Description: On his visit to India, Canadian Prime Minister, Mark Carney announced that he and Indian Prime Minister Narendra Modi would push forward the conclusion of a bilateral trade agreement expected to surpass bilateral trade of $50 billion annually by 2030. Carney and Modi also announced that both governments agreed to include close cooperation initiatives in the rare earth elements industry and concluded a pact that would enhance cooperation in the civilian nuclear sector. Carney also expressed a positive attitude towards potential defense cooperation as well as energy collaboration outside of the civilian nuclear sector. The Canadian Prime Minister is expected to visit Japan and Australia next, attempting to decouple from traditionally close trade ties with the US which have been severely degraded due to Trump’s tariff foreign policy.
Impact: Canada and India’s resurgence on the global stage represents a strategic convergence between middle powers aimed at decentralizing the current great power rivalry dynamics on the geopolitical landscape and diversify key sectors such as trade and defense. India is in a pole position to play to its diversified foreign policy goals having concluded a key trade agreement with Europe and downsized the tariff threat from the US. Canada under Carney is becoming the leader of a decentralized block of middle power countries and would largely benefit from exposure on the vast Indian market. Both countries are aiming to counter influence from global powers such as the US and China and form an independent economic and security block of countries on a global stage that could prevent the dissolution of rules – based global order. The uranium supply agreement and open pledges for continued bilateral cooperation represent a strong foundation for concluding the bilateral trade agreement this year if not sooner.