U.S. Senator Urges Canada to Exercise Caution on Deals With China

A U.S. senator said Canada should be cautious when making agreements with China's government as the country prepares to accept more Chinese-made electric vehicles. Michigan Democratic Sen. Elissa Slotkin said the caution remains necessary even though Canada-U.S. ties are strained.

Slotkin spoke in an interview that aired Sunday morning. "I understand that Canada is looking elsewhere and trying to diversify," Slotkin said in the interview on Rosemary Barton Live. " Slotkin is attending the 2026 Global Progress Action Summit in Toronto this weekend.

Slotkin said the issues involved national security and not just economic security. She and a Republican senator from Ohio introduced a bill that would ban the import, sale and operation of vehicles manufactured in China. Over the last decade, China has passed a series of national security and intelligence laws that oblige Chinese companies to co-operate with the government when asked.

In January, Prime Minister Mark Carney met with Chinese President Xi Jinping in Beijing and secured tariff relief for Canadian agricultural sectors. In exchange, Canada agreed to allow 49,000 Chinese-made EVs into the country at a reduced rate of 6.1 per cent.

Public Safety Minister Gary Anandasangaree said in February that Ottawa would put safeguards in place to prevent the vehicles from transmitting information back to China.

Mexican officials continue to work on the North American free trade agreement ahead of a July 1 deadline. The three countries must approve a renewal or signal their intention to exit the pact by that date. A former U.S. trade representative noted the pact does not disappear if the countries fail to reach an agreement by then.

"What happens is this agreement continues on its 16-year course," the former trade representative said. " Canada's chief trade negotiator said in April that the July 1 date should not be viewed as a hard deadline. The Americans have noted ongoing irritants with Canada, including American booze bans and the federal government's "Buy Canadian" policy that prioritizes Canadian products and workers in contracts worth $25 million or more.

When asked about Canada's leverage, the former trade representative pointed to steel, aluminum and energy as well as rules that apply to digital and technology companies. Slotkin said her state is watching how the Canada-U.S. trade relationship evolves but does not like the decision to let Chinese vehicles into Canada.

"And so we're struggling for the first time in a long time being on different pages on international trade issues," she added. Slotkin acknowledged the relationship is strained but said several senior American politicians still care about the two countries' ties.

"This is a tough moment in time, but it's not the last moment in time," Slotkin said.