The Chinese government has expressed strong dissatisfaction with Canada’s decision to order Chinese surveillance equipment firm Hikvision to close its local operations, stating that the move will “damage” bilateral trade between the two countries.
This development comes after Canadian Industry Minister Melanie Joly announced that Hikvision Canada Inc. would cease all operations due to concerns that its continuation would be “injurious” to Canada’s security.
According to China’s Ministry of Commerce, “This not only undermines the legitimate rights and interests of Chinese companies and affects the confidence of companies from both countries in cooperation, but also disrupts and damages the normal economic and trade cooperation between China and Canada.” The ministry further urged Canada to “immediately correct its wrong practices”.
Hikvision, a leading manufacturer of security cameras, has faced scrutiny abroad for its alleged role in human rights abuses against the Muslim minority Uighur population in Xinjiang. The United States included Hikvision in a 2019 blacklist of Chinese entities implicated in human rights violations.
Canada’s decision to ban Hikvision was reached following a “multi-step review” of information provided by the Canadian security and intelligence community. The Canadian government will prohibit government departments from purchasing or using Hikvision products and is conducting a review of existing properties to ensure legacy Hikvision products are not used going forward.
This disagreement represents an early test for China-Canada relations after Prime Minister Mark Carney’s electoral victory in April. China had expressed willingness to improve ties with Ottawa, which have been strained in recent years due to various issues, including the arrest of a senior Chinese telecom executive on a US warrant in Vancouver and allegations of Chinese interference in Canadian elections. The relationship between the two countries has been further complicated by Beijing’s retaliatory detention of two Canadians on espionage charges.
The recent tensions highlight the complexities of international trade relations and the challenges of navigating human rights concerns and national security interests. As China and Canada navigate this dispute, the outcome will likely have implications for their bilateral trade relationship and the operations of Chinese companies in Canada.