China May Use Green Tech as Leverage, Kovrig Warns, as Carney Highlights Climate Cooperation

China May Use Green Tech as Leverage, Kovrig Warns, as Carney Highlights Climate Cooperation

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Former Canadian diplomat Michael Kovrig is urging caution as Canada considers deeper cooperation with China on green technology to support net-zero goals, warning that Beijing could use increased reliance as leverage to further its interests, as it has done with the canola industry.

Kovrig’s comments come after Prime Minister Mark Carney said this week while addressing the Council on Foreign Relations think-tank in New York that Canada plans to work more with China in specific areas like climate, while keeping “guardrails” in other areas and leaving those that may involve national security “off to the side.”

Kovrig said taking a sectorial approach with China, which he called an “extremely challenging country to deal with,” is difficult, as the regime itself doesn’t take such an approach but rather “link[s] issues when it’s in China’s interest to do so” by using “leverage in one area to extract concessions in another.”

“We have to work with countries that are not easy to work with to try to address [global issues], but that doesn’t mean that we can count on the Chinese not to use, for example, green technology or climate change as a point of leverage for something else they get,” Kovrig said during a Sept. 24 interview with CTV News’ Vassy Kapelos.

“So the problem is that the Party-state will instrumentalize everything, and they are very challenging to negotiate with.”

Kovrig, who is now a think tank scholar, was detained in China in 2018 for more than 1,000 days along with fellow Canadian Michael Spavor as part of Beijing’s retaliation tactics for the arrest of Huawei executive Meng Wanzhou in Vancouver due to a U.S. extradition request.

During his Sept. 22 address to the Council on Foreign Relations, Carney said cooperating with China on climate issues could benefit Canada, citing Beijing’s advancements in green technology and Ottawa’s goal of reaching net-zero emissions.

“In my experience with China, they are, amongst other things, very sincere and engaged on climate,” Carney said.

“This is a country run by engineers—it’s a country that understands a lot of the engineering solutions to issues around emissions,” he added. “We care about this issue as well, it’s still part of our policy ... so there’s an opportunity to engage.”

The comments drew criticism from Conservative Leader Pierre Poilievre, who said Carney, an advocate of net-zero policies, was praising a country with a dubious environmental record.
“Carney’s climate con job is back,” Poilievre said in a Sept. 23 social media post. “While his anti-energy policies force less Canadian energy production, he praises the [Chinese Communist Party] in Beijing on the environment—a regime building nearly 2 new coal fired power plants every single week.”

Leveraging Trade Dependencies

Kovrig cited the ongoing canola dispute as an example of how China leverages trade dependencies to put pressure on Canada.
China last month imposed 75.8 percent temporary tariffs on Canadian canola weeks after Ottawa announced increased tariffs on Chinese steel. The latest canola tariffs came on top of levies Beijing had slapped on canola-related products earlier this year, which came months after Canada imposed 100 percent tariffs on Chinese electric vehicles (EVs) and 25 percent tariffs on Chinese aluminum and steel. China is Canada’s second-largest canola market.

“China has once again weaponized [trade dependence] to put pain and pressure on Canada, and canola is a particularly acute example,” Kovrig said. “Because what China is trying to do is pressure Canada into lowering barriers to its electric vehicles, and steel and aluminum.”

He noted that with its canola tariffs, China is “driving wedges between provinces and regions” by targeting an industry based in Western Canada in response to tariffs Ottawa imposed to protect the EV industry, which is mostly based in Eastern Canada.

“It’s a divide and conquer strategy,” Kovrig said.

“I really hope that Prime Minister Carney is able to rally all his premiers together to have a united stance with China on those negotiations, and not let Beijing play one province against another to try to weaken consensus—it’s a classic tactic.”

Ottawa has previously pursued climate cooperation with China even during periods of diplomatic tension. In 2023, as allegations of Chinese interference in Canada’s democracy led to calls for a public inquiry, then-Environment Minister Steven Guilbeault visited China, citing the need to address global environmental challenges and rebuild ties.

China Not a ‘Good-Faith Partner’

Kovrig said that as the current federal government seeks to increase engagement with China, it would be “naive” to consider the regime a reliable trading partner. Carney said on the sidelines of the 80th session of the United Nations General Assembly in New York on Sept. 23 that he expects to meet with Chinese leader Xi Jinping at the “appropriate time,” following recent “constructive” discussions between government officials.

“They are not a good-faith partner,” Kovrig said.

“I mean, it’s a fundamental aspect of China’s political culture,” he added. “You cannot count on China honouring any agreement you make with it, unless it suits the [Chinese] Communist Party to do so.”

Kovrig said the communist regime’s political culture is “all about power, interests, leverage, and instrumentalizing.” He noted that China has “abrogated” or failed to respect several trade agreements with Canada and other countries, pointing to Canada’s decision to limit China’s access to its EV market as an example, due to Beijing’s non-market practices such as state subsidies.

Lifting EV Tariffs a ‘Risk’ to Canada

Kovrig also said it would be a mistake for Canada to lift its EV tariffs in an attempt to solve the canola trade dispute. He says Canada would “risk completely hollowing out the entire supply chain and technological and industrial base of automotive.”

“If Canada becomes dependent in its supply chains on Chinese electrical vehicles, that becomes another choke point where China can effectively control and influence Canadian policy.”

He added that if Canada were to regain access to the Chinese canola market and increase its dependency without diversifying, it would leave the country in a vulnerable position.

“That means the [agriculture] sector is going to become essentially a constituency for China within Canada that is going to repeatedly lobby the government to foster that relationship, protect that relationship, and not do anything that China doesn’t want Canada to do, lest it once again punish Canada by blocking that trade,” Kovrig said.

“You risk giving up sovereignty and giving away too much leverage to China if you do those things.”

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