Canadian Prime Minister Justin Trudeau (third from left) and other leaders participate in an APEC Leaders’ Official Photograph in Port Moresby, Papa New Guinea Saturday November 17, 2018. THE CANADIAN PRESS/Adrian Wyld

Canadian Prime Minister Justin Trudeau (third from left) and other leaders participate in an APEC Leaders’ Official Photograph in Port Moresby, Papa New Guinea Saturday November 17, 2018. THE CANADIAN PRESS/Adrian Wyld

U.S., China trade barbs on tariffs as Trudeau meets with Pacific island leaders

The deal was originally designed to act as a counterbalance to China’s growing economic influence in the region.

Leaders from the world’s two biggest economies put Canada and its allies in the position of picking sides in the battle for world influence, as the United States and China outlined different visions for trade and investment on Saturday.

The tit-for-tat tough speeches on the first day of the Asia Pacific Economic Cooperation leaders summit — bringing together 21 countries that account for 60 per cent of the world’s economy — framed the discussion that is expected to carry over Sunday when the leaders gathered here, including Prime Minister Justin Trudeau, try to hammer out a final agreement on a path forward for trade.

There are no plans at the moment for Trudeau to have a one-on-one meeting with Chinese President Xi Jinping — although he has had opportunities to bump into his Chinese counterpart, both in the hallways of the busy summit and at a gala dinner Saturday night.

At the dinner, Trudeau sat next to Japanese Prime Minister Shinzo Abe and spoke about a Pacific Rim trade deal, according to the Prime Minister’s Office. Trudeau and Abe will meet again Sunday, where the topic of that trade deal — known as the Comprehensive and Progressive Agreement for Trans-Pacific Partnership, or CPTPP for short — is likely to come up.

The deal was originally designed to act as a counterbalance to China’s growing economic influence in the region. Observers say there is now debate among signatories about whether China should be part of the deal, or the United States should be let back in after President Donald Trump pulled out of the pact.

On Saturday, Trudeau was involved in a safer diplomatic push, meeting with leaders from the Pacific island nations, and spoke about funding infrastructure resilient to the effects of climate change.

“The opportunity that Canada takes very seriously — to work with you on the very specific challenges facing small island developing states, the importance of capital flows and investments in infrastructure — are things that we are happy to sit down with you about,” Trudeau said at the start of the meeting.

Baron Waqa, president of Nauru, told Trudeau that tsunamis, earthquakes and cyclones have created enormous losses for the economies of smaller island states, while a rising sea level shrinks their territory and increases water salinity that affects their food security.

Waqa said the island leaders want to frame themselves as key players in the Pacific region — both environmentally and economically.

“It is a powerful narrative which we frame … of our region, away from the enduring narrative of small, isolated and fragile to that of large, connected and strategically important ocean continent,” Waqa said.

But even those island nations are being pulled into a geopolitical tug of war between China and the United States.

The two powers have been locked in an ongoing trade dispute over American complaints that Beijing provides deep state subsidies for its businesses. The U.S. has also accused the Chinese of intellectual property theft.

Trump mused Friday that he may not have to forge ahead with tariffs on remaining Chinese imports. His vice-president, though, took a hard line to a gathering of business leaders at the APEC summit, saying there would be no backing down from tariffs until China changed its ways.

“China has taken advantage of the United States for many, many years and those days are over,” Mike Pence said.

Speaking just before Pence, Xi called trade protectionism a short-sighted policy doomed to fail and made a call for greater consultation to resolve any issue.

“History has shown that confrontation — whether in the form of a cold war, a hot war or a trade war — will produce no winners,” he said.

Trudeau’s office said China agreed with Canada about the need for reforms to the World Trade Organization — a group Trump dislikes — when the prime minister met Chinese Premier Li Keqiang on Wednesday in Singapore.

Reforms to the world’s trade referee are on the agenda for this APEC meeting in Papua New Guinea, the poorest member of APEC, which received financial help from China and Australia to put on the summit.

China’s influence can be seen around the island nation’s capital.

Outside a newly opened hotel which hosted Trudeau’s first meeting of the day was a fence covered in a red sign with yellow writing promoting Xi’s “one-belt, one-road” project to expand trade routes around Asia. The project, which could take decades and cost trillions of dollars to complete, was harshly criticized by Pence and Australian Prime Minister Scott Morrison, whom Trudeau will meet Sunday.

“If it succeeds … China will definitely be a world power even more than it currently is,” said Lorna Wright, executive director of the Centre for Global Enterprise at York University’s Schulich School of Business.

China has spent millions in the host country to help it prepare for the summit, looking to gain some leverage over the island’s energy resources.

“They (China) are looking at creating long-term deals and guarantees with these smaller countries to extend their own commercial, military and hegemonic interest,” said Shuvaloy Majumdar with the Macdonald-Laurier Institute, a former Conservative government policy adviser.

Papua New Guinea already has one liquefied natural gas pipeline, and there are plans for a second development not far from the capital to tap a reserve originally found by a Canadian company.

LNG exports are a key contributor to the island’s economy and locals involved in projects expect to ship more of the product to Asian markets, including China.

Jordan Press, The Canadian Press

Like us on Facebook and follow us on Twitter.

Just Posted

FILE – Perry Bellegarde, National Chief of the Assembly of First Nations, takes part in an event on Parliament Hill in Ottawa on Tuesday, July 7, 2020. THE CANADIAN PRESS/Sean Kilpatrick
Indigenous Peoples Day must be a ‘call to action’, says Assembly of First Nations chief

Discovery of children at Kamloops residential school site must lead to change, Perry Bellegarde says

lotto max logo
Are you the lucky winner?

A $1 million ticket was bought in Burns Lake for Friday’s Lotto… Continue reading

Jill Mackenzie carefully replaces books on the shelves at the Houston Public Library. (Angelique Houlihan photo)
District approves annual library grant

Craft kits featured for summer reading club

The tradition of Houston Christian School grads giving Bibles to incoming kindergarten students will take place this year, but outdoors and in a modified fashion. (File photo)
Houston Christian School grad day is June 24

Grads themselves have set tone for the day, says teacher

Scott Richmond will be starting as the new vice principal for HSS and TSE. (Submitted/Houston Today)
Houston gets a new vice principal

Scott Richmond takes over from Dwayne Anderson who moved to Smithers

The border crossing into the United States is seen during the COVID-19 pandemic in Lacolle, Que. on February 12, 2021. THE CANADIAN PRESS/Paul Chiasson
VIDEO: Border quarantine to soon lift for fully vaccinated Canadians

Eligible travellers must still take multiple COVID-19 tests

Chilliwack secondary school’s principal is apologizing after a quote equating graduation with the end of slavery in the U.S. was included in the 2020-2021 yearbook. (Screenshot from submitted SnapChat)
B.C. student’s yearbook quote equates grad to end of slavery; principal cites editing error

Black former student ‘disgusted’ as CSS principal apologizes for what is called an editing error

Skeena MLA Ellis Ross. (Photo by Peter Versteege)
BC Liberal leadership candidate condemns ‘senseless violence’ of Okanagan church fires

Skeena MLA Ellis Ross says reconciliation isn’t about revenge for past tragedies

A coroner’s inquest will be taking place at the Capitol Theatre in Port Alberni for the next week. (ELENA RARDON / ALBERNI VALLEY NEWS)
Teen B.C. mom who died following police custody recalled as ‘friend to many’

Police sent Jocelyn George to hospital after intoxication had gone ‘beyond the realm’ of normal detox

FILE - In this Nov. 29, 2020, file photo, Las Vegas Raiders defensive end Carl Nassib leaves the field after an NFL football game against the Atlanta Falcons in Atlanta. Nassib on Monday, June 21, 2021, became the first active NFL player to come out as gay. Nassib announced the news on Instagram, saying he was not doing it for the attention but because “I just think that representation and visibility are so important.” (AP Photo/John Bazemore, File)
Nassib becomes first active NFL player to come out as gay

More than a dozen NFL players have come out as gay after their careers were over

Penticton Indian Band Chief Greg Gabriel speaks to the Sacred Hearts Catholic Church burning down early Monday morning, June 21, 2021. (Monique Tamminga Western News)
Penticton band chief condemns suspicious burning of 2 Catholic churches

Both Catholic church fires are deemed suspicious, says RCMP

COVID-19 daily cases reported to B.C. public health, seven-day moving average to June 17, 2021. (B.C. Centre for Disease Control)
B.C.’s COVID-19 infections drop to 90 on Sunday, 45 Monday

Pandemic spread dwindles as 77% of adults receive vaccine

By protesting uninvited in First Nations’ territories, conservationists are acting in a neocolonial or paternalistic manner, says Huu-ay-aht Chief Robert Dennis. Photo by Heather Thomson
A closer look: do Vancouver Island First Nations support the war in the woods?

First Nations/environmentalist old growth alliance uneasy, if it exists at all

A blood drive in support of 1-year-old Rielynn Gormley of Agassiz is scheduled for Monday, June 28 at Tzeachten First Nation Community Hall in Chilliwack. Rielynn lives with type 3 von Willebrand disease, which makes it difficult for her to stop bleeding. (Screenshot/Canadian Blood Services)
Upcoming blood drive in honour of Fraser Valley toddler with rare blood condition

The Gormley family has organized a blood drive in Chilliwack on June 28

Most Read