Canadian Prime Minister Mark Carney said on Saturday that his landmark meeting with Chinese President Xi Jinping marked a “turning point” in bilateral relations, signalling an effort to thaw one of the frostiest relationships between China and a Western nation in recent years.
The talks, held on the sidelines of the Asia-Pacific Economic Cooperation (APEC) summit in South Korea, were the first formal engagement between the leaders of Canada and China since 2017. They came as both countries are forced to navigate escalating trade tensions with U.S. President Donald Trump, who has intensified tariffs on both nations.
“This meeting marked a turning point in our bilateral relationship. We have now unlocked a path forward,” Carney told reporters following the session.
According to a Canadian government statement, the discussion covered a range of “sensitive” economic issues, including agriculture, seafood exports, and electric vehicles—all sectors that have been hit by trade restrictions over the past few years. Beijing’s lingering ban on Canadian canola, a major export, remains a particular point of contention.
Carney confirmed that Xi had invited him to visit China, a gesture widely interpreted as an effort to reestablish diplomatic and economic dialogue after years of deep mistrust.
While the meeting focused on trade and investment, Carney said he also raised issues that have long strained relations between Ottawa and Beijing—chief among them foreign interference in Canadian elections.
“It was important to have that discussion in order to get relations back on track,” Carney said. “We won’t build trust unless we can address the difficult issues directly.”
The prime minister’s remarks suggested that Ottawa is seeking a pragmatic path forward—one that acknowledges the complexities of dealing with China while protecting Canadian democratic institutions.
Canada–China relations deteriorated sharply in 2018 following the arrest of Huawei executive Meng Wanzhou in Vancouver on a U.S. extradition request. Beijing retaliated by detaining two Canadian citizens, Michael Kovrig and Michael Spavor, on espionage charges, sparking international condemnation.
Although those disputes were formally resolved, the political and economic fallout lingered. Both sides have since imposed tit-for-tat tariffs on agricultural products, seafood, and high-tech components, with China maintaining curbs on Canadian canola exports.
Carney’s meeting with Xi represents the first visible step toward normalization, analysts say. “This is a calculated but necessary thaw,” said a senior Canadian official familiar with the talks. “Neither side can afford another five years of silence.”
Carney’s diplomatic balancing act extended beyond Beijing. On the same day, he apologized to U.S. President Donald Trump for a controversial anti-tariff ad campaign that aired in late October, featuring the likeness of former President Ronald Reagan criticizing Trump’s trade policies.
The U.S. president responded by raising tariffs on Canadian goods by 10 percent, accusing Ottawa of “playing political games.”
“I did apologise to the president. The president was offended,” Carney acknowledged at a press briefing. “After all the noise of this week, Canada still has the best trade deal of any country with the U.S.”
Despite the tensions, Carney struck a notably calm tone, saying his government would not rush to restart trade talks. “We can spend our time watching Truth Social, worrying about the reactions of individuals,” he said. “We are staying calm. We’ll wait until they’re ready.”
The dual diplomatic challenges underscore Canada’s precarious position—caught between a protectionist Washington and an assertive Beijing. Analysts suggest Carney is seeking to chart a middle course, maintaining alignment with Western allies while reopening economic channels with China.
His conciliatory yet confident posture is reminiscent of his background as a former central banker—patient, measured, and data-driven. Yet, Carney also injected a dose of optimism into his remarks, drawing a light-hearted comparison between Canada’s diplomatic resilience and the Toronto Blue Jays’ pursuit of a World Series title.
“They take risks, they’re aggressive, and they’re a team,” Carney said with a smile. “And our Canada is taking risks, and we are a team. I will confess that I was looking at my phone during session two of APEC.”
Though few concrete agreements were reached, the symbolism of the Xi–Carney meeting may prove significant. For Beijing, reengaging with Canada could help counterbalance Western skepticism; for Ottawa, it offers an opportunity to revive exports and diversify trade beyond the U.S. market.
As Carney left Seoul on Saturday, he described the conversation as “frank but constructive,” adding that both sides “understand that stability benefits everyone.”
Whether the “turning point” he promised will endure remains to be seen—but for the first time in years, Canada and China appear ready to talk again.
