
Trump's threats shift Quebec's views on independence ahead of Canada vote
Trump's broadsides against America's northern neighbor, and his avowed aim of making it the 51st state, have pushed people all over the country to reconsider what being Canadian means in the 21st century — a rethinking given added impetus by fast-approaching general elections.
Contrary to expectations, Quebec — the French-speaking province that loves to set itself apart from Canada's majority — has been among the most fervent adopters of the new patriotic sentiment.
"It's crazy, in just a few weeks I've evolved about a lot of things — I feel very Canadian," Carole Potvin said as she sat drinking a coffee in a Montreal neighborhood that is a stronghold of the pro-independence Bloc Quebecois party.
"We felt under threat, and to face up to the American enemy it seems clear to me that we must be united," she added, speaking in French.
The language, along with Quebec's distinct culture and political history, has nurtured dreams of independence.
The province's most recent referendum on breaking away was held in 1995 — although until recently many hoped a new one could take place soon.
For some, the weeks since Trump's inauguration south of the border have changed everything.
"I was long in favor of Quebec being independent, but I think it's a waste of time in today's world," said Potvin's partner, Pierre Choiniere. "When you're up against the U.S., you have to be big and strong," he added.
The proportion of Quebecers telling pollsters they were "proud" or "very proud" to be Canadian surged from 45% in December 2024 to 58% just two months later.
Those saying they were "very proud" increased even more than the overall figure — although Quebecers' overall "proud" ratio remains the lowest in Canada.
Such numbers have unsettled the Bloc Quebecois, which stands candidates for election only in the Francophone province.
Until autumn it had been counting on increased support in the April 28 national election, after securing 33 seats in Canada's parliament in 2021.
The party "has never faced such strong headwinds," said political veteran Regis Labeaume, mayor of Quebec City from 2007-21.
"It's not easy to position yourself when Canadian solidarity is growing," the pro-independence politician added. "Many people are going to vote tactically, not with their hearts" this time around, he said.
Labeaume sees the change as resulting clearly from voters' shock at Trump's threats to Canadian prosperity and sovereignty.
"As Quebecers and Canadians we've never seen war, we've never been afraid for our physical integrity, so that explains these threats being a huge shock," Labeaume said. "People are flabbergasted."
Other separatists, meanwhile, are trying to see the glass as half-full.
"Even when we're facing serious threats, almost one-third of people want Quebec's independence," said Camille Goyette-Gingras, president of separatist federation Oui Quebec. "Our province is different, including economically, from the rest of Canada, and so we'd benefit from being able to defend ourselves," she added.
Despite such arguments, the Bloc Quebecois looks set to glean just 25% of the province's vote in the coming elections, according to the latest polls.
That could leave the separatists with roughly half the number of seats they won last time around — a mere five to 6% of the national result.

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The Diplomat
2 hours ago
- The Diplomat
Can India Survive the Trade War?
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In a dizzying reversal, on August 7, India found itself with a 25 percent tariff on most products it sells to the U.S., its largest export market. This tariff rate is set to increase by an additional 25 percent on August 27, a punishment for India's purchases of Russian oil and gas. India also faces the looming threats of indirect tariffs, including steep tariffs on pharmaceuticals and semiconductors and a 10 percent tariff on goods from countries that are members of the 'anti-American' BRICS organization. Trump's tariff onslaught has forced India into a precarious position, and New Delhi is employing three strategies in tandem to get out of it. First, New Delhi is confronted with the daunting task of securing a deal with Washington, without violating any key redlines that would jeopardize Modi's domestic support. India is also attempting to delicately manage its geoeconomic relationship with China, cooling tensions with Beijing without ignoring preexisting military and economic security concerns. While hedging between the two great powers, India is also seeking to advance its geopolitical ambitions of assuming great power status by diversifying its economy to alternative partners. Managing Trump's Tariff Pressures Faced with a barrage of tariff threats, New Delhi has sought to strike a deal with Washington without compromising its key interests. India has refused to rush into an unfavorable agreement, unlike other major U.S. trading partners. While having drawn a clear redline at exposing its agriculture and dairy sectors to competition from U.S. exports, in the hopes of securing a deal, India has offered a range of limited and strategic concessions, including reducing tariffs on 55 percent of U.S. exports and increasing purchases of American defense and energy products. Thus far, India has refrained from retaliating, aiming to avoid escalation that would jeopardize the prospect of a deal that might ease existing retaliatory tariffs and the impending 25 percent secondary tariff related to India's purchases of Russian oil. Indian officials are reportedly exploring what concessions can be offered at negotiations with the U.S. later this month, including tariff reductions on a limited range of agricultural products, namely cheese and almonds, that would have minimal impacts on domestic producers. While some Indian oil refiners have decreased their purchases of Russian oil, New Delhi has remained adamant that it will continue imports of Russian oil that are legally permissible under the G-7 price cap. As a clear signal of resolve and as part of a broader effort to hedge against the U.S., India has simultaneously moved to bolster its historically strong economic and defense ties with Russia. New Delhi's firm stance reflects domestic political pressures. Modi has touted India as an emerging great power destined to play a key role in the future geopolitical and economic order and he cannot afford to be seen as appeasing Trump's whims. Concessions to the United States that undermine the standing of the ruling Bharatiya Janata Party (BJP) with Indian farmers, especially tenuous since the farmer protests that swept the country a few years ago, would be political suicide. Other factors also reduce India's incentive to rush into a deal: the legality of Trump's tariffs is being openly challenged, and India has no guarantee that Trump would not backtrack on any deal that is reached between them. This approach is, however, not without risks. Trump has seemingly run out of patience and has already imposed tariffs on India for its refusal to make a deal once. While negotiations have stalled, Southeast Asian economies, including Vietnam, Indonesia, and the Philippines have all secured lower tariff rates that make them more competitive in the U.S. market than India. India's exports to the U.S. accounted for 2 percent of its GDP last year. Goldman Sachs has suggested that the 25 percent tariff would cut India's economic growth by 0.3 percentage points, with this doubling if the additional secondary tariff goes into effect. Prolonged trade tensions also risk exacerbating the already notable deterioration in India-U.S. relations, fueled not only by economic disputes but also by Trump's budding friendship with Pakistan's military chief and talks of the U.S. purchasing Pakistani oil. Continued strains on India-U.S. relations are certainly in neither New Delhi nor Washington's geostrategic interests, particularly if they remain committed to countering China's political and economic influence. These tensions could potentially jeopardize this year's Quad leaders summit in India, and even the broader future of the Quad partnership. While Modi needs to signal resolve for his domestic political audience, his advisers should also find ways to keep the doors open to negotiations and consider concessions they could feasibly make when U.S. trade negotiators visit India later this month. Can India Count on China? Increased trade with China could help stabilize India's economy amid tariff threats from Washington, especially if it can increase its raw materials exports to China. India has deep-seated security concerns over its border dispute with China. The border dispute extends back as far as the 1960s and has flared up multiple times, particularly in 2020 when clashes in the Galwan Valley resulted in the deaths of 20 Indian soldiers. The two Asian giants have also competed to position themselves as leaders of the Global South for decades. 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Too much economic cooperation with China could very well result in the Indian market being flooded with Chinese imports. Additionally, China may not seek to cooperate with India given its ambitions to play a greater role in manufacturing and supply chains, in which China currently dominates. Whether China will play ball with India depends on decisions made in Beijing, which are highly strategic and often only made in their own best interest. While working to foster better ties with China, India must carefully consider the broader geopolitical implications of its actions. On one hand, thawing relations with China while keeping its head above water with the U.S. will position India well in the event of a China-U.S. grand bargain. On the other hand, making concessions to China while Beijing maintains an aggressive stance toward their disputed borders would make Modi look weak and invite opposition criticism. 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India has also sought to strengthen ties with other members of the BRICS bloc, agreeing to boost bilateral trade with Brazil and resuming talks with South Africa. However, considering that about 18 percent of India's exports go to the U.S. and about 15 percent of India's imports come from China, such efforts may not significantly reduce dependence on the two great powers. New Delhi has a prime opportunity to capitalize on a moment when many countries are seeking alternatives to both the U.S. and China to attract greater foreign investment and strengthen trade ties with countries that occupy strategic positions in critical supply chains. This, in turn, would bolster India's role in global manufacturing and advance India's economic influence and geopolitical ambitions. 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Indian exports face stiff competition from China and emerging Southeast Asian economies, which are also diversifying away from the U.S. market. India will struggle to match China's manufacturing scale, and Indian exports may struggle to compete in developed markets – such as the EU and Canada – that already have FTAs with India's Southeast Asian competitors. Trump's recent warnings to Apple CEO Tim Cook against expanding manufacturing operations in India also suggest that he will not respond favorably to any efforts by. U.S. firms to shift manufacturing to India. Conclusion New Delhi's efforts to strategically hedge and diversify are a significant geopolitical and economic gamble. India has little choice but to try to soothe simmering trade tensions with the U.S. without abandoning its redlines, while carefully managing the implications of increased cooperation with China, and expanding its network of trade ties beyond the two great powers. Imminent pressure from Washington and Beijing could render this gamble a failure for New Delhi, resulting in long-term economic turmoil and political grievances that could end Modi's career. However, if successfully implemented, India could find itself in a geopolitical sweet spot, capitalizing on many countries' desires to reduce their exposure to U.S. and Chinese trade policies to garner greater economic and geopolitical clout. India's long history of strategic autonomy may mean that it will find it easier than many others to adapt in an international system that is rapidly dissolving into chaotic transactionalism. Still, it faces many stumbling blocks, including the uncertainty of U.S. economic statecraft, in its efforts to claim great power status in a fracturing world.


The Diplomat
5 hours ago
- The Diplomat
One Belt, One Road, One Chilean Headache
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The next largest export destination – the United States – was well behind, accounting for just 15 percent of Chile's total exports. As of 2024, Chile and China's bilateral trade was worth an estimated $37.8 billion. That year, Chile's exports to China were primarily made up of minerals – at $27.95 billion, representing almost 75 percent of total trade. Of these minerals, the most prominent is copper, with Chile exporting $5.5 billion worth of copper to China. Chile holds an estimated 23 percent of the world's reserves in copper, and as of 2024 produced 24 percent of the world's copper, signifying the importance of China as a stable buyer. In 2005, China's Minmetal Corporation signed a 50-50 joint venture with Codelco, Chile's state-owned copper producer, for $550 million. This venture would ensure China with 55,000 tons of copper for more than 15 years. In other projects not owned by China, Chinese banks have provided investment. In 2021, the Collahuasi mine signed a $1 billion syndicate loan from 17 banks, including three from China: the Bank of China, Industrial and Commercial Bank of China, and China Construction Bank. Together the three banks provided $71.43 million for the mine. Similarly, in 2021, the Bank of China also provided $38.11 million of a $571.6 million syndicate loan used for the expansion of the Mantoverde copper mine. Mantoverde – which is not owned by China – produces an estimated 120,000 tonnes of copper per year. Chile also plays a significant role in lithium mining. As of 2023, Chile was the world's second largest producer of lithium, accounting for 25 percent of global production. Here, too, Chinese firms have been actively investing. In 2018, Tianqi Lithium Corporation purchased 23.77 percent of the Chilean lithium mining company Sociedad Quimica y Minera de Chile (SQM) from the Canadian company Nutrien. Tianqi paid $4 billion for the shares and has since held the second-largest stake in SQM (Pampa Group is the largest shareholder, with 26 percent). An agreement signed in May 2024 gives SQM the responsibility of producing refined lithium in Salar de Atacama from 2025 to 2060. Furthermore, in 2023, China's Tsingshan Holding Group and BYD planned to invest $233.2 million setting up a lithium iron phosphate (LFP) plant, operational by May 2025. Chile hoped this project would produce 120,000 tons of LFP per year. However, in 2025, the Chinese partners withdrew from those plans for unknown reasons. Also, in 2025, BYD delayed plans for a lithium cathode plant worth $290 million, with the capacity of producing 50,000 tons of LFP per year. Observers think the project is likely to be canceled. Even with the recent issues involving lithium projects, China may have more opportunity to invest due to the weakened state of Chile's Codelco, the state-owned mining company that is a critical player in Chilean copper and lithium. As reported in December 2024, Codelco's debt has ballooned to over $20 billion with production hitting a historic 25-year low in 2022. Beyond the mining sector, China is having a significant – albeit indirect – impact on Chile's transportation sector. Chile's largest port, the Port of Valparaíso handles 11.5 million tons of cargo a year. In 2024, Valparaíso exported 31 percent of its cargo to Asia – primarily China. Chile has plans to expand the port, which is owned by the state company EMPORCHI, including adding cargo terminals, extending cruise terminals, and expanding the flow of cargo ships. The goal is for the port to maintain competitiveness with the region. And the competition is fierce following the inauguration of the Chinese-built Chancay port in Peru. Chancay's rise may cut into the traffic heading for Chilean ports like Valparaiso. The new 'Chancay Express' connects the Chilean ports of Lirquen and San Antonio to Peru's port. Essentially, the route allows for Chilean goods to be shipped to China via Peru's Pacific coast, reducing shipping times from 35 days to 23 and cutting costs by 30 percent. Unlike Chilean ports, Chancay can handle Ultra Large Container Vessels (ULCVs) which means it has a double advantage: it can handle much more cargo on top of having shorter travel time to Beijing. For Beijing, it is clear Chancay is a vital transit hub not just for Peru but for all of Latin America. In addition to the Chancay Express linking Chile to Peru, China has revitalized negotiation for a trans-oceanic railway that would carry cargo from Brazil to Chancay. China's economic activity in Chile is thus a double-edged sword. Chinese companies have been making unprecedented investments in Chile's critical resources, yet at the same time, China's actions in other parts of Latin America, particularly its promotion of Chancay port in Peru, could undercut Chile's economy. Chile's upcoming election will be crucial for the future of the country's economy – and its ties to China. Jeannette Jara has been surging dramatically after the recent primaries. She is polling at 26 percent, putting her on top at the moment, although Jara is closely followed by Kast at 22 percent. Of the many issues these two candidates face, ensuring the future of Chilean mining will be key for economic growth – especially with the bleeding assets of Codelco. Kast aims to open Codelco to private capital in the hopes of allowing boosting production and restoring revenue growth. His plan includes selling non-core assets to pay Codelco's debts while focusing on operational efficiency and not state revenue. Given China's track record of investing in Chile's natural resources, Chinese firms would likely be keen to take part in the bidding. On the other hand, Jara opposes the deal between Codelco and SQM, instead calling for a new public company to aid in developing lithium resources. Codelco is a copper-mining company, and Jara aims to create a new state-owned firm playing a similar role for lithium resources. That would have implications for China, given its minority stake in SQM. On foreign policy specifically, Jara has emphasized 'not wanting Chile subordinated to foreign government or external models' and emphasizes human rights. She has made no explicit statements about China in this regard. Instead, Jara noted that her foreign policy goal is diversification of trade and multilateralism, focusing on expanding ties with China, India, and Latin America. However, Kast, the incumbent president, has been strongly aligned with Western powers. He is particularly in sync with Trumpian positions such as removing Chile from the United Nations Human Rights Council and opposing immigration, LGBT rights, or any policies he views as 'communist.' With these very different individuals running for office, Chile is at a crossroads. While Chinese investment won't be top of mind for the average voter, the next president will determine the extent of China's influence in the country's economy.


The Diplomat
10 hours ago
- The Diplomat
China Calls on Cambodia and Thailand to Resolve Border Conflict
China stands ready to help Thailand and Cambodia resolve their bitter border dispute, Chinese Foreign Minister Wang Yi said yesterday, after convening a three-way meeting with the countries' foreign ministers in Yunnan province. The meeting between Wang, Thai Foreign Minister Maris Sangiampongsa, and Cambodian Foreign Minister Prak Sokhonn took place on the sidelines of the Lancang-Mekong Cooperation Foreign Ministers' Meeting in Anning, the Chinese Foreign Ministry said in a statement. The three envoys 'had a friendly and candid communication over the conflict along the border between Cambodia and Thailand in a harmonious atmosphere,' and they 'agreed to keep communication channels open through a flexible approach,' the statement said, as per China Daily. The Foreign Ministry also said that Wang held separate one-on-one meetings with Maris and Sokhonn, which covered the border dispute as well as other issues of bilateral concern. On July 28, Cambodia and Thailand agreed to a ceasefire that ended five days of fierce fighting, which killed at least 43 people and displaced more than 300,000 on both sides of the border. The two sides followed this up with a meeting of their bilateral General Border Committee in Malaysia on August 7, at which they agreed to a number of means of de-escalating tensions. Among these were mutual pledges to freeze border troop movements and patrols, not to reinforce their positions along the border, and 'not to undertake provocative actions that may escalate tensions.' However, the situation remains febrile, with both nations trading near-daily accusations of ceasefire violations, often with reference to territorial claims that are not internationally recognized. Wang said that China 'supports Cambodia and Thailand in engaging in dialogue, clearing misunderstandings, rebuilding mutual trust and restoring normal exchanges and cooperation,' the China Daily reported. China also promised support and assistance for landmine clearance in the border areas of Cambodia and Thailand, and the three ministers agreed to continue communication in a 'flexible manner.' Beijing also hoped for the stabilization of relations between the two nations and the reopening of border crossings as soon as possible, Wang said. Chinese officials have been present as observers at the recent bilateral talks, along with their American counterparts, and China's Vice Foreign Minister Sun Weidong hosted an informal trilateral meeting with representatives from both nations in Shanghai on July 30. During the meeting, both Cambodia and Thailand 'reaffirmed their commitment to the ceasefire consensus and expressed appreciation for China's positive role in de-escalating the situation,' the Global Times reported. Yesterday's meetings could signal a Chinese desire to play a more active role in mediating the conflict. Despite enjoying good relations with both Thailand and Cambodia, China has been somewhat upstaged in this respect by the United States. President Donald Trump was widely credited with pushing Thailand and Cambodia to agree to the initial ceasefire on July 28 by threatening to withhold tariff deals if they did not cease hostilities. (Cambodia later nominated Trump for the Nobel Peace Prize in recognition of his role.) However, since securing relatively competitive 'final' tariffs of 19 percent, the two nations have continued to spar over the border issues, making a return to hostilities a very real prospect. In any event, the mistrust between the Thai and Cambodian governments remains at such a high pitch, and the issue has now become an issue of such salience to domestic politics in both nations that Beijing will have to do a lot more to reverse the deterioration of the relationship that has taken place over the past few months.