Canada pushes its ‘middle power’ trade plan to cut reliance on the US
Canada is moving fast to build trade and security ties beyond the United States, with a goal of doubling its non-US trade over the next decade. Foreign Minister Anita Anand set out the plan in an interview with Reuters on Saturday, 31 October, on the sidelines of a meeting of foreign ministers from the Group of 20 major economies in Atlanta.
Anand said Ottawa had already reached 20 new security and trade agreements with countries and partners around the world, giving Canada access to 1.5 billion consumers in more than 51 countries. She said the push would continue, and that Canada expected to conclude a trade deal with ASEAN, the Association of Southeast Asian Nations, before the end of the year.
The shift follows the breakdown of Canada’s efforts to reach a deal with Washington. Prime Minister Mark Carney has vowed to double Canada’s non-US trade over the next decade as President Donald Trump’s tariffs have rippled through the Canadian economy. As one example, Canada and the United Arab Emirates signed a comprehensive trade deal on 28 October that aims to cut tariffs and red tape; it is expected to enter into force in 2027 after ratification by Canada’s Parliament.
Anand called the approach “middle power diplomacy”. She pointed to work with Nordic countries on Arctic safety and security in the face of growing Russian threats, and joint work with India and Australia on protecting citizens’ privacy as artificial intelligence advances. She also said Canada was deepening ties with the European Union, under a new national security strategy released earlier in the week that puts a major focus on critical minerals, energy and food security.
Why it matters
The United States is by far Canada’s biggest trading partner, so US tariffs hit Canadian exporters hard and leave Ottawa with little room to negotiate. Building markets elsewhere is Canada’s main answer: more buyers for its goods, more partners for its security, and less exposure to decisions made in Washington.
What happens next
The next test is the ASEAN deal, which Anand said she expected to be concluded before the end of the year. Canada’s deal with the UAE still needs to be ratified by Parliament before it can take effect in 2027.
This article is for general information and education only. It is not legal or financial advice.
Sources
- https://www.devdiscourse.com/article/international/4000210-canada-advancing-its-middle-power-strategy-with-new-trade-deals-anand-says?amp (Reuters via Devdiscourse, 1 November 2026)
- https://kwsn.com/2026/10/31/canada-advancing-its-middle-power-strategy-with-new-trade-deals-anand-says/ (Reuters via KWSN, 31 October 2026)
- https://bworldonline.com/world/2026/10/28/789861/canada-uae-sign-trade-deal-as-carney-seeks-new-trading-partners/ (Reuters via BusinessWorld, 28 October 2026)
