German trade groups see opportunities amid US-Canada tariff dispute

German business associations suggest that the escalating tariff dispute between the United States and Canada could present significant economic opportunities for Germany and Europe. As access to the US market becomes more difficult for Canadian companies, there is an expected increase in interest toward alternative markets.

Volker Treier, head of foreign trade at the DIHK, noted that the EU-Canada trade agreement, CETA, provides a strong foundation for this growth. Since CETA's provisional application in 2017, trade between the EU and Canada has increased by 76 percent, though significant potential remains.

Dirk Jandura, president of the BGA export association, observed that Canadian exports to non-US markets reached a record 25.6 billion Canadian dollars in July, with Germany being a key destination. While the trade conflict may burden German companies with North American branches, experts advocate for strengthening strategic ties with Canada regarding innovation, critical raw materials, and resilient supply chains.