EU, Canada sign landmark security and defense pact

Canadian Prime Minister Mark Carney signed a security and defense partnership agreement with the European Union (EU) on Monday, June 23.

The agreement aims to diversify Canada’s defense and security relationships away from the US, following threats by US President Donald Trump to annex America’s northern neighbor.

A key issue is allowing Canada to participate in new defense spending programs under the EU’s multi-billion euro ReArm Europe initiative.

Canada and European NATO countries are also promising to significantly increase their defense spending, a pledge that will be reaffirmed by alliance leaders at a summit starting in The Hague on Wednesday.

“While NATO remains the cornerstone of our collective defense, this partnership will allow us to strengthen our readiness faster and better, and to invest more and more wisely,” European Council President António Costa said at a press conference after the summit.

European Commission President Ursula von der Leyen argued that this partnership would strengthen Canada’s role in the rapidly evolving European defense architecture, adding that this is just the beginning.

“This will be good for our industries, for our people, and for the transatlantic security instrument,” said von der Leyen, adding that Carney was “among friends” in Brussels.

According to a joint statement released Monday evening, Ottawa will now work with Brussels on a bilateral agreement related to the EU’s €150 billion Security Action for Europe (SAFE) plan. The program, limited to EU countries and close allies, provides loans to members for arms purchases and allows other countries to join in common procurements.

Carney stated at the press conference that he was “very pleased” to be taking a step toward participating in SAFE.

“This will help us meet our new capability requirements more quickly and effectively, develop our industries, and secure our jurisdictions. What we will do must be more efficient and more cost-effective for both sides,” Carney said.

Under the Security and Defense Partnership, the EU and Canada will cooperate on military aid to Ukraine and explore ways to improve the interoperability and mobility of Canadian and European military equipment, personnel, and materials.

They will also expand cooperation on Permanent Structured Cooperation (PESCO) projects related to military mobility to enhance Canada’s movement within EU territory and explore new opportunities for Canadian participation in additional PESCO projects.

Carney called for further progress in defense cooperation areas, such as aerospace and dual-use industry projects.

The EU and Canada will also hold an annual security and defense dialogue and explore establishing an administrative arrangement between Canada and the European Defence Agency.