In a significant diplomatic overture, a Canadian parliamentary delegation has returned from China, where discussions centred on enhancing bilateral relations and potential trade agreements took place. Senator Clement Gignac, co-chair of the Canada-China Legislative Association, alongside Liberal MP Zoe Royer, engaged with Chinese officials from March 14 to 21, 2023. Their talks included China’s request for Canada to support its bid to join the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), a major trade pact.
Diplomatic Engagement and Trade Aspirations
During their visit, Gignac and Royer met with leaders of the National People’s Congress, emphasising the importance of fostering closer economic ties between Canada and China. Gignac noted a marked improvement in the atmosphere compared to previous encounters, attributing this shift to Prime Minister Mark Carney’s efforts to recalibrate Canada-China relations, which had soured dramatically in 2018 following the Huawei executive Meng Wanzhou’s arrest in Vancouver.
“There’s a completely different tone this time,” Gignac remarked. “It was a warm welcome, and there is a clear desire from them to visit Canada more frequently.” He also revealed that a Chinese parliamentary delegation is slated to visit Canada later this year, further signalling a thaw in relations.
CPTPP Membership: A Key Point of Discussion
Central to the discussions was China’s aspiration to gain entry into the CPTPP, a trade agreement that has gained traction following the United States’ withdrawal from the Trans-Pacific Partnership (TPP) in 2017 under Donald Trump. The CPTPP, which currently includes Canada, Japan, and Australia among its signatories, has become an appealing prospect for nations beyond the Pacific region, with the United Kingdom having joined in December 2024 and the European Union expressing interest.
Gignac indicated that the Chinese officials were keen to secure Canada’s backing for their CPTPP application, reminding them of Canada’s past support when China sought to join the World Trade Organization. “I am not part of the cabinet, so I cannot make commitments, but I sincerely hope Canada will support their application,” he stated.
Navigating National Security Concerns
The Canadian senator also highlighted the Chinese parliamentarians’ desire for clarity regarding which sectors of the Canadian economy are considered national security risks, particularly in light of Ottawa’s recent announcement regarding enhanced national security reviews for foreign investments in sensitive technology sectors. Gignac emphasised the importance of timely communication on these matters, suggesting that advance knowledge could prevent future complications.
While Gignac chose not to raise concerns regarding China’s human rights record, particularly its treatment of the Uyghur population in Xinjiang, he did advocate for the lifting of travel restrictions on Canadian MPs. He argued for reciprocity in diplomatic engagements, stating, “It’s crucial for us to normalise our relationship.”
A Changing Landscape for Canada-China Relations
The backdrop to this diplomatic mission is a complex one, with China having imposed sanctions on Canadian members of parliament following Canada’s accusations of genocide against the Uyghur community. Notably, Conservative MP Michael Chong, who has been vocal in his criticisms of the Chinese government, was among those affected by these sanctions.
However, signs of optimism are prevalent among business communities in both nations, which Gignac attributes to the renewed engagement between Prime Minister Carney and President Xi Jinping. “The tone from the top is very important,” he explained, noting how the recent high-level meetings have revitalised interest in trade between the two countries.
As part of a broader strategy to strengthen economic ties, Carney’s recent agreements with China included commitments for Canada to import a significant number of Chinese electric vehicles, while Beijing agreed to reduce tariffs on Canadian products such as canola and seafood. This cooperation is expected to further bolster Canada’s economic landscape.
Why it Matters
The evolving relationship between Canada and China is crucial not only for the two nations but also for the global trade landscape. As both countries navigate their respective interests and security concerns, the potential for renewed economic partnerships could reshape trade dynamics in the Indo-Pacific region. The outcome of these discussions may have lasting implications for trade policy, economic growth, and international relations, particularly as nations seek to balance cooperation with the challenges posed by differing political ideologies.