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Canada and China Agree to Formalize Dialogue and Revive Trade Commission

This marks the first direct discussions between Ottawa and Beijing in months highlighting a joint effort against the fentanyl crisis.

Prime Minister Mark Carney responds to a question during Question Period on Parliament Hill in Ottawa, Wednesday, June 4, 2025.
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Prime Minister Mark Carney arrives to a caucus meeting on Parliament Hill on Wednesday.

Overview

  • Prime Minister Mark Carney held his first call with Chinese Premier Li Qiang to establish regular channels of communication and convene the Joint Economic and Trade Commission at deputy-minister level.
  • The leaders agreed to tackle Canada’s 100% tariffs on Chinese electric vehicles and 25% levies on steel and aluminum alongside Beijing’s retaliatory duties on canola, peas and seafood.
  • Western Canadian farmers and seafood producers in Atlantic Canada and British Columbia have borne the brunt of escalating duties that have stalled billions of dollars in bilateral trade.
  • Carney and Li committed their governments to a joint strategy against illegal fentanyl by targeting precursor chemicals used in opioid production.
  • Beijing’s ambassador warned against a “Cold War mentality” and urged Ottawa to lift EV tariffs as U.S. officials press Canada to counter expanding Chinese influence.