Hope for Canada–China ties hit a high point in January when Canadian Prime Minister Mark Carney visited China, the first trip to the country by a Canadian prime minister since 2017.
But even as both sides cheer for trade and investment and look to “strengthen exchanges at all levels,” irritants linger. On March 11, the Canadian International Trade Tribunal (CITT), an independent, quasi-judicial body that reports to Parliament, renewed a tariff on carbon steel screws from China. (The CITT is also investigating Chinese exports of building cables, rebars, steel balls, steel pipes, truck bodies, and even tableware.)
Possibly in response, three days later, Beijing imposed a tariff of 13.8 per cent on Canadian halogenated butyl rubber, which is used in tires and pharmaceutical products. Japan, for months a focus of China’s wrath, was also hit with similar tariffs. China accused both countries of “dumping” these exports.
Chinese tariffs on Canadian pork exports — which totalled C$468.6 million in 2024 — also remain in place.
The ‘big picture,’ however, is relatively encouraging. In January, for example, Beijing agreed to reduce tariffs on Canadian canola seed from 84 to 15 per cent and suspend levies for one year on canola meal, lobsters, peas, and crabs.
Some appear optimistic. A new poll by the Canada China Business Forum, surveying 53 Canadian businesses and 23 Chinese businesses, found that 82 per cent of respondents said Carney’s approach to China had a “positive business impact.”
The latest trade data shows that Canada–China goods trade in January reached C$8.8 billion, a modest 2.5 per cent increase compared to January 2025. Next month’s trade numbers will reveal whether Carney’s trip — and a new bilateral “Strategic Partnership” — has reassured businesses that Canada–China ties are as “promising” as advertised.
