Key facts
- European Commission President Ursula von der Leyen proposed Canada become the first "associate member" of the EU.
- The proposal is part of a new "Alliance for the Future" initiative.
- The alliance aims to create a common prosperity and economic security space.
- The EU and Canada plan to collaborate on intelligent manufacturing, technology, and defense industries.
- Joint projects will focus on the Arctic, energy, critical minerals, batteries, AI, quantum computing, and cybersecurity.
- The EU and Canada aim to reach a digital trade deal by year-end.
European Commission President Ursula von der Leyen has proposed that Canada become the first "associate member" of the European Union, aiming to deepen ties between the two blocs. Speaking during her annual State of the Union address, von der Leyen announced a new "Alliance for the Future" that would expand upon the existing EU-Canada Comprehensive Economic and Trade Agreement (CETA).
The initiative seeks to create a shared space for prosperity and economic security. While CETA has been in place for nine years, it still requires ratification by national and regional parliaments in 10 EU member states. Von der Leyen's proposal comes as both the EU and Canada navigate complex trade relationships, including a trade war with the United States.