A day after US President Donald Trump warned of imposing heavy tariffs on Canadian goods, Prime Minister Mark Carney said Canada has no intention of pursuing a free trade agreement with China. He rejected claims that Ottawa is moving closer to Beijing and stressed that Canada remains bound by its commitments under the US–Mexico–Canada Agreement (CUSMA).

Carney said Canada’s recent talks with China focused on resolving specific trade disputes arising from retaliatory tariffs, not opening broader market access. He noted that CUSMA requires Canada to notify the US and Mexico before pursuing trade agreements with non-market economies.

Trump had earlier threatened to impose 100 per cent tariffs on Canadian goods if Ottawa moved ahead with a China trade deal, accusing Beijing of undermining Canada’s economy. While Trump later softened his tone towards Canada, he continued to criticise China and warned against Canada becoming a gateway for Chinese goods into the US.

The comments come amid ongoing trade tensions and a broader diplomatic rift between Trump and Carney, including disagreements over China policy and global geopolitical issues.