January 2, 2026, Waterloo, Canada
Canada may be failing to co-build its economic future by neglecting two of the world’s most dynamic regions, according to a new policy research. The report from the CanAfro Research Institute reveals that while Canada remains extremely reliant on the U.S. for 63% of its trade, its engagement with Africa and the Caribbean is minimal and stuck in a older-era extractive model.
The report, Beyond the U.S.: Canada’s Strategic Turn to Africa and the Caribbean, finds that 63% of Canada’s trade remains extremely reliant on the United States, while trade with Africa accounts for a mere 1% and with the Caribbean is statistically negligible. Current engagement is described as outdated and asymmetrical, focused on extracting raw materials and capital, which reinforces dependency and a deep trust deficit.
“Canada is ceding ground and geopolitical relevance in two of the world’s most dynamic regions to global competitors,” the report states. “Transforming these relationships is an urgent economic and strategic necessity for tripartite sovereignty and long-term prosperity.”
The research highlights a critical implementation gap, noting that Canada’s existing Africa Strategy and CARICOM partnership lack dedicated budgets, signaling a lack of serious commitment. It contrasts this with the active, deepening ties pursued by China, the EU, and the U.S.
To counter this, the Institute proposes a transformative Tripartite Partnership Model, leveraging demographic growth, geographic proximity, and the expertise of African and Caribbean diaspora communities in Canada.
Key policy recommendations include establishing an up to C$5 billion Atlantic Partnership Fund, mandating ethical commerce standards, creating pathways to permanence for temporary workers, and founding an independent diaspora-led policy centre among others.
Canada has a unique opportunity to build equitable, value-added partnerships that enhance mutual economic security,” the report concludes. “The time for a fundamental strategic shift is now.”
The unfunded research took nearly seven months to complete.
Source: CanAfro Institute
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