By Julia Payne and Philip Blenkinsop
BRUSSELS (Reuters) – Canada aims to strengthen its economic connections with the EU and uphold global trade regulations amid looming U.S. tariffs, as stated by its trade minister, Mary Ng, in an interview with Reuters on Saturday. The EU and Canada have been reaping the benefits of a free trade agreement implemented in 2017, which has led to a 65% spike in bilateral trade and the establishment of a raw materials alliance in 2021. Ng engaged in a lunch meeting with EU trade head Maros Sefcovic on Saturday post her meeting with Ngozi Okonjo-Iweala, the director general of the World Trade Organization in Geneva the day before. “While trade agreements have yielded positive outcomes, we must explore additional avenues to facilitate Canadian businesses in accessing the various markets of the 27 member states…and likewise, enhance the opportunities for EU businesses in Canada,” Ng emphasized. She highlighted critical minerals and small-scale enterprises as key focal points for collaboration with the EU. The EU, in particular, is eager to form partnerships to ensure a stable supply of essential metals like cobalt, lithium, and nickel crucial for the energy transition, aiming to reduce reliance on China. Furthermore, Canada is actively seeking to diversify its exports, having set a target in 2018 to boost non-U.S. exports by 50% by 2025, a goal that Ng confirmed the country is on track to achieve or even surpass. Recent trade agreements with Indonesia in December and Ecuador just last week signify Canada’s commitment to expanding its global trade footprint, with a strong focus on the Indo-Pacific region. Ng is leading a delegation of over 200 businesses to Australia, Singapore, and Brunei in the upcoming week. “We are actively engaging with nations in Southeast Asia, such as the Association of Southeast Asian Nations. In December, I led a substantial delegation of Canadian businesses to the Philippines, Indonesia, and other markets like Vietnam, Malaysia, Japan, and Korea,” Ng elaborated. In response to President Donald Trump’s announcement of tariffs on Canada and Mexico a week prior, Ottawa had threatened retaliatory duties and legal measures against the United States before the imposition was deferred for 30 days. Ng affirmed that Canada would be willing to challenge the U.S. at the WTO if tariffs were enforced. “We will explore all available options to us, as Canada stands firm in its belief in a rules-based trade system,” Ng reiterated. (This story has been refiled to add a missing word in paragraph 10) (Reporting by Julia Payne; Editing by Alex Richardson)
