Canada and China broaden strategic Partnership

June 24, 2010

OTTAWA – Prime Minister Stephen Harper today confirmed Canada’s commitment to strengthening relations with China, following bilateral discussions with Hu Jintao, President of China.  The two leaders witnessed the signing of new initiatives and reiterated their intent to deepen the linkages between Canada and China.  Significantly, China has announced that Canada is now the first Bovine Spongiform Encephalopathy (BSE)-affected country to regain staged market access for beef to China
 
“This visit by President Hu confirms that the Canada-China strategic partnership is gaining momentum as we mark 40 years of diplomatic relations and chart a course for the future”, said Prime Minister Harper.  “Today’s bilateral signings and the hundreds of thousands of Chinese citizens visiting Canada’s Expo 2010 Pavilion in Shanghai are signs that relations between our countries are flourishing.”
 
Building on the December 2009 Canada-China Joint Statement, Prime Minister Harper and President Hu witnessed the signing of several Memoranda of Understanding designed to strengthen relations between Canada and China in a broad range of areas.  These include:

• A Cooperative Arrangement that re-opens the Chinese market for beef and beef products based on a staged approach, beginning with Canadian boneless beef derived from animals under thirty months of age (UTM) and beef tallow for industrial use.
• A Memorandum of Understanding (MOU) to facilitate group travel from China to Canada, which cements Canada's Approved Destination Status.
• A Memorandum of Understanding to form an Environmental Protection and Energy Conservation Working Group that will focus on commercial cooperation in the environment and clean energy sector.
• A Memorandum of Understanding on Cooperation on Combating Crime.
  
  

In the area of commerce, the leaders instructed officials to explore means of deepening the Canada-China economic partnership by establishing a working group under the Joint Economic and Trade Committee.
 
In the area of culture, Prime Minister Harper expressed Canada’s pleasure that negotiations will soon begin to secure a long-term loan of a pair of giant pandas to Canada and that the world-famous Terracotta Warriors will be on exhibit at the Royal Ontario Museum beginning June 26.
 

 
Backgrounder
 
A Cooperative Arrangement on a Staged Approach for Full Market Access for Canadian Beef and Beef Products Beginning with Boneless Beef (Under Thirty Months) and Beef Tallow for Industrial Use
 
On June 24, 2010, China announced that it has granted access to Canadian beef and beef products using a staged approach.  The first step in this process is access for boneless beef derived from animals under thirty months of age (UTM) and tallow for industrial use.  Canada is the first Bovine Spongiform Encephalopathy-affected country to re-gain market access for beef to China.  The Chinese market was closed in 2003 following Canada’s first case of BSE.   According to estimates by the Canada Beef Export Federation (CBEF), the Chinese market for Canadian beef and tallow is expected to be worth $110 million once full market access is achieved.
 
Approved Destination Status
 
Approved Destination Status (ADS) allows marketing activities in China to promote a particular country as a tourist destination, and allows for the organisation of group travel to that country from China.  On June 24, 2010, Prime Minister Harper and Hu Jintao, President of the People’s Republic of China, witnessed the signing of a Memorandum of Understanding to Facilitate Outbound Tourist Group Travel from China to Canada.  According to a survey by the Conference Board of Canada, ADS is expected to boost the yearly rate of travel to Canada from China significantly within the coming years.  China is one of the fastest growing outbound tourism markets in the world.
 
Memorandum of Understanding to Establish a Working Group on Environmental Protection and Energy Conservation
 
Canada and China have agreed to establish a bilateral working group on commercial cooperation to advance their shared interests in making clean technology or “cleantech” a focal point for increased bilateral cooperation and trade.  The Memorandum of Understanding (MOU) enhances government-to-government and business-to-business cooperation and will provide a forum to exchange information and to facilitate market entry for Canadian small- and medium-sized cleantech enterprises.  The potential for increased trade, investment and research partnerships in cleantech between China and Canada is substantial.
 
MOU on Cooperation on Combating Crime
 
The Canada-China MOU on Cooperation on Combating Crime aims to facilitate cooperation between the Royal Canadian Mounted Police (RCMP) and the Chinese Ministry of Public Security (MPS).  Signing the MOU was an objective set out in the December 2009 Canada-China Joint Statement, in order to provide a strengthened foundation for ongoing cooperation between the RCMP and MPS.  The current MOU builds on cooperation between Canada