Amidst escalating global trade tensions, India and Canada appear to be taking steps towards easing their strained diplomatic relations, which deteriorated significantly in the past year.
The development comes as both nations brace for potential economic disruptions due to US President Donald Trump’s proposed tariffs, prompting them to seek stronger trade partnerships elsewhere.
India and Canada look at restoring diplomatic ties
New Delhi and Ottawa are exploring the possibility of reinstating their respective envoys, following the diplomatic fallout that led to tit-for-tat expulsions in 2023, as per a Bloomberg report.
Last October, India expelled six Canadian diplomats and withdrew its high commissioner in response to Canada’s decision to label the envoy a ‘person of interest’ in the investigation into the killing of Khalistan separatist Hardeep Singh Nijjar in June 2023.
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Efforts to mend relations were further highlighted by the recent visit of Canada’s Intelligence Chief, Daniel Rogers, to a conclave hosted by India’s National Security Advisor Ajit Doval in New Delhi.
The Bloomberg report also noted that a potential meeting between Indian Prime Minister Narendra Modi and Canada’s newly-elected PM Mark Carney on the sidelines of the Group of Seven (G7) summit in Alberta in June is not out of the question. India holds observer status in the G7.
Tensions over khalistan
The diplomatic relations between the two nations soured in September 2023 when then Canadian PM Justin Trudeau alleged that Indian government agents could have been linked to the killing of Nijjar, who was gunned down in Surrey, British Columbia, on June 18. India firmly dismissed the claims as “absurd and motivated.”
In recent months, a Canadian official told Bloomberg that the North American nation has been working towards improving relations with New Delhi, with the condition that Canada’s legal framework be respected.
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“The approach has not changed since Trudeau left office,” the official stated.
Trump tariffs behind reset
As both India and Canada prepare for the impact of Trump’s tariff measures, the need to diversify trade relations has become increasingly urgent. The sweeping duties, set to take effect on April 2, could have significant economic repercussions, prompting countries to strengthen ties with other global partners.
“What Canada will be looking to do is to diversify our trading relationships with like-minded countries, and there are opportunities to rebuild the relationships with India,” Carney told reporters on March 4, days before winning the race to succeed Trudeau as leader of the Liberal Party.
Meanwhile, the Ministry of External Affairs (MEA) acknowledged the diplomatic strain but expressed optimism for a reset in relations. Ministry Spokesperson Randhir Jaiswal stated on March 21 that the downturn in relations stemmed from Canada’s handling of extremist and secessionist elements.
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“The downturn in India-Canada relations was caused by the licence that was given to the extremist and secessionist elements in the country. Our hope is that we can rebuild our ties based on mutual trust and sensitivity,” Jaiswal was quoted as saying by news agency ANI.
As global trade dynamics shift, the evolving India-Canada relationship will be crucial in determining how both nations navigate economic uncertainties in the coming months.
(Curated with inputs from media and agency reports)
