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Trade Agreements Between Canada And China

(Last Updated On: December 19, 2020)

For a few years, China was one of Canada`s major trading partners in Asia, including in 2017; It was Canada`s best export market and Canada`s largest supplier of imports to Asia. [2] On the other hand, Canada experienced a significant trade imbalance, which, for example, imported $44.235 billion more from China in 2016 than the value of its exports to that country. [3] According to Fraser Johnson, a professor at Western University`s Ivey School of Business, political tensions are unlikely to lead to a major long-term disruption of trade between the two countries. He said: “I really can`t imagine that happening. There`s too much at stake. I don`t think either country (the relationship) wants to damage it. [119] Canada experienced a significant trade imbalance with China (nearly $36 billion in 2017) [3], which led Mr. Trudeau to increase exports, particularly agricultural products. On October 15, 2018, he said: “Clearly, China is the world`s second largest economy and it is growing and will remain an important place to do business and look for opportunities… We will continue to look (by increasing trade), but we will continue to do so as Canada always does, aware of the challenges, both the scale and the different approaches to trade, in a way that looks to profit and protect Canada. [115] About a month later, Chinese Premier Li Keqiang called for increased trade with Canada and suggested that China was open to discussions on Canada`s proposed free trade agreement. [116] In September 2019, it became clear that the Chinese government had protected certain sectors until July 2019, one of the reasons why the trade imbalance between the two countries was so one-sided. Since 1988, Canada has imported nearly $889 billion worth of Chinese goods, but China has imported only $293 billion worth of Canadian goods. China`s oil and gas sector was not open to foreign direct investment until July 2019, but the Chinese have almost been given carte blanche for their SOE buyouts since 2001.

As of September 2019, foreigners have not had access to Chinese companies in a “broad range” of industries, including telecommunications, the automotive industry, health and education. Unlike Roy MacLaren, Charles Burton said: [10] Canada negotiates bilateral free trade agreements with countries and the following trading blocs:[7] 2019: Canada`s Ambassador to China, John McCallum, resigned in January after some imprudenent remarks on the Meng affair with Chinese-language media. Months later, the Trudeau government appointed business advisor Dominic Barton, a longtime advocate of stronger trade relations with China, to succeed McCallum. At that time, the Sino-Canadian divide widened: China halted imports of rapeseed, meat and other Canadian products, while Mr. Trudeau called on the United States to stop a trade agreement with China until the imprisoned Canadians were released. In November 1997, the Government of Chretien signed with the Government of Jiang Zemin the consular agreement between the Chinese and Canadian authorities, the agreement between the Chinese National Tourism Administration and the Canadian Tourism Commission on tourism cooperation, three development assistance agreements and an exchange of letters between China and Canada for the establishment of other consulates general. [7] Canada has put the idea of a free trade agreement with China on hold, ignoring a priority that once dominated Prime Minister Justin Trudeau`s desire to restore relations with the world`s second-largest economy. Canada is regularly referred to as a trading nation, with total trade accounting for more than two-thirds of its GDP (the second highest level in the G7 after Germany). [1] [2] Of all of this trade, approximately 75% are wiretapped with countries that are part of free trade agreements with Canada, particularly with the United States through the North American Free Trade Agreement (NAFTA). [3] At the end of 2014, bilateral trade in Canada reached for the first time in the

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