Canada, France agree to deepen defence ties, share classified data

Mark Carney and Emmanuel Macron, who share backgrounds in finance, have developed a close working relationship and are in frequent contact as they seek to attract investment amid U.S. trade disruptions.

Canadian Prime Minister Mark Carney and French President Emmanuel Macron agreed to deepen defence and industrial cooperation and ease exchanges of classified information , as Canada seeks to strengthen ties with Europe amid volatile United States trade policy .

Speaking before talks in Paris, Carney said the countries signed an agreement to share classified information across defence, space, artificial intelligence and aerospace sectors.

“Working together, Canada, France and Europe are poised to be a powerful force for good in the century ahead,” Carney said.

Carney is set to attend the Group of Seven summit in the French Alps but arrived early to meet Macron, before heading to Ireland for a two-day visit — part of a steady cadence of trips to Europe that underscores his strategy of building alliances among mid-sized powers.

That approach, outlined in his January Davos speech, aims both to counter geopolitical heavyweights and to bolster Canada’s economy, which has been strained by U.S. tariffs on steel, aluminum, autos and lumber.

Macron said France serves as a key bridge between Canada and Europe.

“More than ever, we share the same understanding of the world,” he said. “We observe that the international order is fragmented, marked by the return of power politics, by challenges to established rules, by economic coercion, by interference and by information warfare.”

Closer European ties have become a defining thread of Carney’s policy agenda. His artificial intelligence strategy calls for a “coalition of aligned democracies” to rival dominant players, and AI is set to feature prominently in discussions with Macron. Canada’s new restrictions on youth social media use also align with priorities championed by the French president.

On defence and energy, the shift is already clear. Canada is ramping up military spending, joining the EU’s SAFE procurement program and weighing purchases of European fighter jets and submarines, while German utilities have lined up as early buyers of Canadian liquefied natural gas as new export projects advance.

“Europe is Carney’s comfort zone. That becomes quite clear if you look at his pattern of travel,” said Roland Paris, a University of Ottawa professor and former adviser to Justin Trudeau. “Europe is central to his plans to diversify Canada’s trade relations beyond the US, and to build new industrial and technology partnerships.”

But there’s a delicate balancing act taking place as Carney tries to get to the negotiating table with President Donald Trump. Moves such as reconsidering the purchase of U.S.-built F-35 jets in favour of Sweden’s Saab AB Gripen risk retaliation, setting up a delicate balancing act ahead of the G7 summit — where both European allies and Trump will be in the room.

‘Copains Comme Cochons’

Carney and Macron, who share backgrounds in finance, have developed a close working relationship and are in frequent contact as they seek to attract investment amid U.S. trade disruptions, according to people familiar with the matter. One person described them as “copains comme cochons,” a French expression for close friends.

Macron was particularly grateful for Carney’s decision last year to join France and the United Kingdom in recognizing Palestinian statehood, the people said — a move that carried some political risk, given Trump’s hostile reaction to it.

Paris, the former Trudeau adviser, said there are obvious limits to how much Canada can reduce its reliance on the U.S., given their geopraphic proximity, but he sees Carney laying the groundwork in Europe for a lasting alliance beyond the Trump years.

“This is a long-term bet on Europe as a reliable partner to help achieve Canada’s economic and security objectives, while also recognizing the United States will continue to be Canada’s closest trade partner and closest ally,” he said.

—With assistance from Nojoud Al Mallees.

Bloomberg.com