Trip
Scholz and Habeck: Strengthening economic relations with Canada
Travel to Canada together: Federal Chancellor Olaf Scholz (r) and his Deputy Robert Habeck. photo
© Kay Nietfeld/dpa
It is Chancellor Scholz’s longest inaugural visit to a single country to date: he will be in Canada with his Vice Chancellor for three days. Business expectations are high.
With a three-day visit to Canada, Chancellor Olaf Scholz (SPD) and Vice-Chancellor Robert Habeck (Greens) want to significantly strengthen economic relations with the second largest country in the world. The focus will be on energy and raw material deliveries to Germany.
Scholz and Habeck left for Montreal late on Sunday afternoon, then they continue to the economic metropolis of Toronto and to Newfoundland in the east of the country. Three stations in three days – this is the Chancellor’s longest inaugural visit to a single country.
The talks with Prime Minister Justin Trudeau will also focus on supporting Ukraine, which has been attacked by Russia, and dealing with China.
Habeck and Scholz want to leave for Montreal late on Sunday afternoon, then continue to the economic metropolis of Toronto and Newfoundland in the east of the country. Three stations in three days – this is the Chancellor’s longest inaugural visit to a single country.
“We want to create a reliable network of industrial cooperation and use the advantages that Canada and Germany bring to the table,” Scholz said in an interview with the Canadian newspaper “Globe and Mail” at the beginning of August with a view to the trip. “We need concrete action now and I think this makes a lot of economic sense for both of our countries.”
Hopes in the German economy
The German economy hopes that the German Bundestag will ratify the CETA free trade agreement between the European Union and Canada, which is expected to be released in the fall. “In generally difficult trade policy times, it would send an effective signal for open markets and rule-based trade,” said Peter Adrian, President of the Association of German Chambers of Industry and Commerce (DIHK), before leaving.
But there has also been strong criticism of the agreement. A broad alliance of trade unions, environmentalists and human rights groups warned the Bundestag at the weekend against approving Ceta. According to an appeal by the organizations from Europe and Canada, the contract protects corporate interests unilaterally by undermining democratic decision-making and preventing effective policies to protect the climate, environment and social services.
Ceta is said to only be putting obstacles in the way of the exit from fossil fuels that is urgently needed in view of the climate crisis. “Because the introduction of special rights for corporations would primarily benefit oil, gas and raw materials companies.” Signatories include Attac, the conservationists from Greenpeace, Nabu and Bund as well as the Paritätische Wohlfahrtsverband, Verdi, Foodwatch, Climate Action Network Canada and Friends of the Earth Canada.
Germany also wants to agree to the Ceta agreement. Ratification is planned for the autumn. Parts of the trade agreement came into force in 2017 – but only in those areas for which the EU alone is undoubtedly responsible and not its member states. The other parts are on hold pending ratification in all countries.
Scholz and his Economics and Climate Minister Habeck are only traveling abroad together for the second time. In May, they attended a North Sea summit together on increasing the use of wind power.
Many stations on the journey
Political talks with Trudeau will take place Monday in Montreal, where Canada’s prime minister has his constituency. Then it’s on to the business metropolis of Toronto, where Scholz, Habeck and Trudeau take part in a German-Canadian business conference. Chancellor and Vice-Chancellor are accompanied by a dozen business representatives.
A visit to the remote town of Stephenville in Newfoundland is planned for Tuesday afternoon. The focus there will be on the development of hydrogen technologies and the establishment of supply chains for hydrogen. An agreement is also to be signed for this purpose. More liquefied natural gas (LNG) from Canada is not to be expected in the next year or two because the infrastructure for this is still lacking. Cobalt, nickel, graphite and lithium – minerals that are needed for the production of batteries – are part of the cooperation in the raw materials sector.
With an area of almost one million square kilometers, Canada is the second largest country in the world after Russia, but with around 37 million inhabitants it is comparatively sparsely populated. The country is Germany’s partner in the G7 of economically strong democracies and in NATO.