This Weekend, during a visit from Japanese PM Shinzo Abe, China was top of mind for Canada PM Justin Trudeau. The two met regarding further business relations of the respective countries. Indeed respective PM of each country met to discuss Canada Japan Trade.
It was a golden chance to establish strong trade relationship between Japan & Canada but Trudeau was focusing somewhere else.
While being in talks with Abe, Trudeau spoke out the diplomatic relationship between “Canada & China”. But, later on, he quickly corrected himself. Not just that, after sometime Canadian PM accidentally referred to Japan as China.
Talking about trade, China just cancelled canola import from Canada. They claimed the Canadian product contaminated. China buys around 40% of Canada’s canola export. Therefore, it blows the canola farmer of Canada.
Both Japanese and Canadians face detention & jail in China. Abe and Trudeau discussed selling some canola to Japan. Thus the talks were all about Canada Japan trade relationship. According to Trudeau, both countries engage with China economically. Thus both have to be wary of China’s attempt.
Canada Japan Trade – Convincing China:
Abe talking softer approach said Japan agrees with Canada in respect of human rights and rule of law. But, trying to foster international ties with China is also important. Remarkably, he was quite frank about the challenges.
Through a translator, he said, “Canada and Japan are facing challenges when it comes to China. The global community must unite and convince China to play a constructive role.”
Taking the countries like the US and China in consideration it’s actually an increasingly hard goal. These two countries test the rule-based system such as the World Trade Organisation. Particularly, the leader of both countries doesn’t pay heed to rules.
Trudeau acknowledged, “Obviously with issues like the rise of China and the approach that the United States has taken recently, there are real challenges.”
During the meeting, Trudeau & Abe extensively hailed the benefits of the Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP), the new trade deal for 11 Pacific Rim nations. Notably, the US backed out of the deal at last minute.
Canada Contrasting US:
Trudeau said increasing beef and pork exports to Japan benefited Canada thus Canada “stands in stark contrast,” to the approach of the US.
Japan PM Abe met Trump in Washington before visiting Ottawa. Abe said, “I think that we share the same position, but we should co-operate together so that the United States will be encouraged to be the leader of the liberal free world and we will co-operate with Canada.”
Shinzo Abe also went to Europe and urged EU & British lawmakers to avoid no-deal Brexit.
In June, Japan will host the G20 summit. Also, In August, Abe and Trudeau will meet again at the G7 gathering in France.
Noticeably, both the Canada PM & Japan PM signed two memorandums. This includes more investment in AI & robotics between two countries.
US Mexico Agreement – Final Terms Within 90 Days
US Mexico migrant conflict is increasing day by day. Mexico now agreed to take some unrivalled steps to curb the number of migrants seeking refugee status from the US. The nation did so as threatened by US President Trump’s trade tariffs. Here we will discuss a little about US Mexico Agreement.
Trump informed people about the deal via Twitter. He suspends the tariffs indefinitely only if Mexico curbs the migrants’ number. He also threatened to impose 5% import duties rising every month until or unless Mexico takes action against asylum seekers coming to the US.
Astoundingly, the tariffs will keep on increasing each month until it reaches 25% in October.
On Monday, tariffs will come to effect. Mexico Foreign Secretary Marcelo Ebrard also confirmed the deal via Twitter.
The deal took place after three days of negotiations. Washington wants Mexico to crackdown the asylum seekers’ numbers. Mexico is also one of the largest trade partners of the US just after Canada and China. But the country is also in trade between China and Canada.
In this US Mexico agreement, Mexico agreed to take decisive action in tackling human smuggling networks. The nation will also deploy National Guard throughout the country from Monday, pledging up to 6,000 additional troops along Mexico’s southern border with Guatemala.
On the other hand, the US agreed to expand the program of sending asylum seekers back to Mexico whilst they awaited reviews of their claims in return. America would also work to accelerate the adjudication process.
Noticeably, both the nations pledged to strengthen bilateral co-operation over border security with information sharing.
Reportedly, the decision will still take place regarding the declaration. They will announce the final terms of US Mexico agreement within 90 days after the acceptation.
China Canada Relations – Trudeau Wants to Meet China President
Canada PM Justin Trudeau will meet Chinese President Xi Jinping. China Canada relations are getting bitter day by day. Thus, Trudeau wants to meet Xi Jinping directly.
China Canada relationships are sour since December. Canadian authorities as per the US extradition request detained Huawei CFO Meng Wanzhou. The incident took place in Vancouver.
In addition, China retaliated by detaining a Canadian businessman Michael Spavor. The nation also detained a Canadian diplomat Michael Kovrig. He was in China to work for a non-government organization.
Recently, China announced to increase the inspection of Canadian pork products. Previously, the country also stopped the import of Canadian canola seeds.
Trudeau was in the UK and France for D-Day anniversary ceremonies. In Normandy, France, Trudeau informed about his forthcoming meeting in Japan.
He said, “I look forward to being at the G20 in a few weeks as an opportunity to engage with a number of world leaders with whom we have either good working relationships or challenges. The opportunity to engage with the Chinese president directly is certainly something that we are looking at. The continued detention of two Canadians in an arbitrary manner by the Chinese government is of utmost concern to us.”
Further, he said, “Their actions on canola, their issues around other products as well is of concern. We are going to highlight the processes and the engagement that Canada has with the world and the way China should engage with the world needs to remain, following the rules, principles and values that we’ve all agreed to.”
Noticeably, PM Trudeau was in continuous pressure from opponents conservatives to meet Xi Jinping.
Earlier, Foreign Affairs Minister Chrystia Freeland also tried to meet Chinese Foreign Minister Wang Yi. But, somehow she failed to do so.
Also, the Chinese Ambassador will soon be appointed to a new post. Thus, now, neither China nor Canada has a permanent ambassador to look forward into the issue.
Significantly, the G20 summit will take place at the end of the month in Osaka.
So, this was everything about Trudeau’s will to meet Xi Jinping for better China Canada Relations.
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First Hurdle Of USMCA Removed – Tariffs & Levies Lifted
Finally, US Canada reached a deal for lifting tariffs on steel & aluminium. Both the sides are agreed to lift the tariffs within two days. the new agreement indicates the ratification of USMCA signed in 2018.
Both the nations announced that 25% tariffs on steels and 10% tariffs on aluminium import will end in 48 hours. Expectedly, the US & Mexico will make the same announcement soon.
The two countries will regularly inspect imports. If one of the nations is buying too much then after the consultation, the nation can again imply the tariffs.
But, the agreement does not include information of quotas related to purchasing of steel & aluminium.
Notably, the tariffs were the main obstruction in permitting the US-Mexico-Canada Agreement (USMCA) signed in 2018. Now, it replaced the North American Free Trade Agreement (NAFTA).
Along with that, Mexico & Washington also announced an agreement to lift levies on steel and aluminium. Three of the countries will ask their individual government to approve the USMCA.
After the US-China trade deal ended without any agreement. Now the US is looking forward to making a deal with closer nation.
The imposed tariffs were the foremost hurdle in the agreement of the three countries. US president Donald Trump loves the tariffs so much that he himself called him ‘tariff man’.
On Friday, Trudeau said, “These tariffs were harming workers and consumers on both sides of the border. As we look at moving forward with the new NAFTA, it didn’t make a lot of sense to continue to have tariffs on steel and aluminium between our countries.”
The Conservative Party expressed broad support for the text Canada signed last Nov. 30. There’s little reason to conclude it could not be ratified in Canada even if the government changes hands next fall, but Trudeau’s current Liberal government may prefer that the deal it negotiated be ratified on his watch.
Trump concluding from findings that US carmakers are unable to make much revenue for investing in R & D. However, the report is not published yet.
He said, “The lag in R&D expenditures by American-owned producers is weakening innovation and, accordingly, threatening to impair our national security.”
In addition, The White House is going to take more time of 6 months for trade talks with the European Union & Japan.
After the 6 months, the US will decide whether to involve in trade talks with EU & Japan or not.
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