US President Donald Trump has threatened to impose sweeping tariffs or even suspend trade with the European Union, reacting sharply to a proposal that could make Canada the first country to obtain a new form of associated membership with the bloc.
Speaking to reporters on Wednesday, Trump dismissed the proposal put forward by European Commission President Ursula von der Leyen, describing it as "ridiculous".
Trump warns of trade consequences
"If they do it, and if I consider it a hostile act, I will impose very heavy tariffs or end trade with Europe," Trump said.
He later added that the US response would depend on Brussels' intentions.
"If they have good intentions, great. If they have bad intentions, we will impose very heavy tariffs," he said.
Canada-EU ties at centre of dispute
The dispute follows comments earlier this week by Canadian Prime Minister Mark Carney, who said Ottawa intends to build a "unique alliance" with the European Union amid ongoing trade tensions with the United States.
According to reports, the proposal presented by von der Leyen would create a new framework for closer integration between the EU and Canada.
The status of "associated member" is not currently provided for under existing EU treaties.
Trump labels Canada a poor trading partner
During his remarks, Trump also described Canada as a "terrible" trading partner, continuing a pattern of criticism directed at Ottawa during the current trade dispute between the two countries.
Relations between Washington and Ottawa have remained strained as both sides navigate a broader economic confrontation involving tariffs and trade policy.
New flashpoint in transatlantic relations
Trump's latest comments open a new front in already tense US-EU trade relations, raising the prospect of additional tariffs if the European Union proceeds with deeper institutional ties with Canada.
No formal response from Brussels had been reported following Trump's remarks.
Source: AFP
