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As Canada prepares to accept more Chinese-made electric vehicles into the country, a U.S. senator is warning that although Canada-U.S. ties are strained, Canadian officials should be cautious when making agreements with China’s government.
“I understand that Canada is looking elsewhere and trying to diversify,” Michigan Democratic Sen. Elissa Slotkin said in an interview on Rosemary Barton Live that aired Sunday morning.
“I think the point that I would make and did make to Canadian leaders is, just because we have become more difficult doesn’t mean the Chinese are always the straightest shooters when it comes to national security,” Slotkin told host Rosemary Barton.
Slotkin is in Toronto this weekend for the 2026 Global Progress Action Summit, which brings world leaders together to discuss “the world’s most pressing challenges and most inspiring opportunities,” according to its website.
The Michigan senator, also a former CIA officer, explained her concerns with a Chinese-made EV sending back 3D video and geolocation data, which could be “hacked back to Beijing.”
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“They’re national security issues, not just economic security issues,” Slotkin said. She and a Republican senator from Ohio have also introduced a bill banning the import, sale and operation of vehicles manufactured in China.
Slotkin’s security concerns echo those made by other Canadian officials — including Conservative Leader Pierre Poilievre and Ontario Premier Doug Ford — and some Canadian experts.
Over the last decade, China has passed a series of national security and intelligence laws that oblige Chinese companies to co-operate with the government when asked. A similar law in the U.S., called the Cloud Act, compels American technology companies to share data gathered in foreign countries with the government if asked.
In February, Public Safety Minister Gary Anandasangaree said that Ottawa would ensure “safeguards” are put in place to prevent the vehicles from transmitting information back to China.
The incoming Chinese-made EVs are part of Canada’s deal with the Chinese government.
A picture of Prime Minister Mark Carney shaking hands with Chinese President Xi Jinping is seen on the cover of the weekend edition of the China Daily newspaper in Beijing on Jan. 17. (Sean Kilpatrick/The Canadian Press)
In January, Prime Minister Mark Carney met with Chinese President Xi Jinping in Beijing and secured tariff relief for Canadian agricultural sectors, in exchange for allowing 49,000 Chinese EVs into the country at a reduced rate of 6.1 per cent.
Although he initially sounded unfazed by the deal, U.S. President Donald Trump later threatened 100 per cent tariffs on all Canadian goods if Canada “makes a deal with China.” That threat has not materialized since it was made four months ago.
Slotkin said her state is watching how the Canada-U.S. trade relationship continues to evolve, but “we don’t like watching a decision to let Chinese vehicles into Canada. That’s not something we want in the United States.”
“And so we’re struggling for the first time in a long time being on different pages on international trade issues,” she added.
The looming CUSMA review
Canadian, American and Mexican officials continue to work on the North American free trade agreement, which has a looming deadline of July 1 — when the three countries need to approve a renewal or signal their intention to exit the pact.
But Katherine Tai, a former U.S. trade representative under Joe Biden, noted the pact “doesn’t disappear” if the three countries do not come to an agreement.
“What happens is this agreement continues on its 16-year course,” Tai said. “There’s another 10 years left on this current authorization, if you will. And if there’s no agreement by July 1, these reviews are going to continue on an annual basis.”
Then-U.S. trade representative Katherine Tai, centre, is seen in Washington in 2023. Tai says the Canada-U.S.-Mexico trade pact ‘doesn’t disappear’ if the three countries do not come to an agreement before July 1. (Andrew Harnik/The Associated Press)
In April, Canada’s chief trade negotiator said the July 1 date shouldn’t be viewed as a hard deadline — noting that some trade points won’t be entirely hashed out by that date.
The Americans have pointed out several ongoing irritants with Canada, including American booze bans and the federal government’s “Buy Canadian” policy that aims to ensure Canadian products and workers are prioritized in contracts worth $25 million or more.
When asked what Canada’s best leverage point is, Tai said “understanding your leverage around steel, aluminum, energy is important” but Canada should also not lose sight of intangible trade issues, like rules that apply to digital and technology companies.
Slotkin acknowledged the Canada-U.S. relationship is strained, but there are still several senior American politicians who care about the two countries’ ties.
“This is a tough moment in time, but it’s not the last moment in time,” Slotkin said.