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Canadian Prime Minister Mark Carney mentioned Sunday that Canada has no plans to pursue a free commerce cope with China, pushing again towards President Trump’s menace to slap 100% tariffs on Canadian items.
Carney mentioned Canada’s current settlement with China solely rolled again tariffs in a couple of sectors that had been hit in recent times and didn’t quantity to a free commerce deal. He famous that beneath the U.S.–Mexico–Canada Settlement, Canada has dedicated to not pursue free commerce agreements with nonmarket economies with out prior notification.
“We’ve no intention of doing that with China or another nonmarket financial system,” Carney mentioned. “What we’ve got performed with China is to rectify some points that developed within the final couple of years.”
Carney made his first official go to to China earlier this month as he and Chinese language President Xi Jinping work collectively to forge an improved bond between their international locations. The leaders reached an settlement that might permit as much as 49,000 Chinese language electrical automobiles to enter the Canadian market at a decrease tariff price of 6.1%, Carney’s workplace mentioned.
US TRADE REP SHRUGS OFF WORLD LEADERS’ SWIPES AT TRUMP AMID DAVOS BACKLASH
Canada Prime Minister Mark Carney delivers a speech on the World Financial Discussion board in Davos, Switzerland on Tuesday, Jan. 20, 2026. (Sean Kilpatrick/The Canadian Press through AP, File)
In 2024, Canada matched U.S. commerce coverage by imposing a 100% tariff on Chinese language electrical automobiles and a 25% tariff on metal and aluminum. China retaliated with 100% duties on Canadian canola oil and meal and 25% tariffs on pork and seafood.

President Donald Trump addresses a gathering of world enterprise executives on Jan. 21, 2026, in the course of the World Financial Discussion board in Davos, Switzerland, amid ongoing diplomatic friction relating to his proposal to accumulate Greenland from Denmark. (Chip Somodevilla/Getty Pictures)
Trump issued his tariff menace in a social media put up, warning that if Carney “thinks he’s going to make Canada a ‘Drop Off Port’ for China to ship items and merchandise into the USA, he’s sorely mistaken.”
TRUMP WARNS CANADA OF 100% TARIFFS IF IT BECOMES CHINA’S ‘DROP OFF PORT’ WITH NEW POTENTIAL TRADE DEAL
In one other put up on Sunday, Trump claimed Canada is being taken over by China.

Chinese language President Xi Jinping on March 23, 2019, in Rome, Italy. (Antonio Masiello/Getty Pictures)
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“China is efficiently and utterly taking up the as soon as Nice Nation of Canada,” Trump’s put up learn. “So unhappy to see it occur. I solely hope they depart Ice Hockey alone!”
The Related Press contributed to this report.

