European Commission President Ursula von der Leyen arrives before world leaders meet in Kananaskis for the G7 leaders' summit, at Calgary International Airport on Sunday.Amber Bracken/Reuters
The European Union is preparing for a closer defence relationship with Canada, holding out the possibility that Ottawa will be invited later this month to join a massive joint procurement program.
Canada and Europe are working toward a security and defence partnership ahead of a summit in Brussels next week, European Commission President Ursula von der Leyen said in Kananaskis on Sunday, shortly after arriving for the G7 summit in Alberta this week.
This is “a moment where we can strengthen Canada’s role in Europe’s rapidly evolving defence architecture,” she said. Europe has embarked upon a €150-billion Security Action for Europe, or SAFE, investment plan, and “the security and defence partnership will basically open the door for joint talks with Canada on their access to our SAFE program,” Ms. von der Leyen said.
”We will be stepping up our today already very, very close relationship with Canada.”
World leaders hope to find common voice at G7 amid shifting status quo on trade, defence
The European delegation has arrived in Alberta determined to link issues of defence and economic growth, particularly in talks with the U.S. as it struggles to reach a deal with President Donald Trump ahead of July 9, when a suspension of planned U.S. 50 per cent tariffs is set to expire.
Europe is in the midst of raising its spending on defence, but argues that tariffs will hamper its ability to do so.
António Costa, president of the European Council warned against measures that ”undermine our economic capacity to assume greater responsibility on our own defence.
“That’s why this is not the right moment to create uncertainty on economics. It’s not the right moment to create problems on trade,” he said.
Trade is not officially part of the G7 agenda as proposed by Canadian leadership. But it is top of mind for the global political leaders who landed in Alberta Sunday, each of them locked in their own struggles to escape tariffs imposed by Mr. Trump.
Europe, like Canada, has sought to appeal to the broader value in maintaining free flows of global goods.
Addressing imbalances must be done ”without sacrificing free and fair trade, which has delivered prosperity to our countries and lifted millions out of poverty over the years,” Mr. Costa said.
”We must act to overcome joint tensions, encourage investment and foster sustainable growth. It’s our duty and it’s our obligation.”
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Ms. von der Leyen warned that the consequences of trade tensions are no longer abstract, as companies now contemplating an uncertain future act to delay investments.
“We need a frank discussion among the G7 partners, restoring a sense of stability and predictability among ourselves. That is the first priority,” she said.
“All of us need to avoid protectionist measures. This is an important message that the G7 can send to the markets and to the world,” she added.
That message, however, stands in contrast to a White House that continues to see tariffs as a fundamental tool to reshaping the U.S. economy and raising federal revenues. It’s not merely Mr. Trump who wants to see change, said Kelly Ann Shaw, a trade lawyer who was the lead U.S. G7 negotiator during Mr. Trump’s first term.
Large numbers of Americans, Democrat and Republican alike, “are dissatisfied with this trading system that’s been stuck in place for the last 30 years. And I think other countries may not have the same sense of dissatisfaction,” she said.
Still, she said, “discussions between the EU and the U.S. are more positive than they frankly have been in a decade.” And, she added, ”I am relatively confident that the United States is going to find a landing zone with a number of trading partners, including Canada.”
Mr. Trump is expected to meet with Prime Minister Carney on Monday morning, but the Canadian government to date has said little about the possibility of securing a new agreement with the U.S. at the summit.
Those negotiations are complex and sensitive, “so this would not be the moment for me to opine on what will happen tomorrow or thereafter,” Foreign Affairs Minister Anita Anand said Sunday. She reiterated Canada’s position that U.S. tariffs on steel, aluminum and the auto sector are unjustified and illegal.
Mr. Trump himself struck an optimistic note as he prepared to depart Washington for Alberta Sunday.
“I think we’ll have a few new trade deals,” he said.