Carney says meeting with Xi marks turning point in Canada-China relationship

“We now have a turning point in the relationship, a turning point that creates opportunities for Canadian families, for Canadian businesses and Canadian workers, and also creates a path to address current issues,” he told reporters.

Carney and Xi spoke for nearly 40 minutes on Friday afternoon on the sidelines of the Asia Pacific Economic Cooperation summit in Gyeongju, South Korea. 

The prime minister said he accepted Xi’s invitation to visit China, though he gave no indication of when that may happen. He is expected to travel to the country when it hosts the APEC summit next year.

The last visit by a Canadian prime minister was in 2017— also the last time the leaders of the two countries held an official meeting. 

In a brief statement as the meeting began, Carney applauded the constructive engagement on both sides in the last several months. 

“Distance is not the way to solve problems, not the way to serve our people with people-centred growth, as you have advocated for,” he said to Xi. 

Carney did not answer questions Friday evening about whether the meeting yielded any change in the trade relationship. 

Canadian canola producers, seafood exporters and pork farmers are dealing with steep Chinese tariffs in retaliation for the 100 per cent tariffs Canada imposed on Chinese electric vehicles, batteries and other goods last year. 

China’s ambassador in Ottawa recently said Beijing would drop its levies if Ottawa cancels the EV tariffs. 

An official statement about the meeting from the Prime Minister’s Office said the leaders directed their officials “to move quickly to resolve outstanding trade issues and irritants” and noted they spoke about sensitive issues including canola, seafood and electric vehicles.

Carney has overseen a shift in tone from the Trudeau government, which branded Beijing as a “disruptive global power” whose values don’t align with Canada three years ago in its Indo-Pacific strategy. 

Now, Canada has identified China as a strategic partner in a turbulent world as the government aims to rapidly increase exports to countries that are not the United States.

The relationship between Canada and China collapsed in 2018, when Canada arrested Chinese telecom executive Meng Wanzhou at the request of the United States. 

China responded by detaining two Canadian men, Michael Kovrig and Michael Spavor, detentions that Canada said were arbitrary.

In 2022, Xi angrily confronted former prime minister Justin Trudeau at the G20 summit and claimed his government was leaking information to media.

Canada’s concerns over foreign interference have dominated the relationship more recently. In January, a federal inquiry declared that “China is the most active perpetrator of foreign interference targeting Canada’s democratic institutions” at all levels.

The inquiry report said Beijing “poses the most sophisticated and active cyber threat to Canada,” citing social media disinformation campaigns. China has rejected these claims, saying they lack clear evidence and echo tropes about Chinese people as malicious actors.

In April, Carney called China “the biggest security threat” facing Canada. But he has changed his tone drastically since then, saying in September that said Canada could “engage deeply” with China on energy and basic manufacturing, and that Beijing is “very sincere and engaged” on climate change because it’s “a country run by engineers.”

Carney has said sensitive projects that touch on national security should be off-limits to China, and his government is advancing an Arctic foreign policy that is skeptical of Chinese research in the region, as it often comes with military applications.

China’s foreign ministry has said Beijing wants to build ties with Canada through mutual respect, noting the two have “a broad space for co-operation,” in an Oct. 17 statement.

Both Xi and Carney say they want to uphold the rules-based order and international trading system, though each country has a vastly different understanding of what that means.

China executed four Canadian citizens in early 2025. Beijing said at the time all four were dual citizens and had been rightfully prosecuted on drug charges. Abbotsford, B.C., native Robert Schellenberg remains on death row in China since 2019.

Ottawa participates in naval exercises in the Taiwan Strait meant to signal the area remains international territory — exercises that particularly annoy Beijing. 

Foreign Affairs Minister Anita Anand has said while engagement with Taiwan is not going to end, Canada still adheres to its One China policy.

“Diplomacy is not walking away from tough issues. Diplomacy is being able to have the conversation about Canadian interests and Canadian values,” she told the House foreign affairs committee Thursday, as MPs challenged her on calling China a strategic partner.

This report by The Canadian Press was first published Oct. 31, 2025.

— With files from Dylan Robertson in Ottawa