Canada and EU Launch New Alliance Focused on Raw Materials and Technology
At a summit in Montreal, Canada and the European Union announced the creation of an “Alliance for the Future”, deepening cooperation on trade, energy, technology and defence. The sides also revisited the idea of Canada becoming an associate member of the EU.
On Friday, 30 October, at a summit in Montreal, Canadian Prime Minister Mark Carney and European Commission President Ursula von der Leyen announced a new partnership called the “Alliance for the Future”. During the two-day meeting, Canada and the European Union (EU) agreed to deepen cooperation in trade, energy, technology and defence, in response to political and economic upheaval around the world. Other countries that share similar values will be invited to join.
Stated goals
Carney cited the climate crisis, the weakening of democratic norms and the use of trade as political leverage, and described the partnership as a “protective umbrella”. Von der Leyen stressed that closer cooperation would bring greater stability and new opportunities for both sides.
Raw materials and energy
The European Investment Bank and Canada agreed on a framework that would let the bank finance projects in the extraction and processing of Canada's critical raw materials in the future. These materials are needed to make batteries, circuit boards and semiconductors. The deal does not yet provide funding for specific projects, but it could help Europe reduce its dependence on China. China was not mentioned directly in the closing statement, but Canadian Defence Minister David McGuinty said China strikes deals that trade infrastructure projects for access to resources, especially in Africa.
Technology and defence
Canada will join the European supercomputing network so its companies can use European computing power to train artificial intelligence models. Carney also mentioned the planned merger of Canadian company Cohere with Germany's Aleph Alpha, with headquarters in Berlin and Toronto. The Canadian government intends to invest up to 1.6 billion Canadian dollars in Cohere. Canada is also concerned about its heavy reliance on US technology, particularly in defence.
Ukraine and associate status
Canada will take part in financing a 90 billion euro loan for Ukraine. The summit again discussed the possibility of Canada becoming an associate member of the EU; the content and terms of such a status remain unclear. Carney was initially cautious but backed the idea by the end of the summit and called for concrete principles to be drawn up in the coming months. The two sides could discuss a broader offer at a 2027 summit.
