China on Monday made its position clear after US President Donald Trump threatened to slap 100% tariffs on Canada over its growing trade engagement with Beijing. China said its talks with Canada are not aimed at the United States or any other country and should not be dragged into political fights.
As per reports, while responding to Trump’s warning, Chinese Foreign Ministry spokesperson Guo Jiakun said the China-Canada discussions are about cooperation and mutual benefit. “China’s cooperation with Canada is not against any third party,” he said. Guo added that Beijing believes in a “win-win approach”, not a zero-sum game where one country gains at the cost of another. He also stressed that normal trade ties between countries should not be politicised.
China’s response came after Trump reacted sharply to reports of a preliminary trade understanding between Canada and China. The talks reportedly include reduced Chinese tariffs on Canadian canola, visa-free travel for Canadians, and limited tariff relief for Chinese electric vehicles entering Canada, according to reports.
Trump Threatens 100% Tariffs on Canada
Trump took to social media to warn Canada against getting closer to China. He said if Canada signs a trade deal with Beijing, the US will impose 100% tariffs on Canadian goods. In a strongly worded post, Trump claimed China would “eat Canada alive” and destroy its businesses and way of life.
Reports say that Canada has tried to cool the situation. Prime Minister Mark Carney said Ottawa is not planning a full free trade agreement with China. He reminded that under the Canada-US-Mexico Agreement (CUSMA), Canada must inform its partners before negotiating with non-market economies. “We have no intention of pursuing a free trade agreement with China,” Carney said.
Old Trade Tensions Resurface Between US and Canada
The latest row shows the long-standing trade tensions between the US and Canada, especially during Trump’s presidency. Trump in the past, imposed tariffs on Canadian steel and aluminium, and called them a national security threat. Those moves triggered strong backlash in Canada and led to counter-tariffs.
Despite US and Canada being close allies, the trade disputes between the two countries have been going on for quite some time now. Canada remains one of America’s largest trading partners as they supply energy, vehicles, and raw materials to the US.
