Editorial | China-Canada turnaround in ties marks new spirit of global cooperation

China and Canada have reached a wide-ranging deal to lower trade barriers and restore ties broken after years of enmity and recrimination. It heralds what President Xi Jinping has called a “new strategic partnership” and what Canadian Prime Minister Mark Carney said was a “new world order”. Both sides see it as a win-win, two countries that dared to retaliate against the United States’ tariff war. The visit was the first to China by a Canadian leader in eight years and the second time the two leaders have met since the Asia-Pacific Economic Cooperation summit in October.

The concessions have removed two major trade fights between the two nations whose relations have been troubled since the arrest of Huawei Technologies’ top executive Meng Wanzhou in Vancouver on a US extradition request in 2018. The Chinese deal offers significant relief to long-suffering Canadian farmers while the dramatic Canadian tariff reduction hands an opening to Chinese carmakers, already facing fierce domestic competition, to expand the North American market outside Mexico.

The pact with Canada is a key part of Beijing’s charm offensive targeting Western allies facing an increasingly aggressive and unilateral America. This ranges from new orders for French aircraft to reopening China’s beef and pork markets to Ireland and Spain.

As Washington under Donald Trump has repeatedly threatened to scupper the trilateral US-Canada-Mexico trade pact and to make Canada America’s 51st state, Carney has made it a policy priority to diversify exports dominated by US trade. Canadian producers are hoping China will renew its appetite for their oil, natural gas and minerals as well as agricultural produce and seafood.