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Prime Minister Mark Carney witnessed the signing of an agreement to co-operate more with China on clean and conventional energy the first day of talks in Beijing on Thursday, after years of difficult relations between the two countries. But at this point, none of the agreements included a resolution to tariffs.
Beijing also did not commit to buying more Canadian petroleum and liquified natural gas in the memorandum of understanding signed by energy and natural resources minister Tim Hodgson.
The MOU states both countries will strengthen talks between ministers in several areas, including oil and gas resource development, liquified natural gas along with liquified petroleum gas, and emission reductions. This energy MOU builds on previous agreements.
The energy agreement marks the start of ministerial-level talks, which a senior Canadian official said hasn’t happened for close to a decade. But so far, there are no new commitments for Canadian energy exports to Canada.
“They are very clear, they would like more Canadian products,” Hodgson told journalists.
WATCH | China looking for trading partners that ‘don’t use energy for coercion,’ Hodgson says:
China is looking for trading partners that ‘don’t use energy for coercion,’ Hodgson says
Minister of Energy and Natural Resources Tim Hodgson, who took questions alongside Industry Minister Mélanie Joly during a trip to China, did not offer specific details when asked about potential energy exports to China but said officials there are looking for reliable partners and ‘want more of what we’ve got.’
Carney’s delegation of ministers also signed several other agreements to boost exports of Canadian pet food to China and increase tourism between the two countries. China and Canada renewed an agreement to combat crime, including child sexual exploitation, transnational organized crime and money laundering.
At the opening of a meeting between Carney, the Canadian delegation and Li Qiang, China’s premier, Carney said teams in both countries have been working in recent months “to address some specific issues that have built up over time” and to “put in place the foundation for the new strategic partnership between” Canada and China.
The progress made in recent months, Carney said, will help set Canada and China up “for the new world order.”
The prime minister went on to say that in working together, the two countries will be able “to create greater stability, security, sustainability and prosperity for all of our peoples.”
PHOTOS | Carney’s China trip in photos:
Earlier Thursday, Foreign Affairs Minister Anita Anand said talks in Beijing between Canadian and Chinese officials — aimed at persuading China to lower tariffs on pork, canola and seafood — have been productive.
Carney is under pressure back home to resolve the trade dispute while visiting China, as part of the first official visit from a Canadian prime minister since 2017.
China imposed the tariffs last year in retaliation for Canada hitting China with tariffs on electric vehicles, steel and aluminum.
“The conversation has been productive,” Anand said on Wednesday about attempts to resolve the trade irritant. “The negotiations are still continuing.”
Years of diplomatic tension
Saskatchewan Premier Scott Moe joined Carney for some of his visit in Beijing, raising expectations that some sort of a deal could be reached.
Ahead of the visit, a Canadian official who spoke on the condition they not be named, said the government expects to make progress, but may not secure a “definitive elimination” of China’s “unfair” tariffs.
Carney is in China as part of his effort to move past years of diplomatic tension with Beijing and double non-U.S. exports over the next decade.
The prime minister held a flurry of meetings with business leaders on Thursday morning, including with Contemporary Amperex Technology, a major Chinese multinational company that makes batteries for electric vehicles.
The government isn’t saying what options are on the table to try and resolve the trade irritant of the tariffs on agricultural products like canola and seafood.
Anand met with Chinese Foreign Minister Wang Yi for a bilateral meeting Thursday in Beijing’s Great Hall of the People.
Yi described Carney’s visit as a turning point, and commended Canada’s efforts to improve relations between Canada and China.
Yi also said Beijing is willing to strengthen communication, enhance trust and remove obstacles to promote smoother relations between the two countries.
WATCH | What’s at stake as Canada looks to revive relationship with China:
Carney also met with state-owned energy company, China’s National Petroleum Corporation.
Part of the government’s plan to diversify trade away from the U.S. is to try and export more petroleum and liquified natural gas to markets in Asia, including China, a Canadian official said.
Carney also met with Zhao Leji, chairman of the standing committee of the national people’s congress. Through a translator, Zhao said China’s President Xi Jinping will have an in-depth discussion with Carney on Friday. He said China is ready to move forward on their strategic partnership.
Carney said he was “heartened by the leadership” of Xi, and the speed at which the relationship has progressed in recent months.
The prime minister said it sets the stage for Canada and China to be strategic partners on areas including energy and people-to-people ties.
