After announcing a 'New World Order' and global trade restructuring yesterday, Prime Minister Mark Carney has secured a deal with Beijing that slashes tariffs on Chinese electric vehicles while providing some relief for Canadian canola farmers.

Announced following high-level meetings in Beijing with President Xi Jinping earlier today, the agreement allows up to 49,000 Chinese-made EVs to enter the Canadian market annually at a preferential tariff of just 6.1% — a steep reduction from the 100% duty imposed in 2024 in alignment with U.S. policy.

BREAKING: Mark Carney slashes Canada's 100% tariff on Chinese EVs and announces that up to 49,000 Chinese electric cars will be imported into Canada with only a 6.1% tariff.

In return, China has agreed to slash tariffs on canola imports from 84% to 15% by March 1. pic.twitter.com/y48nqTWE8O

— Harrison Faulkner (@Harry__Faulkner) January 16, 2026

In exchange, China has committed to lowering its retaliatory tariffs on Canadian canola seed from a combined rate of approximately 85% to around 15% by March 1.

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Additional relief includes the removal of duties on canola meal, lobster, crab, and peas through at least the end of the year, potentially unlocking billions in export opportunities for Canadian producers.

Carney hailed the arrangement as a pragmatic step toward diversifying trade away from over-reliance on the United States, describing it as part of a broader strategic partnership that reflects the “world as it is, not as we wish it to be.”

The announcement immediately drew criticism from Ontario Premier Doug Ford, who warned that the concessions hand China an immediate foothold in Canada's auto market “at the expense of Canadian workers.” In a strongly worded statement, Ford decried the agreement as “lopsided,” arguing it invites a flood of cheap Chinese EVs without firm guarantees of reciprocal investment in Canada's economy, supply chains, or manufacturing base.

“Worse, by lowering tariffs on Chinese electric vehicles this lopsided deal risks closing the door on Canadian automakers to the American market, our largest export destination, which would hurt our economy and lead to job losses,” Ford said.

Make no mistake: China now has a foothold in the Canadian market and will use it to their full advantage at the expense of Canadian workers.

The federal government is inviting a flood of cheap made-in-China electric vehicles without any real guarantee of equal or immediate…

— Doug Ford (@fordnation) January 16, 2026

The premier called on Carney to urgently support Ontario's auto sector by scrapping the federal EV mandate and eliminating burdensome fees that inflate production costs and deter investment. Instead of importing foreign vehicles, Ford urged a focus on bolstering factories in Brampton, Oshawa, Ingersoll, and beyond — where assembly lines remain at risk.

While Prairie provinces hail the tariff relief as a long-overdue lifeline for beleaguered farmers and exporters, Ontario's auto sector views the influx of cheap Chinese EVs as a direct threat to livelihoods in Canada's manufacturing heartland.