Canada and EU to deepen ties on digital security, water bombers in push away from U.S

MONTREAL — Canada and the European Union are laying out concrete steps to strengthen ties around digital security, critical resources and a would-be fleet of Canadian water bombers, according to a draft joint statement ahead of a major summit at month’s end.

The document, seen by The Canadian Press, states that Ottawa and Brussels aim to let Canadian companies bid on cloud and artificial intelligence infrastructure contracts typically reserved for European companies in another push away from dependence on the United States.

"The Americans, they’re playing a power game. For them, if Canada and other countries band together in a way to reduce their dependence on the U.S., the current U.S. administration, and potentially others in the future, will try to prevent that from happening," said Patrick Leblond, an associate professor of public and international affairs at the University of Ottawa.

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Dubbed an “alliance for the future,” the renewed partnership also launches plans for Canada to join in Europe’s Galileo satellite navigation system and wraps up a deal to facilitate European investment in Canadian critical minerals, according to the leaked statement.

It further announces the joint purchase of 50 Canadian-made De Havilland water bombers it claims will be ready for use in fighting wildfires in 2030.

The draft statement, dated Sept. 22, pledges to “strengthen digital sovereignty” and align emerging regulatory frameworks “through associated country status for Canada” under the European Commission’s proposed Cloud and AI Development Act.

That means Canada would be treated as a member country when it comes to bidding on contracts for critical digital infrastructure.

"Whether it’s Google, Amazon, Microsoft, we’re very dependent on these platforms. And as we know, it could be weaponized against our economy, against our governments," said Leblond. "The message here is, let’s work together. We trust each other."

The provision comes after European Commission president Ursula von der Leyen proposed last month that Canada become the first associate member of the European Union.

Where possible, European contractors are already inclined to work with Canadian firms over American ones because of the export controls the United States tends to impose on sales to a third-country market, said Wendy Gilmour, vice-chair of the Conference of Defence Associations Institute.

However, persuading U.S.-oriented tech firms in Canada to cast their eyes toward Europe could pose a hurdle.

"There’s been a slow take-up by Canadian business because Canadian business has just been so used to working with the American market," Gilmour said. "It’s easy. It’s English speaking. It’s just a simpler prospect than to work in a European regulatory environment with 27 different countries."

The Canada-EU summit, set for Oct. 29 and 30 in Montreal, will see Prime Minister Mark Carney host von der Leyen, European Council president António Costa and other EU leaders.

With files from The Canadian Press and BNN Bloomberg