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See all articlesDem Senator: US Outplayed in Canada-China Trade Deal
The U.S. got outplayed in the China-Canada trade deal, and the pact is a big failure that will hurt Americans economically, Sen. Brian Schatz, D-Hawaii, wrote on X.
"We just got absolutely rolled in this Canada–China deal. A stark foreign policy failure with domestic economic consequences," Schatz said.
"A stark foreign policy failure with domestic economic consequences. The most basic principle in politics and geopolitics is loyalty to friends. And we weren't just disloyal — we were hostile. So here we are," he added.
Canada will initially allow in up to 49,000 Chinese electric vehicles at a tariff of 6.1% on most-favored-nation terms, Canadian Prime Minister Mark Carney said after talks with Chinese leaders, including President Xi Jinping.
That compares with the 100% tariff on Chinese electric vehicles imposed under former Prime Minister Justin Trudeau in 2024, following similar U.S. penalties.
In 2023, China exported 41,678 EVs to Canada.
"This is a return to levels prior to recent trade frictions, but under an agreement that promises much more for Canadians," Carney told reporters.
He later said the quota would gradually increase, reaching about 70,000 vehicles in five years. Carney, in China for the announcement, said Canadians would also be allowed to travel to China visa-free.
Under the new deal, Carney said, Canada expects China will lower tariffs on its canola seed by March 1, to a combined rate of about 15% from the current 84%.
Canada also expects its canola meal, lobsters, crabs, and peas to have anti-discrimination tariffs removed from March 1 until at least year-end, he added.
The deals will unlock nearly $3 billion in export orders for Canadian farmers, fish harvesters and processors, Carney said.
Xi during his meeting with Carney on Friday said Beijing was willing to strengthen coordination "to jointly address global challenges."
U.S.-Canada trade talks have been on hold since October when President Donald Trump cut them off in anger over an anti-tariff ad produced by the Ontario government.