Canada’s Carney and China’s Xi Jinping take step towards mending ties

With a meeting in South Korea during the Asia-Pacific Economic Summit, the leaders of China and Canada have taken a step toward resolving their long-standing diplomatic ties.

Both sides on Friday met to discuss improving ties between China’s president Xi Jinping and Canadian Prime Minister Mark Carney and make a point of talking points.

According to a Canadian statement, “the leaders came to terms with the significance of their meeting.”

According to Xi, relations are beginning to improve thanks to the partnership of both sides.

According to an official report released by China’s state media, “We are willing to work together with Canada to take this meeting as an opportunity to promote the return of bilateral relations to a healthy, stable, and sustainable track as soon as possible.”

According to a statement from Canada, Carney, who was appointed prime minister in March, accepted an invitation from Xi to visit China.

Later, Carney later claimed to be “very pleased” with the outcome.

He said, “We now have a turning point in the relationship, a turning point that opens up opportunities for Canadian families, Canadian businesses, and Canadian workers, and opens up a door for solutions to the current issues.”

The meeting signals a shift in tone and a resumption of diplomatic contact, according to Vina Nadjibulla, vice president of the Asia Pacific Foundation of Canada. There is no evidence to suggest that the Chinese Communist Party’s actions have changed since the prime minister’s designation of China as a threat to international security, so Canada should proceed with caution.

She advised Carney to continue speaking with Chinese leaders while keeping an eye on China’s threats to Canada’s security interests, including its efforts to become more involved in Arctic affairs.

Shaky relationships

In late 2018, relations deteriorated as a result of Canadian authorities” request to extradite a senior executive from Chinese tech company Huawei. Then, in response, China detained two Canadian nationals and charged them with espionage.

Even after the two Canadians, Michael Kovrig and Michael Spavor, who are both the daughters of Huawei’s founder, Meng Wanzhou, and the Chinese executive, Meng Wanzhou, whose ties didn’t significantly improve until 2021, were officially established.

More recently, Canada’s decision to levy a 25% tariff on steel and aluminum and a 100 percent tariff on electric vehicles (EVs) from China in 2024 has shook relations. China retaliated by imposing its own high import taxes on canola, seafood, and pork, and has offered to do so if Canada lowers the EV tariff.

Canada and the US made the final move.

Both leaders discussed solutions for a particular product, such as EVs, canola, and seafood, and instructed their officials to act quickly to resolve trade problems and irritants, according to the Canadian statement.

Xi advocated for growing “pragmatic” cooperation in fields like energy, trade, and economy. US President Donald Trump has imposed tariffs on both China and Canada.

Carney’s attempt at rapprochement comes as Trump says he plans to increase tariffs on imports of Canadian goods by an additional 10% and as Carney seeks to diversify Canada’s trade away from the US. The US-Canada free trade agreement is being reviewed.

Prior to a business event on Friday, Carney claimed the rules-based liberalized trade and investment system had been overturned, adding that Canada intended to double its non-US exports over the next ten years.

However, Nadjibulla claimed that China shouldn’t be viewed as the solution to Canada’s problems with the US.