Canadian exports to China surged by 30% in the first half of 2026, with overall trade increasing by 3.6% compared to the previous year, as per the latest data from Statistics Canada analyzed by experts.
The data, featured in a recent report released by the Canada China Business Council and the University of Alberta’s China Institute, indicates a positive trend in bilateral trade between the two nations. This growth is seen as part of Canada’s strategy to broaden its economic partnerships amid strained relations with the United States.
During the first half of 2026, the total trade in goods between Canada and China reached $66.6 billion, marking a 3.6% rise, while exports witnessed a significant 30% uptick to $21.74 billion year-on-year.
The surge in exports was largely driven by energy and minerals, accounting for 58.4% of all Canadian exports to China during this period. Notably, energy exports, primarily crude oil and liquified propane, saw a remarkable 81.8% increase. Moreover, exports of metal ores and non-metallic minerals, including copper ore, also rose by 29%.
Executive director of the Canada China Business Council, Bijan Ahmadi, expressed satisfaction with the record-breaking first-half exports to China, highlighting the longstanding trade ties between the two nations that have endured geopolitical tensions.
The warming relations between Canada and China, following years of strain, have been attributed to various factors, including the diplomatic progress made after the arrest of Huawei executive Meng Wanzhou in 2018. With the ongoing trade disputes between Canada and the U.S., Canadian Prime Minister Mark Carney has emphasized the importance of establishing new trade alliances and reducing reliance on the U.S.
The Trans Mountain Pipeline’s increased capacity in June has facilitated greater access to Western Canadian crude oil in Asia. Additionally, disruptions in oil shipments due to international conflicts have led to a rise in oil prices, prompting customers to turn to Canadian producers.
With a trade truce in place, Canada and China have made significant agreements, such as allowing Chinese electric vehicles into the Canadian market in exchange for tariff reductions on Canadian agricultural products. The positive impact of these agreements is already evident, with prices rebounding for Canadian agricultural products like canola seed.
While Canada’s exports to China have shown promising growth, there is a focus on diversifying trade partners and industries to solidify economic stability. The report authors stress the need for continued efforts to enhance engagement with the Asia-Pacific region, particularly with China being a significant market opportunity for Canadian businesses.
Looking ahead, the goal of increasing exports to China by 50% by 2030 seems achievable based on the current positive trajectory, according to Ahmadi. The upcoming year-end figures will provide a more comprehensive assessment of Canada’s export performance to China.