Beijing [China], November 4 (ANI): China has accused Canada of “unreasonable suppression” of Chinese companies, after the Justin Trudeau government ordered three firms to exit critical minerals deals with its companies, citing national security concerns.
“China urges the Canadian side to stop suppressing Chinese companies. We call for a fair, just and non-discriminatory environment for Chinese companies doing business in Canada,” Chinese Foreign Ministry Spokesperson Zhao Lijian’s said during a press conference on Thursday.
Zhao the current global minerals industry and supply chains are a result of both the law of the market and the choices of businesses. “The Canadian side has overstretched the concept of national security and placed arbitrary curbs on normal trade and investment cooperation between China and Canadian companies,” he said.
This decision comes as China continues to dominate the rare earth elements around the world, while the west is pushing towards self-reliance in the procurement of scarce metals and minerals.
However, China does not produce a lot of minerals. Instead, it has invested heavily in overseas mines in places like Canada to acquire the raw materials it needs, Canadian Broadcasting Corporation (CBC) reported.
Earlier, Canada’s Science and Industry minister Francois-Philippe Champagne said the decision was made after reviewing a number of investments in Canadian companies engaged in the critical minerals sector, including lithium.
“While Canada continues to welcome foreign direct investment, we will act decisively when investments threaten our national security and our critical minerals supply chains, both at home and abroad. In accordance with the ICA (Investment Canada Act), foreign investments are subject to review for national security concerns, and certain types of investment–such as those in the critical minerals sectors–receive enhanced scrutiny,” Champagne said in a written statement late Wednesday.
Western countries are now trying to upend China’s dominance in the field and create a new supply chain.
The Canadian government said these companies were reviewed via the multi-step national security review process, which involves rigorous scrutiny by Canada’s national security and intelligence community.
Ottawa said the government’s decisions are based on facts and evidence and on the advice of critical minerals subject matter experts, Canada’s security and intelligence community, and other government partners. (ANI)
This report is filed by ANI news service. TheNewsMill holds no responsibility for this content.