Canada's strategic realignment toward China earlier this month marks a significant evolution in global diplomacy as nations adapt to a fragmenting U.S.-led international framework, according to financial expert Zhu Ning of Shanghai Jiao Tong University. The January 2026 visit by Canadian Prime Minister Mark Carney resulted in what officials describe as a 'landmark' partnership framework – Canada's most substantial foreign policy initiative since 2021.
Professor Zhu notes this development reflects growing unease among U.S. trading partners about unpredictable tariff policies, particularly critical for Canada which sends 70% of exports southward. 'Recent U.S. pressure on European allies regarding Greenland has amplified Canadian concerns beyond pure trade economics into broader strategic calculations,' Zhu observed in his analysis.
The policy shift comes as Prime Minister Carney publicly acknowledged at this month's World Economic Forum that the postwar international order 'isn't coming back.' This sentiment aligns with Zhu's assessment of global leaders increasingly adopting 'variable geometry' strategies – diversifying partnerships across trade, security, and financial systems.
While significant challenges remain before finalizing any comprehensive agreement, 2026 is expected to see intensified diplomatic activity. Zhu predicts more high-level exchanges and bilateral pacts as countries hedge against geopolitical uncertainty. 'Flexible partnerships may become the new normal in this era of recalibration,' he concluded.
