Canada and China have agreed to extend a trade deal that gives Canadian farmers and seafood producers continued access to the Chinese market while allowing certain Chinese steel and aluminum products into Canada.
Trade Minister Maninder Sidhu announced Wednesday that the agreement will be extended until the end of 2028. The deal was originally set to expire at the end of this year.
The agreement took effect in March after Prime Minister Mark Carney visited Beijing in January. China removed tariffs on Canadian canola meal, peas, lobster and crab in exchange for greater access to Canada’s steel and aluminum markets.
Sidhu said the extension gives Canadian farmers, producers and fish harvesters more certainty and supports billions of dollars in export opportunities.
He also reported strong growth in Canadian exports to China since the deal began. Canola seed exports increased by 84 per cent, while canola meal exports more than doubled. Pea exports also more than tripled, and lobster exports rose by 57 per cent.
Canadian beef also returned to the Chinese market in January for the first time since 2021. Between January and August, Canada exported $363.2 million worth of beef to China.
Fisheries Minister Joanne Thompson said the extension provides greater certainty for lobster and crab harvesters and exporters. She added that discussions are continuing on other seafood products.
The announcement comes ahead of Carney’s planned visit to Shenzhen later this month for the Asia-Pacific Economic Co-operation summit.
Trade analyst Vina Nadjibulla said the extension removes a trade issue ahead of the visit and allows Canada to focus on attracting more Chinese investment.
She also noted that Canada’s trade relationship with China could affect its ongoing trade talks with the United States.
The federal government is working to increase exports to markets outside the United States as it faces growing uncertainty in global trade.
China is Canada’s second-largest single-country merchandise trading partner. Two-way trade between the countries reached $125.7 billion in 2025.
