Published on 17 Jan 2026

Canada inks trade truce with China in break from Donald Trump's agenda

China and Canada reached a wide-ranging agreement to lower trade barriers and rebuild ties, signalling a pivot in Canadian foreign policy and a break from alignment with Donald Trump’s trade agenda. Prime Minister Mark Carney hailed his strategic partnership with Xi, touting the importance of their ties in the face of a “new world order.” This was a veiled reference to the global instability caused by President Trump’s foreign policy swings and disruptive trade agenda. Dylan Loh, an associate professor at NTU, called Carney’s comments an endorsement of China and an indictment of the US. “I won’t go so far as to say it’s a break with the US, but it will certainly displease Trump,” he said.

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