Dmytro Hubenko | Mahima Kapoor
DW with AFP and Reuters
16/01/2026
Chinese President Xi Jinping welcomed Carney after years of diplomatic tensions between Ottawa and Beijing, as both countries move to rebuild ties amid US tariff pressures.
Canada's Prime Minister Mark Carney, left, meets with Chinese President Xi Jinping at the Great Hall of the People in Beijing Both China and Canada are looking to strengthen trade ties amid Trump's tariffs
Image: Sean Kilpatrick/AP Photo/picture alliance
Ottawa and Beijing are forging a new strategic partnership which will yield "historic" gains for both nations, Canada's Prime Minister Mark Carney told China's President Xi Jinping on Friday.
Carney made the comments in Beijing while on a visit to rebuild ties with its second-largest trading partner after the United States.
"It is important to start this new strategic partnership at a time of division," Carney told Xi. He urged the nations focus on areas that can bring "historic gains" for both, such as agriculture, agri-food, energy, and finance.
"That is where I believe we can make immediate and sustained progress," he added.
Canada's Prime Minister Mark Carney sits for a meeting with Chinese President Xi Jinping at the Great Hall of the People in Beijing Carney's trip marks the first time a Canadian premier has visited Beijing since 2017
Image: Sean Kilpatrick/dpa/picture alliance
Xi welcomed Carney and his delegation to Beijing, saying Canada-China relations were on the mend after their last meeting at a summit in October.
"It can be said that our meeting last year opened a new chapter in turning China-Canada relations toward improvement," Xi told Carney.
"The healthy and stable development of China-Canada relations serves the common interests of our two countries," he said
Carney and Xi reach deal to reduce tariffs
After meeting in Beijing, Carney announced a preliminary deal with Xi that would see tariffs on products from both countries reduced, with Canada agreeing to cut its 100% tariff on Chinese electric cars in return for lower tariffs on Canadian farm products.
"By March the first, Canada expects that China will lower tariffs on Canadian canola seed. The combined rate of approximately 15%... this change represents a significant drop from the current combined tariff levels of 84%," the Canadian leader announced.
Carney added that Canada has agreed to allow up to 49,000 Chinese electric vehicles into the country, applying the most favoured nation tariff rate of 6.1%. "This is a return to levels prior to recent trade frictions, but under an agreement that promises much more for Canadians," he explained.
The government of former Prime Minister Justin Trudeau imposed a 100% tariff on Chinese electric vehicles in 2024, in line with similar penalties imposed by the US.
Carney also said that China will allow Canadian visitors to enter the country without a visa.
In response to media queries as to whether China was a more predictable and reliable partner than the United States, Carney said, "In terms of the way our relationship has progressed in recent months with China, it is more predictable, and you see results coming from that.
Canada and China edge closer amid Trump tariffs
Carney is the first Canadian prime minister to visit China since 2017.
Ties between the two nations had soured when Huawei's Chief Financial Officer Meng Wanzhou was arrested in Vancouver in 2018.
The tensions triggered retaliatory detentions, mutual tariffs and disputes over human rights and allegations of electoral interference.
Carney's trip comes after months of diplomacy to resolve earlier tensions, amid Ottawa's efforts to diversify trade amid tariffs from the US.
China, also hit by US tariffs, has been strengthening ties with the Group of Seven (G7) nations — traditionally in the sphere of US influence.
China has been strengthening its exports in markets other than the US. Beijing has been banking on trade to drive the economy amid a prolonged property slump and sluggish demand at home.
Edited by: Kieran Burke
Dmytro Hubenko Dmytro covers stories in DW's newsroom from around the world with a particular focus on Ukraine.
Mahima Kapoor Digital journalist based in New Delhi
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