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July 18, 2026

Daily Briefing — 2026-07-18

China Compass Daily Briefing

 
CHINA COMPASS
Briefing · 2026-07-18 · 16 signals
Canada-China bilateral trade (May 2026)
$11.9B
Imports
$7.8B
Exports
$4.1B
📋 Today's Briefing

China has welcomed the U.S. decision to not extend the national emergency related to Hong Kong, a move that could signal a potential thaw in China-U.S. relations. The Chinese Ministry of Commerce (MOC) views this as a step towards implementing economic and trade consultations, a rare positive development amid ongoing tensions.

Meanwhile, General Secretary Xi Jinping's speech at the Communist Party of China's 105th anniversary celebration emphasizes the importance of relying on the people to create historical progress. This internal focus on unity and historical legacy comes at a time when China's external relations remain complex.

The bottom line: While China-U.S. relations may see a brief respite, Canada's climate policy is under scrutiny for its impact on allies and its potential to benefit China. China Compass continues to monitor these developments and their implications for Canada-China relations.

China Compass is a daily intelligence briefing, tracking the latest signals and tensions in Canada-China relations. Stay informed at www.chinacompass.ca.

◆
🔔 Top Signals
🏛️ political
China welcomes the U.S. decision not to extend the Hong Kong-related national emergency.
Why it matters
decision not to extend a national emergency related to Hong Kong, calling it an important step in implementing the consensus reached during China-U.S.
→ economic and trade consultations in Madrid, the United States made commitments on issues including Hong Kong and investment.
Xinhua · 2026-07-17
👥 social
"We must rely closely on the people to create a great cause in history" - in-depth study and implementation of General Secretary Xi Jinping's thirteenth series of important speeches at the celebration of the 105th anniversary of the founding of the Communist Party of China
Why it matters
Xinhua News Agency, Beijing, July 17 (Xinhua News Agency): "We must rely closely on the people to create a great cause in history" - In-depth study and implementation of General Secretary Xi Jinping's important speech series at the celebration of the 105th anniversary of the founding of the Communist Party of China, Xinhua News Agency reporter Zhao Xiaohui and Ren Jun At the celebration of the 105th anniversary of the founding of the Communist Party of China, General Secretary Xi Jinping focused on realizing the mission and tasks of the party in the new era and put forward the clear requirements of firm confidence and continuous struggle "five musts".
→ The fish water of the Party and the people is deeply affectionate, and it has been hardening for a long time in the test of blood and fire....
State Council · 2026-07-18
📈 economic
Carney’s incoherent climate policy is hurting our European allies, helping China, and holding Canada back: Christian Leuprecht and Dimitar Lilkov in the Hub
Why it matters
Canada's climate policy, criticized as incoherent, is harming European allies by driving up energy prices and exacerbating dependency on U.S.
→ Domestically, it risks Canada’s political unity by forcing a polarizing choice between energy sources and ignoring regional economic realities.
Macdonald-Laurier Institute
📈 economic
Canada’s MAGA moment doesn’t undo strategic partnership with China: Raquel Garbers in the Washington Examiner
Why it matters
Canadian Prime Minister Mark Carney's pro-China stance amid ongoing US-Canada trade tensions highlights Canada's strategic dilemma.
→ is seen as risky and constrained by inherited "bad cards.".
Macdonald-Laurier Institute
💻 technology
Regular Press Conference of Foreign Ministry Spokesperson Lin Jian on July 17, 2026
Why it matters
CCTV: The opening ceremony of the 2026 World AI Conference and High-Level Meeting on Global AI Governance (WAIC 2026) was held this morning in Shanghai.
→ Reuters: New Zealand’s Ministry of Foreign Affairs and Trade has said, "We are aware of Papua New Guinea's statement about the closure of the Taipei Economic Office in Port Moresby, and we will seek further information about this decision in due course.".
MFA China · 2026-07-17
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📊 Market Snapshot
▲ Top Gainers
PetroChina HK$9.59 ▲ +1.27%
China Construction Bank HK$8.29 ▲ +1.22%
China Petroleum HK$4.26 ▲ +0.47%
▼ Top Losers
Tencent Holdings HK$461.60 ▼ -4.63%
WuXi Biologics HK$36.98 ▼ -5.95%
NIO Inc HK$37.78 ▼ -6.58%
💱 Currency Rates
USD/CNY 6.78 ▲ +0.06%
CAD/CNY 4.82 ▼ -0.09%
USD/CAD 1.40 ▼ -0.12%
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China Compass
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