Canada and Europe Ponder Trade Pact

OTTAWA — Since the first free trade agreement between the United States and Canada, 20 years ago this month, Canada’s economy has become increasingly integrated with that of the United States. On Friday, with the American economy in disarray and its global leadership in question, Canada will take what appears to be a step back from that relationship.

Following a meeting in Quebec City, Canada’s prime minister, Stephen Harper, and President Nicolas Sarkozy of France, who is the president of the European Union as well, are expected to sign an agreement for preliminary negotiations meant to create a trade pact between Canada and Europe that would be even more sweeping than the North American Free Trade Agreement. A person who is familiar with the government’s plan, but who did not want to be identified as upstaging an announcement by two heads of state, said the agreement would begin “a scoping exercise leading to the launch of talks.” More...

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