
Canada has 'no intention' of free trade deal with China

Canada does not plan to pursue a free trade deal with China, said Prime Minister Mark Carney, after United States President Donald Trump threatened to add a 100% tariff on Canadian goods. Canada agreed to lower tariffs on Chinese electric vehicles earlier in January, in exchange for China doing so on Canadian canola products. “If Canada makes a deal with China, it will immediately be hit with a 100% Tariff against all Canadian goods and products coming into the U.S.A.,” Trump wrote over the weekend. “We have commitments under CUSMA not to pursue free trade agreements with non-market economies without prior notification,” Carney told reporters. CUSMA, also known as the United States-Mexico-Canada Agreement or USMCA, is a free trade agreement between the three countries that took effect in 2020. “We have no intention of doing that with China or any other non-market economy.” Under Canada’s agreement with China, Canada will allow up to 49,000 Chinese EVs to be imported with a tariff of 6.1%, down from the 100% tariff imposed alongside the U.S. in 2024. China will lower tariffs on Canadian canola seed from 85% to 15%. Canada also hopes to increase exports to China by 50% by 2030, it said. Trump had praised this agree







