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Ottawa Inspired by NAFTA as It Pursues a New Canada-EU Alliance, Joly Says
Ottawa wants a deeper partnership with the European Union as Canada seeks to shift trade flows toward Europe and reduce dependence on the United States.
Industry Minister Mélanie Joly says Canada is drawing inspiration from the North American Free Trade Agreement to develop a new alliance with the European Union during the Canada-EU summit concluding Friday in Montreal.
Canada seeks to reduce dependence on the United States amid a trade war under President Donald Trump, as trade flows to the U.S. dropped from 75 per cent to 67 per cent, prompting a shift toward Europe.
Joly cited NAFTA's rules of origin provisions as a model, noting that while products certified in the United States are automatically certified in Canada, the Comprehensive Economic and Trade Agreement lacks such standards.
Closer ties could reduce Canada's reliance on the United States for undersea cables currently controlled by "Big Tech," Joly said, as Canada aims for European and Canadian ownership to secure data flow.
European Commission President Ursula von der Leyen has suggested Canada could become the first "associate member" of the EU, with Friday's summit conclusion expected to provide details on this potential relationship.
Ottawa said it was inspired by NAFTA, in the sense of a functioning North American industrial integration for decades, while developing a new alliance with the European Union.