Chinese President Xi Jinping and Canadian Prime Minister Mark Carney held their first formal talks since 2017 on Friday in South Korea, Chinese state media reported. Relations remain strained following a 2018 diplomatic crisis triggered by Canada’s arrest of a Huawei executive and China’s retaliatory detention of two Canadians.
However, both nations now face pressure from US President Donald Trump’s aggressive tariffs, despite a recent US-China deal to halve fentanyl-related duties to 10%. Trump maintains 47% average tariffs on Chinese goods and imposed an additional 10% on Canadian imports, ending all trade talks.
Carney warned APEC leaders, “The old world of steady expansion of rules-based trade… is gone,” stressing threats to shared prosperity. In July, Canada imposed 25% tariffs on Chinese steel, prompting Beijing to retaliate with 75.8% duties on Canadian canola, a vital export for the world’s top producer of the oilseed used in cooking oil, animal feed, and biodiesel.
Xi Engages Japan’s Premier Amid Regional Friction
Later, Xi will meet Japan’s first female premier, Sanae Takaichi, known for her hawkish stance on China, who recently moderated her rhetoric but still expressed concerns about military activities from China, North Korea, and Russia. In her first policy address, she announced Japan would allocate two percent of its GDP to defense this fiscal year, two years ahead of schedule.
However, China responded to Takaichi’s remarks, stating there are “serious doubts among Japan’s Asian neighbors and the international community” regarding Japan’s commitment to a defensive posture. During Trump’s visit to Japan, Takaichi emphasized the “unprecedented” security threats facing her country. She is a strong supporter of Taiwan and advocates for security cooperation with the self-ruled island.
Additionally, Japanese media reported that Takaichi would express grave concerns to Xi about China’s behavior, particularly regarding the Senkaku Islands, known as the Diaoyu Islands in China. She also plans to request the release of Japanese citizens detained in China and ensure the safety of Japanese expatriates.
“It could be a frosty get-to-know-you meeting,” said Yee Kuang Heng, a professor at the University of Tokyo. Xi has not congratulated Takaichi, given her reputation as a China hawk. However, Heng noted that both sides likely prioritize stability and will aim for a “mutually beneficial relationship based on common strategic interests.”
