How the rapprochement between Canada and the EU could cause tensions with the United States

After having assessed the political. Therefore, budgetary risks of the security and defense pact between Canada and the EU, signed by Prime Minister Mark Carney in Brussels in June, the authors concluded that “the realization of the full potential of the partnership is very uncertain” due to obstacles on both sides of the Atlantic.

This text is a translation of an article by CTV News.

These obstacles include trade tensions with the United States. Furthermore, the divisions between European countries and the weak links between federal and provincial governments.

Currently. However, US Defense companies are making almost 75% of the weapons and equipment used by the Canadian army, which, according to the report, “makes Canada vulnerable to policy changes and trade tensions in the United States”.

The report acknowledges that the increase in purchases in Europe could how rapprochement between canada eu result in “a more resilient. Nevertheless, innovative and autonomous Canadian economy, capable of dealing with global uncertainties”, but he warns that political leaders may have to prepare for aggressive lobbying on the part of American companies, which could cause reprisals.

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Vincent Rigby. Consequently, who is also one of the authors of the report, says that he is currently waiting for the conclusions of the examination carried out by the Ministry of National Defense (MDN) on the purchase of F-35 combat aircraft from the American defense giant Lockheed Martin.

While Canada has already paid 16 combat aircraft, the remaining order of 72 aircraft is pending, the MDN examining if the Saab Gripen combat aircraft is a viable alternative. The Swedish company had come to second during the initial tender for the next generation of country’s combat aircraft.

According to Mr. Rigby. if the rest of the contract for the F-35 is canceled, the United States could retaliate by canceling contracts with Canadian companies.

This is the kind of balance that Canada will have to find several times during the next decade to. fulfill its military obligations.

As a member of NATO. the Carney government is committed to bringing its defense expenses to 5% of GDP by 2035, which could represent an invoice of $ 150 billion per year.

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Perrin Beatty, a former conservative Defense Minister and Co -author of the report, believes that Canada must distribute its expenses in order to “ensure more than one reliable ally” and strengthen its national industrial military capacities.

The report underlines that, according to the 5% target of GDP, EU defense expenses should exceed $ 1,000 billion by 2035. However, Mr. Beatty warns that the economic benefits that Canada could draw could be limited by certain countries with a right. of veto.

“If you examine the free trade agreement that we have concluded with the EU. a certain number of European countries have still not ratified it and the European structure, which requires that each country ratifies the agreement, makes the task all the more difficult,” said Beatty.

Although US President Donald Trump is carrying out a how rapprochement between canada eu business war around the world. his administration also requires access to Europe.

In an editorial published Wednesday in USA Today. US Secretary of State Marco Rubio has written that “NATO allies should allow US companies to bid for defense contracts” and that only the United States has companies “fully able to meet Europe’s needs for defense”.

Beatty believes that this is an example of Mr. Trump’s “double strategy”. adding that the American president wants NATO allies to increase their defense budgets to stimulate the financial results of American entrepreneurs.

In the end. the authors of the report claim that Canada must strengthen its own resilience by strengthening its national military-industrial complex.

“We cannot simply replace an dependence by another. ” said the retirement vice-admiral Mark Norman in an interview with The Vassy Kapelos Show.

Pushing towards an increase in defense expenses also requires how rapprochement between canada eu the massive development of essential minerals. which, according to the report, could result in “tens of thousands of new jobs in the regions of Quebec, Ontario and British Columbia”.

But the authors found that provincial regulatory obstacles could delay the delivery of essential minerals to European supply chains. from two years.

Norman claims that if the federal government wants to do more business with Europeans. he must also rationalize the supply process, otherwise we risk returning to dependence on the United States.

“We have to repair the system so that money is circulating effectively,” he said. “We are not missing things to buy. but we could end up having to turn to the Americans for some of them because of the speed with which we must buy them.”