China’s ambassador to Canada, Cong Peiwu, expressed a desire for improved relations between the two countries, noting that strained relations are not ideal. Chinese officials have outlined their demands for better relations, including Canada accepting responsibility for causing diplomatic strain and not recognizing an independent Taiwan. While tensions are high between the two countries, there may be practical reasons for seeking better cooperation, despite the challenges of finding common ground that won’t upset the Canadian public or the U.S. government. Some experts suggest that Canada could leverage Beijing’s priorities to its advantage, such as by agreeing to export small amounts of liquefied natural gas to help reduce global carbon emissions.
In an effort to improve relations, Foreign Affairs Minister Mélanie Joly has engaged in high-level talks with her Chinese counterpart, Wang Yi. However, Beijing’s demands for improved relations may pose challenges for Canada, particularly in finding areas of mutual cooperation that do not contradict Canadian values or upset key allies like the U.S. and Europe. Canadian businesses are facing hurdles in China, with concerns about arbitrary detainment of staff and market share losses to competitors from other countries. Despite these challenges, bilateral trade between Canada and China has continued to grow, prompting the need for Canada to reassess its approach to maintaining a functional relationship with China.
The detention of Canadians Michael Kovrig and Michael Spavor by China has strained relations further, leading to a more assertive posture from China on the world stage. The growing trade relationship between China and Russia, amidst tensions in Ukraine, has also raised concerns. The U.S. has taken a more cautious approach in engaging with China, focusing on human rights and trade issues. However, recent high-level meetings between the Biden administration and Chinese counterparts have raised hopes for improved relations, a trend that has been mirrored by European and Australian allies.
There are calls for Canada to engage with China on security issues in the Indo-Pacific region and to confront Chinese actions that undermine international boundaries, particularly in the South China Sea. At the same time, Canada should continue to support Taiwan, with agreements signed on various issues and potential opportunities to help Taiwan enter a Pacific Rim trade bloc. Liberal MP John McKay has advocated for Canada to take a firmer stance on Taiwan to uphold its values, even if it means risking economic interests. Despite federal government posturing, China has been reaching out to other levels of government in Canada, such as Quebec Premier François Legault, in an attempt to rebuild relationships.
The Canada China Business Council has warned that Canadian industry is losing ground in China to competitors from other countries, calling for pragmatic diplomacy to address the challenges faced by Canadian businesses. As Canada navigates its relationship with China, experts highlight the need for engagement on various issues, such as security in the Indo-Pacific region and transnational threats like the flow of fentanyl. While relations between the two countries remain tense, there are opportunities for cooperation that could benefit both parties, provided that strategic and practical considerations are taken into account. In the midst of shifting geopolitical dynamics, Canada must carefully navigate its relationship with China while upholding its values and interests on the global stage.