Dear Focus Reader,

This week, Canadian Prime Minister Mark Carney capped a landmark visit to Beijing by announcing what Ottawa called a historic pivot in Canada–China ties: a preliminary trade deal that cuts deeply into a years-long stalemate and slashes tariffs on Chinese electric vehicles in exchange for lower Chinese duties on key Canadian farm exports.

Under the agreement struck with Chinese President Xi Jinping and his leadership team, Canada will allow up to 49,000 Chinese EVs annually at a reduced tariff of 6.1%, down sharply from 100% under previous policy, while Beijing has agreed to bring canola seed tariffs down from roughly 84% to about 15%, along with easing duties on other Canadian agriculture like lobsters and peas. The two sides also agreed in principle to expand cooperation in energy, agri-food, and finance, and to restore visa-free travel for Canadians to China.

The deal marks the first official visit by a Canadian prime minister to China in nearly a decade and reflects Ottawa's growing drive to diversify trade beyond the United States, which is still Canada's largest partner, amid what Carney called "new global realities" and "trade disruption."

Canada's strategic shift comes at a time of mounting global criticism of U.S. President Donald Trump's handling of international relations. In recent weeks, Trump has renewed controversial rhetoric and actions aimed at asserting American control over strategic territories such as Greenland, framing it as necessary to deter Russian or Chinese influence, despite firm opposition from Denmark and NATO allies. It also follows a controversial U.S. operation in Venezuela.

China's top diplomat in the United States delivered a speech rebuking U.S. actions on Thursday, noting that "When China and the United States work together, the world fares well. But if we confront one another, the world would suffer." He also emphasized that Beijing is "sincere about developing China-U.S. relations," but will also safeguard China's own "principles."

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