Canada and EU talks seem boring this week, but both sides have one looming problem – Donald Trump, POLITICO reports.
The US plays a key role in the economies of both sides. As the EU grapples with the trade legacy of Trump’s previous term, the unpredictability of Trump’s new presidency is causing jitters in Brussels.
Following the recent visit of EU leaders to the White House, the bloc’s relations with the United States will be discussed with Canadian Prime Minister Justin Trudeau, officials briefed on the summit said. Four more years of antagonism under the Trump White House will be a major blow to the EU and Canada; both sides also fear that under a Trump presidency, US military and financial support for Ukraine will be completely cut off.
For now, the talks should give participants pause after weeks of navigating the war in Ukraine and the war between Israel and Hamas, according to POLITICO.
Earlier this week, Commission President Ursula von der Leyen travelled to the Middle East after initial criticism of her response to the war between Israel and Hamas – geopolitical challenges on which the EU and Canada are cooperating at an “unrivalled historic level”, and European Council President Charles Michel met with Ukrainian President Volodymyr Zelensky in Kyiv. Both European leaders are due to travel to Beijing in early December for an EU-China summit, from which they risk returning without the desired results.
Meanwhile, Canadian Prime Minister Justin Trudeau’s approval rating has been falling since the summer. Court rulings and affordability policies have damaged his reputation on climate issues, introducing uncertainty into the timing of major projects. The aftermath of the war between Israel and Hamas has also damaged Liberal Party morale.
At St John’s, the leaders will be able to reaffirm their bilateral relationship and emphasise a “shared commitment to democratic values, multilateralism and a rules-based international order” that has fallen apart elsewhere. Both sides intend to redouble their bilateral commitments in new policy areas with an “impressive list of deliverables” including a green alliance, increased co-operation on raw materials and a digital partnership.
According to one EU diplomat, while there are no mutual irritants, “a few irritants could be a welcome challenge to the dynamisation of relations”, POLITICO reports.
But while the EU still has good relations with Canada, it has had problems with the current administration of US President Joe Biden, most notably Washington’s Inflation Reduction Act, which will also be discussed on the sidelines of the St. John’s summit. The EU feared the $369bn IRA would weaken the bloc’s economy as firms benefiting from huge subsidies moved across the Atlantic. Washington and Brussels and are still negotiating a critical minerals agreement that would allow European companies to produce batteries for electric cars to qualify for consumer tax breaks under the IRA.
EU Ambassador to Canada Melita Gabrič said Ottawa’s relationship with the bloc was “closer than ever.” However, she did not answer whether she sees Trump’s possible return as a catalyst for even closer ties next year. She noted, referring to both the US and Canada:
We will see what happens, but certainly we put a premium on our transatlantic relations.
