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Transcript

00:00Canada is like a plus one.

00:03Never the main character, never the life of the party,

00:06and never free to make its own choices.

00:10What the US did, so did Canada.

00:13But Donald Trump is shaking up that equation.

00:16First he talked about annexing Canada,

00:18and then he started a trade war with them.

00:22So it looks like Canada is exploring alternatives.

00:25Their Prime Minister has unveiled a new plan.

00:27And he wants to join the European Union's mega-defense project.

00:31It was announced in March last year.

00:34It's called Rearm Europe.

00:36Now the plan is to spend $900 billion on defense,

00:39not on buying foreign weapons,

00:41but on building up Europe's defense industry.

00:44This plan has two broad goals.

00:46A, to deter possible Russian aggression.

00:52And B, to reduce dependence on US arms.

00:55And of course, Canada shares these goals.

00:58Around 75% of their defense spending goes to the US for Canada.

01:0475% of the defense spending goes to the US into buying American weapons,

01:08which is why Ottawa is looking to diversify.

01:12But frankly, this goes beyond just military ties.

01:15This could be a broad realignment.

01:19Prime Minister Mark Carney spoke about it after his election win.

01:23He said Canada's old relationship with the US was over.

01:26Our old relationship with the United States,

01:30a relationship based on steadily increasing integration, is over.

01:36The system of open global trade anchored by the United States,

01:42a system that Canada has relied on since the Second World War,

01:46a system that, while not perfect,

01:49has helped deliver prosperity for a country for decades, is over.

01:54There are two factors here.

01:59One is obviously Donald Trump's rhetoric.

02:02He basically pushed Canada into Europe's embrace.

02:05Secondly, Carney has a European connect, especially with the UK.

02:08As a student, he studied at Oxford.

02:12As a banker, he worked in London.

02:14And in 2013, he was appointed to lead the Bank of England.

02:18In fact, Carney was the first non-Britain to head their central bank.

02:22And this was before Brexit.

02:25So chances are, he interacted closely with Brussels.

02:28Once he became Prime Minister, this affinity became clear.

02:31He did not visit the US for his first foreign trip.

02:35He traveled to France and Britain.

02:37And in Paris, he made a big statement.

02:39He called Canada the most European of non-European nations.

02:43I want to ensure that France and the whole of Europe

02:46works enthusiastically with Canada,

02:50the most European of non-European countries.

02:56The policies match two.

02:58Carney supports Europe and Ukraine.

03:00He also shares their policy on Gaza.

03:01This month, he released a joint statement with London and Paris.

03:05All three condemned Israel's plan to invade the Strip.

03:07So there's policy agreement, cultural affinity

03:11and political will on all sides.

03:15The question is, how far can this partnership go?

03:18And how will Trump react?

03:20Well, some people have taken it absurdly far.

03:24Look at this opinion poll from March.

03:26It found that 46% Canadians wanted to join the EU.

03:30Now, to put that in context,

03:31only 45% people in Britain want to rejoin the EU.

03:35So it looks like the EU is more popular in Canada than in Britain.

03:41What's even more absurd,

03:43one member of the European Parliament is pushing for it.

03:46He took the proposal to the EU Commission.

03:49He demanded that Canada be considered for membership.

03:53And the response?

03:55A straightforward no.

03:57The EU treaty only allows European countries to join

04:00and Canada is not European.

04:02It's a North American country.

04:03Nonetheless, the MP is not giving up.

04:06He says, the definition of Europe is flexible.

04:09For example, Cyprus is geographically located in West Asia.

04:13Yet, it is part of the EU.

04:15I don't think that argument will find many takers in Brussels.

04:18But either way, the story is not about the membership.

04:21The story is the proximity here.

04:23Trump's rhetoric has alienated a long-time ally,

04:27a neighbour it could virtually take for granted.

04:30Which brings us to our second question.

04:34How will Donald Trump react to all of this?

04:37He has proposed a defence project of his own,

04:39an air defence system called the Golden Dole.

04:43Trump is hoping that Canada will join it.

04:45But again, the problem is his approach.

04:49He is asking Canada to pay $61 billion for this project,

04:52unless Canada joins the US, in which case it is free.

04:58Such moves will push Canada away from the US.

05:02But a clean break-up is unlikely.

05:05Canada is too dependent on America for security and trade.

05:10Thus, geography is on Trump's side.

05:12The Canadians fear Russian aggression in the Arctic,

05:14and the Americans can help Canada with that.

05:17But the Europeans, even if they want to,

05:19they lack the capability right now.

05:21So as things stand, this is a break, not a break-up.

05:26But if Trump keeps this up, you never know.

Canada_Set_to_Join_Europe_s_Military_Plan_Amid_Trump_Rift___Vantage_with_Palki_Sharma___N18G | Breaking news | fox news |

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