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U.S. President Donald Trump has sharply criticized the European Union’s proposal to grant Canada its first associate member status, describing the move as “laughable” and cautioning that the U.S. might impose significant tariffs on the EU. Trump’s comments come in response to European Commission President Ursula von der Leyen’s invitation to Canada, aiming to strengthen ties in technology, defense, and energy.

The proposed EU-Canada arrangement has been characterized by Trump as a potential “hostile act.” He indicated that the United States would consider retaliatory measures, including heavy tariffs on European goods or reducing trade with the EU, contingent upon the perceived intent behind the EU’s offer to Canada.

Von der Leyen’s proposal reflects an effort to deepen cooperation with Canada amidst global challenges to international norms. Although the EU has no formal associate membership category, the initiative seeks to expand beyond existing trade agreements and bilateral arrangements between Canada and the EU. Areas of collaboration under discussion include artificial intelligence, critical minerals, and Arctic cooperation.

Canada, which has been strengthening its international alliances, is also seeking to broaden its defense partnerships beyond the United States. Ottawa has applied to join the British-led Joint Expeditionary Force, which includes 10 NATO member states and serves as a rapid-response military coalition.

As the details of the EU’s associate membership offer to Canada remain under negotiation, Trump’s warning highlights the potential for heightened trade tensions between the U.S. and the EU. The relationship between Canada and the EU has seen growth, particularly since Trump’s administration re-imposed tariffs on traditional U.S. allies, including both Canada and the EU.