Canada to sign defence pact with European allies

The agreement permits Canadian companies to participate in the $1.25-trillion ReArm Europe program, reducing its reliance on the United States for defence procurement.

 

The Canadian Press / Darryl Dyck

Prime Minister Mark Carney is set to sign a strategic defence and security partnership with the EU on Monday, strengthening Canada-Europe ties.

The agreement allows Canadian companies to participate in the $1.25-trillion ReArm Europe program, reducing its reliance on the United States for defence procurement.

Carney, a self-proclaimed crisis manager, earlier called Canada “the most European of non-European countries.”

Prime Minister Carney will entertain European Council President António Costa and European Commission President Ursula von der Leyen Monday evening when the agreement is finalized, according to the Canadian Press.

Commissioner Von der Leyen confirmed at the G7 summit that the agreement with Canada, a “key partner,” will be signed Monday in Brussels.

“This is also a moment where we can strengthen Canada’s role in Europe’s rapidly evolving defence architecture,” said Von der Leyen on June 16.

Though not as comprehensive as NATO, this partnership is crucial due to growing uncertainty over U.S. tensions.

Days after becoming Prime Minister, Carney met President Emmanuel Macron in Paris and British Prime Minister Keir Starmer to strengthen Canada-Europe ties amid U.S. tensions.

Those meetings sparked serious interest in ReArm Europe. On May 27, the Liberal government pledged to join the program by July 1, as stated in the throne speech and confirmed to the CBC.

On June 9, Carney announced a massive defence budget investment to push Canada above NATO’s 2% of GDP target, a promise unfulfilled for over a decade.

Carney states Canada must diversify defence spending beyond the U.S. and is joining ReArm Europe to fulfill that aim.

“We are in close discussions with our European partners to join ReArm Europe,” he said on June 9. “That will be an element of diversification. That’s just smart. It’s better to be diversified. It’s better to have options. It’s better to have different supply chains and broader partners.”

Canada will also join SAFE, a $150 billion loan program for joint defence projects under the ReArm Europe initiative, according to an itinerary of Monday's meeting.

A senior European official briefed Canadian and European reporters Friday on two main summit outcomes: a joint statement on global issues (Ukraine, Middle East conflicts) and the signing of the "EU Canada Security and Defence Partnership Agreement."

The official called this agreement "ambitious" and "one of the most far-reaching of its kind" ever signed by the EU with a third country. It will enable new joint efforts in crisis management, military mobility, maritime security, cyber threats, and defence industrial cooperation.

Leaders at the EU-Canada summit are also expected to discuss global trade and the wars raging in Ukraine and the Middle East. 

Carney will attend the NATO summit in The Hague immediately after signing the defence and security deal with the EU.

The 32-member Western military alliance is pondering a 5% of GDP target, including 3.5% for direct military spending and an additional 1.5% for defence infrastructure.

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Alex Dhaliwal

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Alex Dhaliwal is a Political Science graduate from the University of Calgary. He has actively written on relevant Canadian issues with several prominent interviews under his belt.

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COMMENTS

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  • Bruce Atchison
    commented 2025-06-23 21:27:26 -0400
    Marx Carney loves using the Orange-Man-bad threat. He knows it’s a winning strategy among eastern Canadians. And what can European countries supply that America can’t? If Marx Carney was smart, he’d be cooperating with Trump.