Canada becomes the EU’s key partner in the G7 and G20 in response to Trump

Brussels – Trans‑Atlantic relations, and beyond, are in focus as the European Union and Canada pursue a broad push to deepen bilateral ties. Confronted with challenges that are both new and increasingly unpredictable, the two sides say they are ready to strengthen cooperation across the board. That is the view of Eurogroup President Kyriakos Pierrakakis, at the end of talks that saw all 27 EU economic ministers, and not just the 21 with the single currency, discuss global imbalances with Canadian Finance Minister François-Philippe Champagne in the context of current geo-economic risks and how to overcome them together.

 “I think everyone agreed with the Commission’s point that we need to look at global imbalances in a broad manner: they are not only about specific trade flows of goods between individual countries,” said the President of the Eurogroup. On the contrary, these imbalances “are about the whole financial and economic inter-relationships.” As the eurozone, he points out, “we are not at the epicentre of global imbalances, although we are a relevant part of the overall picture and a fragile global economy is a source of risks for us.”

 The meeting with the Canadian Finance Minister fits into this context. As Pierrakakis himself explains, “one aspect of this discussion is about fostering dialogue on shared challenges for economic prosperity and stability, first and foremost in the G7 and also more broadly in the G20,” meaning in all the main international forums where the United States and Canada are present. No longer being able to rely on the former, the focus is entirely on the latter. “Canada is a close friend,” recalls the President of the Eurogroup. This public statement is both appropriate and deliberate. “This engagement was an occasion to further our already excellent economic relationship,” he adds, confirming the new era of EU-Canada relations with an eye to countering Trump.