In January 2026, Prime Minister Mark Carney announced a new “strategic partnership” with China during his visit to Beijing, shifting from his previous stance that labeled China as Canada’s greatest national security threat. The partnership emphasizes increased trade, particularly in electric vehicles (EVs), while addressing security concerns through precautionary measures and “red lines” regarding foreign interference. The deal includes the reduction of tariffs on Canadian canola in exchange for exemptions on Chinese EVs. This represents a significant pivot in Canada’s foreign policy, aiming to diversify trade relationships amid a changing global landscape.
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