Canada is working to dial down friction with both India and China even as it continues tense trade negotiations with the United States, where President Donald Trump has ramped up tariffs. Foreign minister Anita Anand, currently in New Delhi, said that maintaining a steady relationship with large economies is essential in today’s geopolitical climate.
“It goes back to being a sovereign country,” Anand told Bloomberg when asked how Ottawa balances its ties with Washington and Beijing. She added that “having a stable relationship with a major global economic player is very crucial in this geopolitical environment,” and emphasised that “Canada is going to approach the relationship with China guided by one principle, which is acting in the best interest of Canadians.”
Her trip covers New Delhi, Mumbai, Singapore, and Hangzhou, where she is meeting counterparts from India and China to reduce friction and encourage investment and trade. These diplomatic moves are being pursued cautiously to avoid provoking retaliation from Trump’s administration.
Under Prime Minister Mark Carney, Canada has shifted priorities toward economic stability and trade expansion. Anand said the government is following a consistent strategy of putting “workers and business first, with every country,” signaling a clear departure from earlier diplomatic approaches. Ottawa is also seeking relief from Trump’s duties on steel and aluminum by arguing that strong supply chains across North America are key to competing with China.
Relations with India have begun to thaw after a deep freeze in 2023, when talks on a small trade deal collapsed just before the government of then prime minister Justin Trudeau accused India of involvement in the killing of a Sikh separatist in Canada. Since Carney took office, both governments have restored diplomatic channels, named new envoys, and agreed to share intelligence on cross-border criminal networks. “In 2023 the relationship was at a standstill,” Anand recalled. “Here we are in October of 2025, two years later, and we have high commissioners in place and I’m travelling to meet with Minister Jaishankar.”
Anand and India’s external affairs minister S. Jaishankar issued a joint statement on Monday confirming they had reached an agreement to move forward. The plan includes restarting ministerial discussions on trade and investment “at an early date,” reviving the Canada-India CEO Forum, and organizing a high-level trade mission in early 2026. Anand said trade negotiations would resume once both sides finalized a roadmap to rebuild trust.
Meanwhile, ties with China remain complicated. Canada previously aligned with Washington in hitting Chinese electric vehicles, steel, and aluminum with tariffs under Trudeau, a policy that Carney has kept in place. Beijing retaliated by imposing heavy duties on Canadian pork, seafood, and canola, although it recently delayed a decision on a probe into Canadian canola exports. Western Canadian producers have urged Ottawa to scrap electric vehicle tariffs in exchange for unimpeded food exports to China.
Despite the disagreements, Anand said cooperation is still possible. She pointed out that Canada and China can work together on climate initiatives and that “many Canadian businesses” continue to operate in the Chinese market.
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