Having just returned from Ottawa, where the changing of the guard at the Prime Minister’s office has created both excitement and anxiety in policy circles, I find myself contemplating Canada’s complex position on the world stage. While much attention focuses on how Prime Minister Mark Carney will handle relations with a potentially returning Trump administration, several equally pressing foreign policy challenges demand immediate attention.
The corridors of Global Affairs Canada are buzzing with strategic reassessments. “We’re operating in the most complicated geopolitical environment since the Cold War,” a senior Canadian diplomat told me, speaking on condition of anonymity due to the sensitivity of ongoing policy formulations. “And we don’t have the luxury of focusing on just one relationship, even if it’s our most important one.”
Canada’s relationship with China continues to deteriorate amid Beijing’s increasingly assertive global posture. The detention of Michael Kovrig and Michael Spavor still haunts bilateral relations, despite their 2021 release. Recent intelligence reports suggest Chinese interference in Canadian domestic affairs has grown more sophisticated, targeting diaspora communities and political processes.
The Canada-China Joint Working Group on Consular Affairs established last year has struggled to make meaningful progress on protecting Canadian citizens in China. Meanwhile, Canadian exports face ongoing retaliatory barriers in Chinese markets, with agricultural products particularly vulnerable to sudden regulatory changes.
“The Carney administration needs to develop a China strategy that balances economic interests with security concerns and human rights principles,” says Margaret McCuaig-Johnston, a former assistant deputy minister and China specialist at the University of Ottawa. “This requires coordination across government departments that we haven’t seen in decades.”
In Ukraine, Canada’s substantial Ukrainian diaspora – nearly 1.4 million people – has pushed for deeper engagement. The Canadian Armed Forces have trained over 39,000 Ukrainian soldiers since 2015 through Operation UNIFIER, but maintaining this commitment while addressing domestic military readiness concerns presents significant challenges.
During my recent visit to Latvia, where Canada leads NATO’s multinational battlegroup, Canadian officers expressed concerns about equipment shortages and sustainability of the mission. “We’re stretching our resources thin,” one commander told me. “The commitment is there, but the material support sometimes lags behind.”
Climate change diplomacy represents another critical challenge for Carney, whose background in climate finance could prove valuable. Canada has committed to reducing emissions by 40-45% below 2005 levels by 2030, but implementation remains problematic. The Climate Action Network ranks Canada’s climate policies as “highly insufficient” to meet Paris Agreement goals.
Indigenous reconciliation has increasingly become intertwined with Canadian foreign policy. The United Nations Declaration on the Rights of Indigenous Peoples (UNDRIP) implementation act requires that Canadian trade, resource development, and diplomatic engagement align with Indigenous rights principles.
“Foreign policy can no longer be developed in isolation from Indigenous perspectives,” explains Hayden King, executive director of the Yellowhead Institute at Toronto Metropolitan University. “This means rethinking everything from trade agreements to international environmental commitments.”
Canada’s Arctic sovereignty claims face growing challenges as climate change opens new shipping routes and resource opportunities. Russia has dramatically increased its military presence in the Arctic, while China has declared itself a “near-Arctic state” with strategic interests in the region.
The recent $38 billion NORAD modernization agreement with the United States represents a significant investment, but critics argue Canada must do more to assert sovereignty through both military presence and community development in northern territories.
“The Northwest Passage isn’t just a shipping route,” Inuit leader Natan Obed explained during a recent policy forum. “It’s our home, and Canada’s Arctic policy must reflect both sovereignty concerns and the well-being of northern communities.”
Trade diversification efforts have gained urgency amid concerns about overdependence on the American market. The Comprehensive and Progressive Agreement for Trans-Pacific Partnership (CPTPP) and the Canada-European Union Comprehensive Economic and Trade Agreement (CETA) offer alternative markets, but implementation challenges remain.
