Prime Minister Mark Carney expressed his anticipation of an upcoming meeting with Chinese President Xi Jinping as both countries strive to establish a new, steady trade relationship amidst evolving U.S. policies. Carney’s optimism stemmed from a positive discussion with China’s second-highest official, Premier Li Qiang, in New York City. He highlighted the constructive nature of their talks, emphasizing the progression from previous phone calls and exchanges between trade ministers. Carney mentioned his intention to meet with President Xi Jinping in due course while maintaining an ongoing dialogue with Premier Li.
During the discussions, Carney identified various opportunities to enhance Canada and China’s trade ties, particularly in clean energy, conventional energy, and agriculture sectors. He disclosed having an open conversation with Li regarding steel tariffs and confirmed that Foreign Affairs Minister Anita Anand is scheduled to visit China soon. Anand’s office also mentioned her forthcoming trip to India.
Throughout the year, Canadian businesses, analysts, and local politicians have urged Carney to strengthen Canada’s trade relations with China in response to President Donald Trump’s trade policy changes. Carney highlighted the negotiations with China as a top priority in June. Additionally, there are potential opportunities for the leaders to convene later in the year, possibly during the G20 Leaders’ Summit in November.
Canada has had a longstanding and intricate trade and diplomatic history with China. Recent trade tensions led to a trade war where Canada imposed tariffs on Chinese-made electric vehicles, prompting retaliatory measures from China on canola meal, seed, pork, and seafood. Efforts are underway to remove counter-tariffs on agricultural products through enhanced communication channels between the two countries.
China stands as Canada’s second-largest trading partner, although there is room for growth. In 2024, Canada exported $30 billion worth of goods to China, a fraction compared to the $500 billion exported to the United States, resulting in a significant trade deficit with China exceeding $57 billion that year.
During his visit to New York City, Carney promoted Canada as a reliable trading partner with access to major global markets. Speaking at the Council on Foreign Relations think-tank before attending the UN General Assembly, he emphasized that Canada possesses valuable assets sought after by the world at a crucial juncture in history.