rules on immigration in Canada.”
Poilievre also accused Carney of “secretly negotiating” the new arrangement and argued Canada must remain independent.
“Canada must be independent and sovereign. Period.”
The emerging transatlantic alliance comes as Carney attempts to diversify Canada’s trade away from the United States.
His government has set a goal of doubling non-U.S. trade over the next decade, while Canada and the EU explore deeper cooperation in defence, technology, energy and digital trade.
Canada has not agreed to become an EU associate member, and the terms of the proposed new relationship remain undefined.
But Trump has already put Brussels on notice: if he determines the arrangement is aimed at the United States, Europe could face another round of U.S. tariffs.
Poilievre is correct, Canada has had a free trade agreement with Europe since ten years via CETA. We do NOT want Brussels to allocate Canada’s fishing waters to European countries. NOR do we want Brussels to set Canada’s immigration rules!