Here are five things you need to know this morning
Canada ramps up cooperation with China: Prime Minister Mark Carney says Canada is entering a “new era of relations” with China and that his visit to Beijing sets the stage for talks on areas where the two can be “strategic partners.” The prime minister made the comments as he was welcomed in Beijing by the second- and third-most-powerful figures in China’s political system. China’s Premier Li Qiang hailed the “turnaround” in bilateral relations with Canada and said Carney’s meeting with President Xi Jinping on Friday will pave the way for “upward growth” in the relationship. Carney was also in and out of a marathon of closed-door meetings with businesses throughout Thursday. He met with top officials from firms such as Alibaba, China National Petroleum, the EV battery company Contemporary Amperex Technology and China’s largest state-owned commercial bank, ICBC. It all signals that new economic doors may be about to open between the two countries after nearly a decade of friction on trade, security and diplomacy.
Canada plans more energy exports to China: We are already seeing some announcements coming out of the meetings. A joint “economic and trade cooperation roadmap” released by Beijing and Ottawa indicates Canada could boost exports of oil, natural gas and uranium to China under agreements reached during Prime Minister Carney’s visit to Beijing. Carney announced Canada would welcome Chinese investments in areas including energy, agriculture and consumer products. Ottawa and Beijing also signed a memorandum of understanding on “strengthening energy co-operation,” a deal that comes amid rising petroleum exports to China from Canada. Chinese companies have taken delivery of liquefied natural gas from Canada’s first LNG export facility in 2025 and have ramped up purchases of Canadian oil over the last year.
Stocks up, oil down as Trump cools Iran rhetoric: North American stock markets opened higher, and the price of oil sharply lower, after U.S. President Trump backed off threats for military action in Iran. Trump said he’d been assured that Iran would stop killing protesters, reducing the likelihood of an immediate U.S. military response and of disruptions to Iranian production and key shipping lanes.
Real estate slump continues: Canada’s housing market ended 2025 on a slide as both housing prices and sales were down according to data from the Canadian Real Estate Association. The benchmark price dropped by almost half a percent in December, a four percent year over year decrease. Analysts point to continued economic uncertainty as a reason for the drop.
Bombardier expanding in Quebec: Bombardier is expanding its manufacturing operation in Dorval Que.-- with an announcement of a $100 million project. The investment will see the jet builder opening a manufacturing centre in the area that is set to be completed by 2027. The company says the goal of this new centre is to compliment existing facilities and increase production capacity.
