The idea was initially floated back in 2022 when Germany’s then-Chancellor Olaf Scholz tried to persuade Canada’s then-Prime Minister Justin Trudeau to find a way to ship LNG to Europe to help wean the continent off Russian oil. But the project ran aground on a lack of infrastructure, namely a pipeline to bring the LNG some 8,000 kilometers from west to east.
Now, with U.S. President Donald Trump’s tariffs having hit both Germany and Canada hard, both countries are scrambling to deepen ties in areas such as defense, critical minerals and energy.
Hodgson took the opportunity to throw shade across the border, stating that Canada is keen to find people who “share our views and share our values” and to increase trade with them. “In a perfect world, we would maintain our relationships with the U.S. We would maintain openness, but we’re going to do what’s right for us, which is make sure we trade more with like-minded countries like Germany.”
Trump has in past months repeatedly threatened his northern neighbor’s sovereignty in a string of comments about annexing Canada as America’s “51st state.” The two countries have also been at odds over trade, although Prime Minister Mark Carney recently changed course by scrapping some retaliatory tariffs.
Hodgson said he was surprised by the long-term demand for LNG — typically seen as climate-unfriendly and a “transition fuel” — from German industry, but attributed this to increased demand, including from artificial intelligence. “They believe that there will be more LNG required and for longer as a transition fuel,” he added.
Berlin also wants to shift its industry away from reliance on Russia and China.