What could EU associate member status mean for Canada?

Carney told reporters on Thursday that Canada was "not in a position, nor seeking, to become a full member of the European Union".

He also said it was not an attempt to create a "third bloc", adding: "We do not seek power to dominate others."

He told the European Parliament on Thursday that closer alignment between Ottawa and the EU was needed to confront the "current geopolitical rupture" – nodding to strained relations with the US following President Donald Trump's tariff policy and the collapse of trade talks between the two countries.

At the European Parliament on Thursday, Carney set out what he views as key areas where his country and the EU can cooperate, including:

• AI

• critical minerals

• defence industrial capacity

• energy security

• the space sector

Carney also said he wanted to move towards membership of the EU's Erasmus Plus scheme – the funding programme which allows students to work and study abroad. All 27 EU states are members and there are seven non-EU members. The UK will rejoin the scheme in 2027.

He said Canada could contribute liquefied natural gas (LNG) and hydrogen "at large scale to support Europe's energy security" and that Canada in turn could benefit from what he described as Europe's leadership on clean energy technologies.

So we know what it is not – full membership of the EU.

It is not clear is what exactly the relationship would look like. EU associate membership does not currently exist and the process to create it could take years.

If associate status were enshrined in EU treaties, it would require unanimity and ratification among all 27 member states.

Despite von der Leyen's overtures towards Canada, some EU countries would prefer to build on existing defence and trade agreements rather than create a new form of membership.

The EU is Canada's second-largest trading partner and the far-reaching Comprehensive Economic and Trade Agreement was agreed more than a decade ago, though several of the bloc's 27 members are yet to ratify that agreement.

The current trade deal does not remove border checks. Would associate membership change that?

It also remains to be seen what associate membership would mean for Canada's relationship with the European single market.

Were Canada to one day join the single market, it would have to match EU regulations and standards while having no say on policy – in a similar way to European Economic Area countries Norway, Iceland and Liechtenstein, or Switzerland, which has a separate deal.

Canada's rules have historically been geared towards its biggest trade partner, the US.

And then there's the matter of other countries seeking to join the bloc.

Albania, Bosnia and Herzegovina, Montenegro, North Macedonia and Serbia are already on the long road towards full EU membership, while in Eastern Europe, Georgia and Moldova are also pursuing membership.

There is no suggestion that a new relationship with Canada would hinder these countries' progress towards full accession, but any impression that Ottawa was being given special treatment could create tension.

There is also the question of Trump's response. He has described the prospect of Canada's associate membership as "laughable" and has threatened further tariffs on the EU if the plan goes ahead.