Canadian PM visits Saudi Arabia to strengthen energy, mining partnerships | Business and Economy News

Carney and Saudi Crown Prince Bin Salman strengthen partnerships after years of strained relations under Trudeau.

Canadian Prime Minister Mark Carney paid a visit to Saudi Arabia, marking the first state visit in more than a quarter-century as Ottawa and Riyadh explore deeper mining and energy ties.

Carney visited on Thursday, on the heels of the NATO summit in Turkiye, doubling down on calls to diversify trade relationships as United States President Donald Trump imposed tariffs that have weighed on the Canadian economy. The visit included agreements covering mining, energy and artificial intelligence, which Carney’s office said would be finalised next year.

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The two countries signed 13 new agreements and memorandums of understanding (MoUs) covering areas including health and defence. The agreements are worth $1bn.

Among the deals are agreements that would help Canadian companies develop mining and clean energy projects in Saudi Arabia.

During his visit, Carney also met with Amin Nasser, head of state oil giant Saudi Aramco. On energy, Carney’s office said the two countries are working together on agreements related to liquefied natural gas, hydrogen and carbon capture and storage.

Carney’s office also said he would lead “a delegation of Canada’s pension funds” as part of efforts to invest in Saudi Arabia’s energy and AI sectors.

In talks with Saudi Crown Prince Mohammed bin Salman, Carney signed agreements aimed at expanding several key partnerships between the two nations following years of strained relations under former Prime Minister Justin Trudeau.

Trudeau, Carney’s predecessor, had been critical of Saudi Arabia’s treatment of human rights activists, including Saudi writer Raif Badawi and his sister, Samar. In response, Saudi Arabia expelled the Canadian ambassador and cut trade and investment ties in 2018.

Ottawa and Riyadh began restoring diplomatic ties in 2023.

Carney was asked by reporters about the decision to re-engage with Saudi Arabia, to which he responded:

“Engaging with the country doesn’t mean that we agree with everything that a country is doing.”

“We are actively engaging with key partners around the world,” Carney said.

“Lecturing countries from afar is an ineffective strategy. It’s satisfying, but it’s ineffective.”

Carney was also asked about ongoing negotiations with the United States. Reporters pressed him on whether there had been any progress in trade negotiations with Trump amid tensions surrounding the North American Free Trade Agreement.

“I’ll keep you posted,” Carney said.