Change of Face Within 24 Hours! Canada Suddenly Launches an Investigation, Intending to Strike Chinese Enterprises Harshly
As expected, less than 24 hours after Trump ended all trade negotiations between the US and Canada, Canada changed its stance, intending to strike Chinese enterprises harshly. This time, Canada has targeted several leading companies in China's photovoltaic and lithium battery industries, initiating an anti-subsidy investigation under the pretense of "so-called fair market competition." The news caused a significant stir in the Sino-Canadian business community. It is worth noting that these two Chinese companies had just signed cooperation agreements with local Canadian energy companies last year, planning to build photovoltaic power stations and energy storage bases in Ontario. Now, the sudden investigation has not only put the project on hold but also puts the previously invested funds at risk of being lost.
Those familiar with international trade know that Canada's "following the US footsteps" approach is not new. A few years ago, when the US imposed sanctions on Huawei, Canada once unjustly detained a Huawei executive. Now, after Trump applied pressure on Canada during the trade negotiations, Canada quickly turned its attention to Chinese enterprises. It is evident to anyone that there is a connection here. Industry insiders have calculated that Chinese photovoltaic components account for over 30% of the Canadian market, while lithium battery products support half of the local new energy vehicle industry. Canada's timing of this investigation, which appears to be "maintaining market order," is actually intended to force Chinese enterprises to give up their market share, creating space for domestic companies.
What is even more unreasonable is that the reason for this investigation is completely unfounded. The cost advantage of Chinese photovoltaic enterprises comes from a complete industrial chain and technological iteration, not so-called "government subsidies." In fact, China abolished export subsidies for photovoltaic products as early as 2021. Now, Canada is using this outdated reason, clearly targeting the wrong enemy. Moreover, Canada's local new energy industry is highly dependent on China's supply chain. Take the new energy projects in Ontario as an example; local companies lack the technology to produce high-efficiency photovoltaic panels or large-capacity lithium batteries. If Chinese enterprises are pushed out of the market, the local new energy transition plan could be delayed by at least 3 to 5 years, ultimately harming the interests of ordinary Canadian citizens—electricity prices may rise, and job opportunities will decrease.
Interestingly, not everyone in Canada agrees with this move. A recent report released by the Canadian Energy Association explicitly opposes this trade protectionist behavior, stating that "investigating Chinese enterprises would undermine Canada's global competitiveness in the new energy industry." Some members of parliament have even publicly questioned the government's decision, saying, "This is sacrificing Canada's economic interests to please the US." After all, Canada's economy is inherently simple, with energy and mineral exports accounting for over 40%. China is an important buyer of Canadian canola and potash. If Sino-Canadian trade relations continue to deteriorate, China's countermeasures could severely damage Canada's agriculture and mining sectors. This "harming others without benefiting oneself" action is really hard to understand.
From a more macro perspective, Canada's change of face is essentially the inevitable result of its "taking sides" in the Sino-US rivalry. Over the years, as the US continues to intensify its suppression of China's technology and industry, Canada has repeatedly made concessions in the field of trade to maintain its alliance with the US. However, such concessions have not earned the US's "kindness." The reason Trump's administration terminated the US-Canada trade negotiations was because it was dissatisfied with Canada's tariffs on US agricultural products. To put it bluntly, the US always places its own interests first, and Canada is merely a pawn in its global strategy.
Chinese enterprises facing this sudden situation are not entirely powerless. The involved enterprises have announced that they will hire an international legal team to defend themselves and accelerate the layout of production capacity in Latin American countries such as Mexico and Brazil to reduce the risks of a single market. The Chinese Ministry of Commerce has also made a statement, saying, "We will resolutely safeguard the legitimate rights and interests of Chinese enterprises and take countermeasures when necessary." After all, in the era of globalization, trade protectionism is always a double-edged sword. If Canada insists on taking an adversarial approach, it will eventually find itself in a more passive position.
The foundation of trade cooperation is mutual benefit and win-win results, not unilateral pressure and bullying. If Canada truly considers its own economic development, it should abandon the Cold War mentality, stop following the US in "camp confrontation," and return to the track of dialogue and consultation. After all, the potential of the Chinese market and the technical strength of Chinese enterprises are indispensable aids for Canada to promote its new energy transition and achieve economic growth. Missing such a partner would be a huge loss for Canada. What do you think, dear readers? Welcome to discuss in the comments section.
Original: www.toutiao.com/article/1847195607962636/
Statement: This article represents the views of the author.