Canadian Prime Minister Mark Carney has begun discussions with the European Union on what he calls a "distinct alliance," seeking to reduce Canada’s economic dependence on the United States and strengthen ties with Europe. Canada and the EU have agreed to negotiate arrangements covering trade, security and critical minerals, while Carney has rejected formal EU membership and directed his special envoy to explore "the most ambitious option short of full membership." The initiative comes as Canada and the United States remain engaged in a tit-for-tat tariff dispute. The latest account describes additional US tariffs of 50% on approximately C$28 billion of Canadian products, including goods from major industries such as steel, aluminum and lumber, with Canada imposing tariffs of up to 50% on an equivalent value of US goods. Earlier reporting in the dispute put the affected US-export figure at about $20 billion and detailed further measures against selected Canadian dairy products, alcoholic beverages and motorcycles. Carney is scheduled to visit the UK and France, speak at the European Parliament in Strasbourg, attend European Commission President Ursula von der Leyen’s State of the Union address and meet UK Prime Minister Andy Burnham in Liverpool. The broader Canada-EU agenda has included defense, energy, artificial intelligence, space, sovereign computing, labor mobility, education and research, while Ottawa continues to seek investment and maintain trade negotiations with Washington.