politics
January 25, 2026
Canada has no intention of pursuing free trade with China, says Carney
PM says recent agreement just cuts tariffs on a few sectors, as Trump threatens 100% tariffs on Canadian imports
TL;DR
- Canada denies pursuing a free trade deal with China.
- The clarification comes after Donald Trump threatened a 100% tariff on Canadian goods.
- A recent agreement with China focused on reducing tariffs in specific sectors.
- Canada is committed to notifying the US and Mexico before entering trade agreements with non-market economies.
- Previous tariffs on Chinese EVs and Canadian canola, pork, and seafood were reciprocal.
- Canada is implementing a cap on Chinese EV imports.
- Trump views Canada potentially becoming a 'Drop Off Port' for Chinese goods into the US as a concern.
- Carney has been vocal about "middle powers" needing to cooperate to counter US actions under Trump.
- Trump previously suggested Canada should be absorbed into the US.
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