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3d ago

Carney Keeps Options Open on China EV Tariffs as Washington Talks Intensify

He says engagement with Beijing will focus on broader ties rather than a simple canola-for-cars trade-off.

Manitoba Premier Wab Kinew, centre, talks with Ontario Premier Doug Ford, left, and Saskatchewan Premier Scott Moe as they arrive at the meeting of Canada’s premiers in Huntsville, Ont., on July 21, 2025.
OAKLAND, CALIFORNIA - OCTOBER 10: In an aerial view, a container ship sits docked at the Port of Oakland on October 10, 2025 in Oakland, California. U.S. President Donald Trump is threatening to impose a massive increase of tariffs on Chinese imports in response to China's announcement of new export controls on rare earths. China controls an estimated 70% of the global supply of rare earths minerals. (Photo by Justin Sullivan/Getty Images)
Tugboats guide a cargo ship from a berth at port, in Vancouver, on Tuesday, July 16, 2024. THE CANADIAN PRESS/Darryl Dyck
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Overview

  • Beijing's envoy publicly offered to drop duties on Canadian canola and pork if Ottawa removes 100% tariffs on Chinese-made EVs.
  • Prime Minister Mark Carney said he expects to meet senior Chinese leaders soon and indicated any decision must consider broader relations and likely U.S. reactions.
  • Carney ruled out countertariffs against the United States as high-level talks continue in Washington on steel, aluminum, autos and lumber after Stellantis shifted a Brampton line to Illinois.
  • The dispute has split provinces, with Manitoba’s Wab Kinew and Saskatchewan’s Scott Moe urging relief to restore farm access to China, while Ontario’s Doug Ford rejects easing EV protections to safeguard auto jobs.
  • Ottawa is informally reviewing the EV tariff policy as Foreign Affairs Minister Anita Anand heads to Beijing, with Saskatchewan reporting a 76% year-over-year export drop in August during the standoff.