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India and Canada reset ties with landmark agreements
Indian Prime Minister Narendra Modi and Canadian Prime Minister Mark Carney announced a series of agreements on Monday, including a decade-long nuclear energy pact, as both nations seek to mend strained relations.
Key deals in energy, trade, and technology
The leaders finalized a long-term uranium supply arrangement for civil nuclear energy and committed to collaborating on small modular reactors and advanced nuclear technology. Modi described the two countries as "natural partners in technology and innovation," highlighting joint efforts in artificial intelligence, supercomputing, and semiconductors.
A renewable energy summit is also planned as part of a broader strategic energy partnership. Carney noted Canada's role in supporting India's growing nuclear fuel demands, calling the progress a milestone in bilateral engagement.
Trade deal target set for 2026
Modi and Carney set a goal of expanding bilateral trade to $50 billion and pledged to finalize a comprehensive economic partnership agreement by the end of 2026. Negotiations for the deal, which have stalled for 15 years, are now seen as a priority amid efforts to reduce dependence on U.S. trade tariffs.
"Our target is to reach $50bn in bilateral trade. This is why we have decided to finalise a comprehensive economic partnership soon," Modi said.
Diplomatic tensions linger but thaw underway
Relations between India and Canada plunged in 2023 after Trudeau's government accused Delhi of involvement in the assassination of Sikh separatist Hardeep Singh Nijjar on Canadian soil-a claim India vehemently denied. The dispute led to tit-for-tat diplomat expulsions and suspended visa services.
Since taking office, Carney has sought to rebuild ties, asserting that India is no longer linked to violent threats in Canada. However, critics, including a Liberal MP and members of the Sikh diaspora, argue that concerns about foreign interference persist.
Canada's Foreign Minister Anita Anand distanced herself from a senior official's statement that India had ceased all foreign interference, telling reporters in Delhi, "The words of the senior official are not words that I personally would use." She defended re-engagement, stating, "We need to have these diplomatic conversations in order to make progress."
Geopolitical pragmatism drives reset
Analysts suggest Carney's outreach reflects a strategic shift to diversify Canada's trade partnerships amid global realignments. For India, the move aligns with efforts to reduce reliance on Russian energy imports and expand economic ties with Western nations.
Carney's four-day visit included meetings with business leaders in Mumbai and discussions with India's Foreign Minister S. Jaishankar on a "forward-looking partnership." The trip will continue to Australia and Japan as part of Canada's broader trade diversification strategy.
Legal case unresolved
The murder of Nijjar remains under judicial review, with four suspects charged in Canadian courts. Neither leader addressed the case directly during Monday's talks, focusing instead on future collaboration.