NEW DELHI (AP) — Canadian and Indian leaders announced Monday their commitment to enhancing economic cooperation, marking a significant effort to repair diplomatic relations that have been troubled for the past two years.
Following discussions with Canadian Prime Minister Mark Carney, Indian Prime Minister Narendra Modi announced that both nations would work toward completing a “comprehensive economic partnership” designed to boost bilateral trade to $50 billion by 2030.
The two countries resumed progress on trade agreement negotiations that had been stalled, as Carney has worked to rebuild diplomatic communication and stabilize the relationship between the nations.
According to Carney, both governments are targeting completion of the agreement before year’s end.
“This is not merely the renewal of a relationship. It is the expansion of a valued partnership with new ambition, focus, and foresight,” Carney said.
The relationship between the countries became strained when Canadian officials claimed India played a role in the death of a Canadian Sikh activist near Vancouver in June 2023. India strongly rejected these claims and criticized former Canadian Prime Minister Justin Trudeau’s administration for providing refuge to Sikh extremists associated with the Khalistan movement. India has prohibited this movement, which seeks to establish an independent Sikh state.
The diplomatic crisis resulted in both nations removing senior diplomatic personnel and temporarily halting certain visa operations.
The relationship began improving last June when Carney extended an invitation to Modi to attend the G7 summit in Alberta.
Following Monday’s discussions, Modi revealed that India and Canada had signed a nuclear cooperation agreement allowing Canada to provide uranium to India. He also noted that both countries would collaborate on strengthening defense industries and improving maritime domain awareness.
Representatives from both governments also signed multiple memoranda of understanding covering critical minerals, energy cooperation, and cultural exchange programs.
Carney plans to continue his trip to Australia and Japan later Monday as part of his strategy to expand Canada’s trade relationships beyond the United States. His administration has established an objective to double Canada’s non-U.S. exports within the next ten years, citing concerns that American tariffs are discouraging investment.
