Mark Carney's election opens a crucial window to reset strained India-Canada ties, fractured by Khalistan-linked tensions, diaspora politics, and Trudeau-era diplomatic standoffs.

Canada's former Prime Minister Justin Trudeau (left) walks past Indian Prime Minister Narendra Modi as they take part in a wreath-laying ceremony at Raj Ghat, Mahatma Gandhi's cremation site, during the G20 Summit in September 2023.

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Source: AP

Khalistan Movement leader Gurpatwant Singh Pannun.

A THORNY DIASPORA DYNAMIC

The Indo-Canadian community-nearly 2.8 million strong-has long served as a cultural and economic bridge between the two countries. However, the community is far from monolithic. While most Indo-Canadians contribute to Canada's growth in fields ranging from tech to healthcare, a small but vocal subset, particularly in British Columbia and Ontario, have amplified pro-Khalistan narratives.

Trudeau's perceived pandering to this demographic-especially during election cycles-was seen by many in India as prioritizing vote banks over bilateral ties.

Carney inherits the same challenge. With his Liberal Party still dependent on pro-gressive urban strongholds where pro-Khalistan sentiments may find sympathy, he will have to walk a tightrope between upholding free speech and curbing extremist advocacy.

TRADE, TECH, AND THE CEPA CONUNDRUM

Beyond geopolitics, Carney has emphasized economic diplomacy. One of his immediate objectives is to revive the stalled Comprehensive Economic Partnership Agreement (CEPA) with India, which was put on hold amid the 2023 fallout. If reactivated, CEPA could enhance bilateral trade in services, technology, education, and clean energy.