Canada and China announced a formal reset of their strategic partnership on January 15, 2026, in a joint statement following high-level talks in Beijing. The move comes amid intense pressure from the second Trump administration, which imposed steep tariffs on Canadian goods 25% on steel/aluminum, 10–20% on other exports and repeatedly threatened further economic measures unless Ottawa aligned more closely with canada US positions on trade, defense spending, and China policy.
Prime Minister Mark Carney and Chinese Premier Li Qiang described the reset as a “pragmatic recalibration” aimed at stabilizing bilateral ties, expanding trade in critical minerals, clean energy, and agriculture, and resuming high-level dialogues suspended since the 2018–2021 Huawei/Meng Wanzhou crisis. Key outcomes include:
Ottawa hopes the move will buy breathing room, diversify export markets, and shield the economy from further US penalties while preserving core alliances.
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