Trump reacts to Canada-China trade deal: 'If you can get a deal with China, you should do that'

Q&A: Carney takes questions on cathay merchandise sell, EVs and certificate

Ford says EV deal with China 'is going to be terrible' for Ontarians, auto sector

Canola deal surprises 'cautiously optimistic' Sask. Crop producers

Canada's relationship with China 'more predictable' than relationship with U.S., PM says

Sask. Premier and producers react to the new trade agreement with China

Canada reaches tariff deal with China on EVs, canola

The Breakdown | Carney talks trade in China

Carney meets Xi Jinping, hails progress in resetting trade with China

At Issue | Does Carney’s China reset come with risks?

‘A new era of our relationship:’ Carney, ministers meet with China’s premier in Beijing

Carney asked about human rights after announcing preliminary deal with China

Prime Minister Mark Carney, speaking in Beijing on Friday after reaching an initial deal with China across several sectors, said Canada stands up for human rights and democracy but added that Canada engages in what he called 'value-based realism' and takes the 'world as it is, not as we wish it to be.'

I believe the to the highest degree interesting — and potentially, memorable — thing Carney said today in communist china is this: "We use up the domain as it is, not as we wish it to be."

The prime minister was responding to a specific question about human rights in China and Canadian engagement with the country (asked by our colleague Tom Parry). But perhaps that comment from Carney could stand in as an explanation for his entire trip across the Pacific, as well as for the multifaceted agreement that China and Canada came to on Friday — including the change in Canadian policy toward Chinese EVs.

The Canadian government announced its decision to apply prohibitive tariffs to Chinese EVs last August. Justin Trudeau was prime minister and, perhaps more importantly, Joe Biden was president of the U.S. It was a different world then. And maybe if that world still existed, Carney would have been less likely or less eager to reduce tariffs on Chinese EVs.

The change in policy also seems potentially indicative of the decisions Canadians leaders are now faced with — and a reminder that those decisions might be both difficult and risky. Note the divergent reactions from the premiers of Saskatchewan and Ontario to today's news. And consider that the U.S. Trade representative said the Canada-China agreement was "problematic" — though Trump seemed fine with it.

A lot obviously remains to be seen about the practical impacts of what Carney agreed to — and what else the Carney government might have in mind. But at the very least it seems like a reminder that the world as it was is not the world as it is.

Globally, EV adoption is on the rise, with EVs accounting for a quarter of new car sales. But electric vehicles' share of new car sales in Canada took a sharp dive in 2025, from 18 per cent in 2024 to around nine per cent in 2025. Reasons for the drop, according to analysts, include policy changes and the 100 per cent tariff on Chinese EVs imposed in 2024.

In China, EVs now make up more than 50 per cent of new car sales. And China manufactured more than 70 per cent of the world's electric cars in 2024, according to the International Energy Agency.

More broadly, China is being watched as a front-runner in the green economy, a leadership opportunity thought to be strengthened by the gap left by the U.S., which has walked away from decarbonization goals and international commitments under President Trump.

China is the world’s largest producer of solar panels, and according to a recent Ember analysis, its solar manufacturing capacity is now 65 per cent higher than what's needed for a global net-zero energy system by 2050, according to the IEA’s roadmap.

You can read more about the rise of China as an electrostate from my colleague Inayat Singh here.

Trump, speaking to reporters outside the White House, was asked about the Canada-China deal. The U.S. President didn’t sound too fussed.

"It's OK. That's what he should be doing. It's a good thing for him to sign a trade deal. If you can get a deal with China, you should do that," Trump said, referring to Carney.

Trump's comments come after several members of his administration — namely, Transportation Secretary Sean Duffy and Trade Representative Jamieson Greer — told media on Friday that Canada would come to regret the deal.

Today's announcement targets the largest source of Canada's CO2 emissions after oil and gas production: the transport sector. According to 2024 figures — the most recent available — transport accounted for 22 per cent of national greenhouse gas emissions.

The 49,000 Chinese EVs will only account for an estimated three per cent of Canadian car sales, according to Carney's morning announcement. So how big of an impact could that have on decarbonization in this country?

"On its own, the initial quota will not dramatically shift overall emissions, but it's an important step for the market," the Pembina Institute said in a statement reacting to the news.

The statement also said the accessibility of more affordable EVs "helps drive consumer uptake and build momentum for broader EV adoption, in turn, helping reduce emissions."

EVs are only as green as the electricity that powers them. Canada has a clean grid, relative to other countries — with hydro power producing 60 per cent of electricity coast-to-coast.

Alberta, Saskatchewan and Nova Scotia are the provinces with the most carbon-intensive grids, relying heavily on fossil fuels. Alberta and Saskatchewan have committed to net-zero electricity grids by 2050, while Nova Scotia aims to achieve this goal by 2035.

Reaction to the deal continues to pour in here in Alberta.

Andre Harpe, chair of Alberta Canola Producers, says a sleepless night awaiting news from Beijing was worth it.

"It's just really good to hear that the prime minister and his government have been listening to canola growers."

Harpe, who is also the chair of the Canadian Canola Growers Association, said industry leaders will need some time to analyze the agreement.

"It looks really good so far."

But, he warned, Canada still has more work to do on trade with China.

About a third of Canada's canola production was exported to the country in 2024, according to Harpe.

That's why he'll continue advocating for a zero per cent tariff on canola seed, which is expected to still have a 15 per cent levy on March 1.

Canada can help, too, by continuing to increase domestic canola use, he said.

"That is going to be primarily through the use of biofuel feed stocks, and we have to continue that conversation," said Harpe.

The president and CEO of the Windsor-Essex Chamber of Commerce said it’s too early to tell how the deal will impact the automotive capital of Canada.

Ryan Donally said the short-term impact on the region will likely be small, but the long-term effect could be felt in how it impacts the future of Canada-U.S. Trade negotiations.

But he added: "The risk wasn't caused by our government creating trade relationships with other countries in the world. The risk has been caused by repeated threats by the Trump administration that they will do their absolute best to reshore all North American production of vehicles to the United States."

Approximately 94 per cent of exports from the Windsor-Essex region go to the U.S., Donally said.

Eli Ridder here, a reporter based in Medicine Hat, Alta.

Nichole Neubauer, a farmer and educator in southern Alberta, is hailing the planned easing of canola tariffs as a win for Canadian producers.

"The impact, I think, will be widely felt across farms across Alberta," Neubauer said in an interview.

Neubauer said she looks forward to now being able to sell about 80 hectares (200 acres) of canola harvested by her family farm last year.

It also marks a positive shift in the relationship between the federal government and Western Canada's agriculture industry.

"This is a nice change in perspective where we're working together. I hope we can see more of this happen," she said.

"I believe Canada has the potential to become a powerhouse with the resources and the talent — the people — that we have in this country."

Earlier today, I spoke with Andreas Schotter, a professor of international business at Western University's Ivey Business School. Canada is "at the mercy of this president in this White House," he told me.

"We need to stay calm like a duck on the water, and underneath, we should paddle very fast…. That means we have to paddle towards the U.K., to the EU, to ASEAN countries and other nations where we can build relationships and increase trade so that we are not becoming dependent on another superpower,” he said. "But this is a big deal."

Carney, who has said he's focused on broadening Canada’s trade partnerships beyond the U.S., has made visits to the U.K. And met with EU officials. He’s also pitched Canada as a "reliable" partner to ASEAN countries — an alliance of Southeast Asian countries — amid U.S. Instability.

Canola tariffs to drop to 15% by March

Prime Minister Mark Carney has announced a major trade deal with China, which is expected to see Beijing slash its tariff on Canadian canola seed.

undercoat government minister Carney has called for a get together with canadian river premiers this afternoon, Manitoba premiere Wab Kinew said during a news scrum on Friday. 

For his part, Kinew said he has some questions for the prime minister that he will bring up at the meeting. 

The Canada-China deal will reduce tariffs on Canadian canola — likely welcome news for Manitoba. But one word, specifically, was missing, according to Kinew: pork. 

“Could be that it’s in there, but they didn’t mention it for whatever reason,” Kinew said. “These are the kinds of questions I want to see the prime minister answer.” 

Kinew has long asked the government to drop tariffs on Chinese vehicles in return for loosened levies on canola and pork.

Conservative Leader Pierre Poilievre took to social media to blast the deal, saying that Carney has flip-flopped on his stance towards China.

"Prime Minister Carney must explain how he has gone from saying China was Canada's 'biggest security threat' before the election to announcing a 'strategic partnership' with Beijing after the election," Poilievre wrote.

"His agreement will allow 50,000 EVs onto our streets jeopardizing our security and auto jobs. This follows him breaking his promise to 'negotiate a win' and get a deal with the U.S. By last July."

Addressing the dropped tariffs on canola, peas and seafood, Poilievre said there's no guarantee that the arrangement is permanent and criticized a lack of movement on pork tariffs.

---

---