India-Canada Diplomatic Relations
From Collapse to Reset
India and Canada share over 75 years of diplomatic relations, with a large Indian diaspora of approximately 1.8 million in Canada serving as a people-to-people bridge. Relations underwent a severe rupture in September 2023 when then-Prime Minister Justin Trudeau publicly alleged potential Indian government involvement in the killing of Hardeep Singh Nijjar — a Canadian Sikh activist — in British Columbia. India strongly denied involvement. The crisis led to diplomatic expulsions, mutual reduction of embassy staff, and the suspension of CEPA trade talks. With Justin Trudeau's resignation and the election of Mark Carney as Canada's new Prime Minister, 2026 saw a diplomatic reset underpinned by shared economic interests.
- Nijjar killing: Hardeep Singh Nijjar was shot dead in Surrey, British Columbia in June 2023; Trudeau's September 2023 allegation triggered the diplomatic crisis
- Diplomatic expulsions: both sides expelled diplomats; India demanded reduction in Canadian High Commission staff
- CEPA talks had originally begun in 2010 under the Foreign Investment Promotion and Protection Agreement (FIPA) framework, stalled multiple times
- Canada's change of government: Mark Carney succeeded Trudeau as Liberal PM and sought economic diversification away from the US amid US tariff pressures
- India-Canada bilateral trade (FY 2025-26, April-January): approximately US$6.48 billion
● Tracked since February 24, 2026 · last seen March 03, 2026 · updates as the daily brief publishes