Federal government commits to public consultation on potential trade deal with China

nationalpost.com
By Marie-Danielle Smith
Dec. 14, 2016

Canada is committing to public consultations on a potential free trade deal with China, and government officials from both countries are set to hold a first meeting early in 2017.

According to Trade Minister Chrystia Freeland’s office, consultations - including online submissions from the public - will be “integral” to assessing whether “sufficient economic interest” exists to pursue a negotiation with China.

“We will take a step-by-step approach, and we look forward to hearing directly from Canadians on this issue,” said Freeland’s press secretary Alex Lawrence. He said in an email the government will welcome views “in any form,” including in writing, online and in person.

A response to an order paper question tabled in parliament Monday confirms the government expects a “first face-to-face meeting” in “early 2017.” Lawrence didn’t confirm a date but said officials would meet “as the need arises.”

Canada and China announced they were pursuing exploratory trade talks - a more-preliminary step than formal negotiations - Sept. 22, when Chinese Premier Li Keqiang visited Ottawa mere weeks after Prime Minister Justin Trudeau had visited Beijing.

Although Canadian attitudes towards an agreement with China are shifting, there is still considerable skepticism.

An Asia Pacific Foundation poll conducted by EKOS Research Associates during the summer found 46 per cent of Canadians surveyed were in favour of a deal with China, but 46 per cent were not.

Those figures, based on a survey of just over 3,500 people in June and July, compares favourably to 36-per-cent support and 50-per-cent opposition in a similar 2014 survey.

China is already Canada’s third-largest trade partner, and is set to overtake the United States as the world’s biggest economy. Expanding economic ties is part of an effort to make sure Canada doesn’t fall behind.

But some fear the Chinese would gain disproportionate advantage from free trade, especially with Canada’s natural resources, or continue to use non-tariff barriers to manipulate access to Canadian products - such as restrictions on canola, a situation that has been resolved for now, through to 2020.

Meanwhile, Canada had signed the Trans-Pacific Partnership, a deal including the United States, Japan and 10 others seen as a geopolitical counterweight to the Chinese economy.

Japan became the first to formally ratify the agreement last week, but with U.S. president-elect Donald Trump promising to scrap the deal, Canada hasn’t committed to doing the same. Without the U.S., the TPP is expected to die, so some want to see a bilateral renewal of negotiations between Canada and Japan.

On that front, “decisions on next steps will be made jointly,” Global Affairs Canada said in the response tabled in parliament Monday.