Mark Carney
Canadian Prime Minister Mark Carney challenged Trump over his criticism of the country's invitation to be an associate member. Getty Images

Canadian Prime Minister Mark Carney challenged President Donald Trump over his criticism of the country's invitation to be an associate member.

Speaking to EU lawmakers in Strasbourg, Carney said "Canada and Europe are each strong" but are "stronger together."

He didn't mention Trump's stance on the matter but said "tariffs are being used to exert pressure." "Financial mechanisms have been used for coercion. Supply chains constitute weak points to be exploited."

Trump, on his end, described the possibility as "laughable" and called the move a "hostile act." He also threatened to impose additional tariffs on the bloc, claiming the U.S. could "stop trading with Europe on many things" if it moves ahead.

"If it's a good intention, that's fine. If it's a bad intention, we'll put very heavy tariffs on Europe," Trump said.

The EU's proposal, unveiled Wednesday during European Commission President Ursula von der Leyen's annual State of the European Union address, represents a significant shift in the EU's approach to external partnerships. While Canada would not become a full EU member, the associate status would create a deeper economic and strategic relationship between Ottawa and the 27-nation bloc.

The announcement comes as Canada faces a growing trade dispute with the United States. Ottawa is responding to President Donald Trump's tariffs with matching measures, intensifying economic tensions between the two historically close allies.

Carney has previously argued that Canada should build a "unique security and economic alliance" with Europe while maintaining its independence from both Washington and Brussels. He has promoted cooperation among so-called "middle powers," democratic countries that seek greater influence in an increasingly competitive global environment.

The proposed EU-Canada relationship would build on existing economic ties. The two sides already have the Comprehensive Economic and Trade Agreement, known as CETA, which entered into force provisionally in 2017 and eliminated 99% of tariff lines between Canada and the European Union.

Von der Leyen said the goal now is to move beyond traditional trade cooperation.
"We will move from CETA to an alliance for the future, to create a common prosperity and economic security space," she said.

Earlier this year, Finnish President Alexander Stubb suggested that the EU should consider a broader framework that could eventually include countries such as Canada, the United Kingdom, Turkey, Norway and Iceland. "Wouldn't it be lovely if Canada was the 28th state of the European Union rather than the 51st state of the United States?" Stubb said in June.

Associate membership would create a new category between full EU membership and traditional partnerships. The European Union has historically been cautious about introducing flexible membership arrangements, particularly as debates continue over possible future expansion.