Prime Minister Mark Carney met with Croatian Prime Minister Andrej Plenković in Ottawa on June 22, 2026, marking the first-ever official visit by a sitting Croatian Prime Minister to Canada. The meeting highlighted the strengthening bilateral partnership, driven by close people-to-people ties, growing commercial relations, and a shared commitment to transatlantic security. Bilateral trade has surged 500% over the past decade and increased by a third in the last year.

To build on this commercial momentum, the leaders welcomed a new agreement between Canada's Remote Robotic and Croatia's Orqa. The partnership aims to expand drone manufacturing in Canada, which is expected to strengthen domestic defence industries, create high-paying careers, and equip the Canadian Armed Forces with advanced equipment.

The discussion also covered Canada's efforts to establish the Defence, Security and Resilience Bank. Both leaders agreed to deepen cooperation in critical minerals, energy, and commerce. Additionally, they reaffirmed their strong support for Ukraine through continued military and humanitarian assistance.

Key Bilateral Trade Metrics

The meeting underscores the strategic importance of the Canada-Croatia relationship as both nations seek to enhance economic and security collaboration.

Chinese automakers are evaluating potential manufacturing agreements in Canada, a move that could significantly alter the North American automotive production landscape. According to Joly, these companies are actively weighing the feasibility of establishing operations within the country. This strategic consideration marks a notable step in the global expansion efforts of Chinese car manufacturers, who have historically focused on domestic and select international markets.

The potential entry of Chinese automotive firms into Canada's manufacturing sector underscores the shifting dynamics of the global auto industry. It reflects a growing confidence among these manufacturers to expand their footprint beyond traditional borders and into established markets. While specific details regarding the companies involved or the scale of potential investments remain undisclosed, the intent to explore manufacturing deals is clear.

This development carries substantial implications for the Canadian economy and its automotive sector. Establishing manufacturing facilities could lead to job creation and increased economic activity. However, it also raises questions about market competition and the integration of Chinese automotive brands into the North American supply chain.

The exploration of these deals by Chinese carmakers suggests a long-term strategy to localize production, potentially mitigating trade barriers and reducing logistics costs. It also indicates a response to the growing demand for electric vehicles (EVs) and other new energy vehicles in North America, where Chinese manufacturers have been aggressively pushing their technological advancements.

As discussions progress, stakeholders across the industry will be closely monitoring the situation. The outcome of these deliberations could pave the way for a new era of automotive manufacturing in Canada, characterized by increased foreign direct investment from Asia and a more diverse competitive environment.