The Canada-China Global Commerce Picture – DH Warehousing & Fulfillment

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The Canada-China Global Commerce Picture

February 4, 2021 Don Liu Comments Off

Trade and Investment

Since its ascension into the World Trade Organization (WTO) in 2001, Canada’s trade with China has grown faster than Canada’s trade with any other principal trading partner. Despite a downturn in goods exports in 2019, bilateral goods trade has grown at a rate of 11% per-year, and services trade has grown at a rate of 12% per-year. It follows that China’s share of Canada’s trade has risen dramatically in the last 20 years, from about 1% in 2000 to nearly 6% in 2019. While the magnitude of Canada’s trade with China pales in comparison with Canada’s trade with the United States, China is Canada’s second largest trading partner (or third when trade with the EU-27 as a whole is included).


Since the year 2000, Canadian imports from China have been becoming more concentrated. At the HS-1 level, machinery and electrical equipment account for 45% of imports. At the HS-2 level, while imports from China are still considered diverse by the HHI, they are the fifth most concentrated basked of imports compared with Canada’s top 10 trading partners.Footnote7 However, compared with exports, Canada’s imports from China are more balanced by BEC classification.

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