Business
Trump threatens ‘serious tariffs’ on EU over Canada associate member proposal
President Donald Trump threatened to impose “very serious tariffs” or cut trade with the European Union if the bloc goes ahead with a plan to make Canada an “associate member.”
“If they do that, if I think it’s at all a hostile act, I will put very serious tariffs or stop trading with Europe on many things,” Trump told reporters travelling to an event in North Carolina, Reuters reported Thursday.
European Commission President Ursula von der Leyen proposed the associate membership during her State of the Union address, saying closer ties with Canada would improve cooperation on issues such as defence, energy and technology. The proposal would create a different relationship with the EU to full membership.
Trump called the proposal “laughable” and said the United States could levy “very heavy tariffs” if he found the action to be hostile. He also suggested Washington might stop trade on some goods with Europe.
The proposal comes as Canada looks to strengthen economic and strategic ties with Europe amid deteriorating trade ties with the United States. Canadian Prime Minister Mark Carney supports a “unique alliance” with the EU but has ruled out full membership.