Prime Minister Mark Carney on Thursday in Montreal confirmed that talks on stronger relations between Canada and the European Union have reached an advanced stage.
"We are in the process of forging a new alliance; an alliance for the future, with Canada as an associate member," Carney stated at the Canada–EU Business Forum Leaders' Roundtable.
Carney's announcement is significant as it was made on the eve of the 10th anniversary of the Canada-EU Comprehensive Economic and Trade Agreement (CETA), signed October 30, 2016.
CETA removes duties on 99% of tariff lines, opens access to public procurement and services markets, with investment protection and investor-state dispute settlement (ISDS) mechanisms.
Carney said the renewed collaboration would create huge opportunities, emphasising that Canada and the EU share a common mission, "one anchored in values but built on complementary strengths."
The head of government identified several strategic sectors for closer cooperation, including artificial intelligence, finance, food security, critical minerals, and advanced manufacturing.
He lauded European Commission President Ursula von der Leyen, European Council President António Costa, and EU Commissioners for growing ties with Canada "during this time of rupture in the global system."
In his remarks, Costa noted that the priority was to make it easier for businesses by harmonising standards, testing requirements, and increasing the mutual recognition of licences and permits.
The top diplomat also called for strengthened labour mobility and partnerships on defence, space, tech, critical raw materials, as well as investments to secure the supply chain.
Costa, however, pointed the EU and member states to a "challenge" that must be resolved by the end of 2027: "To complete our single market ... what we stopped in 1992."
The ex-Prime Minister of Portugal said a single market on energy, telecommunications, and capital markets would help European companies and those intending to work and do business in Europe.
Carney announces new Canada-EU alliance on CETA's 10th anniversary