The Canadian government has publicly expressed its desire to increase trade with China. In February, Canadian Prime Minister Stephen Harper conducted a well-known visit to a large population of Asian countries. And the focus of this visit is economic transactions. On July 6, Canadian Foreign Minister John Baird said in a press release: “A strong belief is that the Asia-Pacific region is sweeping through these exciting moments when coming, as a Pacific country in Canada, will become the main participant.” At present, Canadian Foreign Minister John Roger Baird is visiting Asian countries. One of the purposes of this trip to Asia is to deepen the trade relationship with Canada’s second largest trading partner, China.
Canada imports goods from China, the finished product constitutes a large part of Canada’s imports of goods. The largest single import category is mechanical electrical and electronic equipment – only in April, Canada has imported from China worth $ 1.7 billion in consumer goods. These consumer goods are mainly washing machines / dryers, DVD players and so on. In the same month, we also imported from China about 4.4 yuan worth of other consumer goods. Mainly toys and clothing and other commodities. Other major imports include plastic, rubber and rare earth metals (such as yttrium and cerium). These rare earth metals are mainly used in the manufacture of hybrid vehicles, plasma displays and portable computers.
In short, Canada’s main commodity exported to China is daily necessities and natural resources. In 2011, in Canada, exports of goods to China, “mineral” worth 4 billion Canadian dollars – accounting for 25 percent of the total export share, and wood and paper products, fish products, and including rapeseed Oilseeds were valued at $ 1.4 billion respectively. Therefore, China is also China’s major buyers of wood and paper products. In addition, China’s exports to China’s major commodities include nickel, copper and the increasing proportion of potassium carbonate in recent years. Potassium carbonate is mainly used in fertilizer manufacturing.
In simple terms, Canada wants to export goods to China is oil. “China is eager for crude oil, and every country in the world is the same – China is no exception – it is also hedging its own risk on crude oil because of the world’s major crude oil suppliers,” said Betcherman. There is so much uncertainty that if this relationship is formal, then in all the potential oil resources, Canada will be a very stable and reliable oil supplier.
At present, 90 percent of Canada’s energy products are exported to neighboring countries. In addition, Washington’s indecision on the “Keystone XL” oil passage makes the Habo government openly interested in delivering oil to Asia. “Keystone XL” can pass the oil from Alberta oil sands directly to Texas in Nebraska. China has already expressed interest in Canadian crude oil, given that the Asian power has invested billions of dollars in Canadian oil companies. The oil companies include Canadian oil sands, Athabasca Oil Sands and Penn West Energy. Sinopec, China’s state-owned enterprise, is a financial supporter of the Northern Gateway pipeline proposed by Enbridge. The Northern Gateway pipeline plans to deliver crude oil from Alberta to the port city of Kitimat in BC and then by ship to China.