Prime Minister Mark Carney’s call with German Chancellor Friedrich Merz on Monday came as he confirmed Canada will launch what he called intense discussions with the European Union this fall, the clearest sign yet of a diversification push that has accelerated since trade talks with Washington collapsed.
Read: Carney to Launch Intense Canada-EU Talks on Economic, Security Ties
Carney and Merz discussed negotiations toward a Canada-Germany Strategic Partnership Agreement, launched last month, along with more than six critical minerals partnerships the two countries have signed over the past year. Canada and Germany also launched a Sovereign Technology Alliance in February aimed at reducing both countries’ dependence on outside suppliers for AI compute infrastructure, followed by declarations covering battery manufacturing, semiconductors and auto supply chains.
Canada and Germany have deepened our partnership on AI, quantum, and battery technologies. We’ve secured more than six new critical minerals partnerships — creating more opportunities for Canadian workers and businesses.
— Mark Carney (@MarkJCarney) August 25, 2026
Today, I spoke with Chancellor Merz about how we can build…
Carney first began building toward the EU relationship in June 2025, unveiling a new strategic partnership in Brussels alongside European Council President António Costa and European Commission President Ursula von der Leyen. That meeting also secured Canada a role in the EU’s Security Action for Europe program, part of the bloc’s ReArm Europe push, and led to a separate Security and Defence Partnership.
Germany’s relationship with Canada has run ahead of that timeline, giving Ottawa a working model for what deeper EU ties could look like.
Carney has said Washington pushed, in the final hours of negotiations, for language that would have restricted Canada’s ability to strike trade deals with other countries, something he called a power play and a matter of sovereignty.
Read: What Washington Really Demanded Before Canada Walked Away
Monday’s call also came hours after Carney and Merz both took part in a Coalition of the Willing summit held in Kyiv to mark Ukraine’s 35th Independence Day, where leaders committed to new sanctions on Russia’s military-industrial complex and pledged to treat Ukraine’s air defense shortfall as an urgent priority.