On 27 November 2022, Canada released its long awaited Indo-Pacific Strategy, highlighting that the Indo-Pacific “will shape country’s future over next half-century”.[1] As a Pacific nation, Canada recognises significance of the Indo-Pacific to its national security and economic prosperity. The Strategy is a comprehensive document which outlines how Canada will engage with the region in the coming years. With the Strategy, Canada promises to invest more resources in the region for deeper engagement with partners in the light of ‘disruptive’ China.
Canada’s strategy has been a work-in-progress for some time, with an aim to diversify its engagement in the region. It was put forward on the agenda of House of Commons in the Parliament in November 2021, highlighting that the Indo-Pacific is becoming a key component of government’s foreign affairs priorities.[2]
Earlier in June 2022, Minister of Foreign Affairs Mélanie Joly, had announced the establishment of an Indo-Pacific Advisory Committee. The Committee was to “provide independent perspectives and recommendations on Canada’s Indo-Pacific strategy”.[3] The Advisory Committee included representatives of the private sector, civil society and government to provide diverse perspective from across country, with an aim to “leverage Canadian strengths and expertise to advance goals, such as trade diversification, inclusive growth, effective action on climate change and enhanced regional security”.[4]
With rise and increasing salience of the Indo-Pacific, many nations and institutions have adopted their own strategy/vision for the region, including two major multilateral groupings ASEAN and the EU. Foreign Minister Melanie Joly, prior to the launch of the Strategy had mentioned in her speech that “world’s power structures are moving. In this evolving global context, the status-quo was not an option”.[5] As a result, the Strategy recognises the rise of the Indo-pacific as “once-in-a-generation global shift” and emphasises that under the current circumstances, Canada does not have an option but to diversify its diplomatic network, deepen ties with friends and also seek new partners in the region.[6]
The Strategy begins by highlighting the Indo-Pacific as a new horizon of opportunity with over 40 countries and economies and being the world’s fastest growing-region with one third of the global economic activity accounting for $47.19 trillion and comprising six of Canada’s top 13 trading partners.[7] The region, therefore, provides immense economic opportunity for Canada with the rising demands for education, health services, food, agriculture and fisheries, natural resources and critical minerals, energy, financial services, advanced manufacturing and green infrastructure. While the region is a centre of economic dynamism at the same time it also faces strategic challenges to regional peace and security, including those resulting from actions of China in different parts of the region, tensions in Korean peninsula, South China Sea and Taiwan.
With this backdrop, the Strategy outlines five major strategic objectives for Canada in the region. These include promoting peace, resilience and security, expanding trade, investment and supply chain resilience, investing in and connecting people, building a sustainable and green future and promoting Canada as an active and engaged partner to the Indo-Pacific countries. For the purpose, Canada will also engage with multilateral platforms in the region.
On China
Before announcing the Strategy in an interview with Bloomberg, Foreign Minister Mélanie Joly, said that, crafting an Indo-Pacific strategy would have been fruitless without addressing China’s growing influence, “the elephant in the room.”[8] In the 26 page Strategy document, China finds mention more than 50 times. It has a long section on China and implications of its disruptive rise. The strategy expresses concern over China’s unilateral and coercive actions saying that Beijing is attempting to re-interpret and disregard the rules of international order as per its wishes. It recognises China as an increasingly ‘disruptive global power’. It also mentions that People’s Liberation Army is becoming more assertive with its offensive technological capabilities and geographic reach. The Strategy highlights that China is advancing its economic influence, diplomatic impact, offensive military capabilities and advanced technologies. It also says that Canada will enhance its involvement in multilateral platforms including UN and others to ‘support analysis, consultation and diplomacy’ related to China’s behaviour.
Significantly the Strategy also highlights situation of Uyghurs in Xinjiang, Tibetans and other religious and ethnic minorities, deterioration of individual and collective freedom in Hong Kong, situation in Taiwan Strait, East and South China Seas.
In the context of Canada’s approach to China, the Strategy also mentions about ‘foreign interference’. Canada’s relationship with Beijing has been facing myriad of issues of late. A major sore point was the detention by the Canadian police of a Huawei Technologies executive Meng Wanzhou following which Beijing had arrested two Canadians on spying charges. They were later released but it did dent the bilateral ties. Recently, another issue was Canada ordering three Chinese companies to divest their investments in Canadian critical minerals, citing concern about national security. China reacted to this step by calling it unreasonable targeting of Chinese companies and damaging global supply chains.[9]
Canada has large deposit of critical minerals which are useful for transition to cleaner energy. Given this backdrop, the Strategy also emphasises that the Government in Canada will “ensure that commercial opportunities are consistent with national security”, and will act decisively when investments from state-owned enterprises and other foreign entities threaten the country’s national security, including critical minerals supply chains; further protecting Canadian intellectual property and research; pushing back against any form of foreign interference on Canadian soil; and strengthening our cyber security systems.
While the Strategy encompasses strongly worded criticism for China’s actions, at the same time it also says that approach to China is realistic and it does not neglect China’s size and influence and, therefore, will cooperate with China wherever necessary. The report states that Canada will work with China wherever necessary, such as on the issues of global concern such as climate change, biodiversity loss, global health and nuclear proliferation.
China has strongly criticised the Canadian Strategy. The Chinese Foreign Ministry Spokesperson Zhao Lijian said in a regular Press Briefing that the Strategy is “dominated by ideological bias”. It hypes up the so-called “China threat” and makes unwarranted accusations against China. The Chinese side is gravely concerned and strongly opposes this”. He also said that China had made solemn démarches to the Canadian side.[10]
Taiwan welcomed Canada’s Strategy as the Ministry of Foreign Affairs of Taiwan tweeted on 28 November 2022, “we welcome the launch of Canada’s Indo-Pacific Strategy, which expresses great concern over China’s disruptive rise and stresses the importance of Taiwan-Canada partnership. Together, we'll continue working to promote peace, security and prosperity in the region.”[11]
On India
Canada’s Indo-Pacific Strategy recognises that India’s growing strategic, economic and demographic importance in the Indo-Pacific region makes it a “critical partner”[12] for Canada. “Canada and India have a shared tradition of democracy and pluralism and common commitment to a rules based international system and multilateralism”.[13] Earlier, on 10 November 2022, Canadian Foreign Minister Mélanie Joly, speaking at the town hall to preview Canada’s Indo-Pacific Strategy, had commented that ‘India’s leadership and influence will only continue to grow, both in the region and globally. India also provides crucial opportunity for Canadian businesses’.[14] The Strategy talks of further strengthening economic ties with India and also people to people ties.
On Cooperation with Regional Partners to Deal with Common Challenges
The Canadian Strategy mentions that Canada will pay particular attention to engage with countries in the region including the United States, Australia, ASEAN countries, China, India, Japan, Pacific Island Countries, the Republic of Korea and New Zealand. Here, the Strategy feels compelled to mention China, despite also calling out China’s ‘behaviours and policies that undermine the existing rules-based international system’, as it points out that, the Canadian approach is “shaped by a clear eyed assessment of today’s China” and significant economic opportunities that it offers for Canada, which makes cooperation important to ‘address some of the world’s existential pressures’.[15]
Canada expresses willingness to invest in building capacity to with partners to deal with common challenges including energy security, climate change, challenges to safe and secure maritime trade, cyber security and such other areas of common concerns.
With the Strategy, Canada promises to increase investments in the regional defence and security sector, expressing commitment to enhance its military engagement and intelligence capacity for regional security. In terms of its naval presence, Canada plans to enhance its forward naval presence operations, expand capacity building initiative and enhance interoperability with regional partners in the Indo-Pacific. Canada commits to invest $492.9 million over 5 years[16], for “reinforcing its Indo-Pacific naval presence and increase Canadian Armed Forces participation in regional military exercises.[17]
The Strategy recognises Canada as a maritime nation with shoreline spanning three major oceans. It highlights that Canada’s interest in safe and secure maritime passage through the Indo-Pacific region, which encompasses nearly two-thirds of the world’s oceans, is increasing as more and more goods move from Canada to the Indo-Pacific markets via sea.
Illegal, Unreported, Unregulated (IUU) fishing is a major challenge to maritime security in the region. Canada promises to engage with regional partners to deal with the challenge “including thorough Dark Vessel Detection Program, which uses Canadian technology to find illegal fishing vessels and protect fish stocks”.[18]
Climate change is another important area of concern that stands out clearly in the Canada’s Strategy. The Indo-pacific region is very vulnerable to adverse effects of climate change, especially the small islands countries of the region. The Strategy recognises that climate change is a global challenge that requires global solutions. Canada commits to work with regional partners for sustainable and green future. Canada through the strategy expresses willingness to share its expertise in clean technology, oceans management and energy transition.
Canada has also committed $47.4 million over 5 years in the field of enhancing cyber security for building capacities in partner countries and enhancing regional engagement on such issues.[19]
The Strategy also mentions that Canada is willing to work with Indo-Pacific partners in areas like preventing plastic pollution, disaster resilience, climate financing, sustainable infrastructure, resilient supply chains and other related areas.
For trade diversification, Canada has already expressed willingness to join Indo-Pacific Economic Framework, (IPEF) which currently has 14 members. The strategy also mentions that the government will improve market access for Canadian goods by early conclusion of the ongoing negotiations and Free Trade Agreements. China is the second largest trading partner for Canada, after the United States, Canada has been working on to diversify its economic relationships, more so since the Covid pandemic, as there is a realisation of making ‘societies and economies more resilient and less vulnerable to the disruptions and shocks.’ So the Strategy highlights that ‘diversification is a priority’ for Canadian economy.
With the Strategy, Canada aims to develop a whole-of-government approach to enhance ‘its presence, visibility and influence” as an active and engaged partner in the region. For that matter the government will appoint a special envoy to the Indo-Pacific region.
On Multilateral Engagements
With the Strategy, Canada also reiterates its commitment to work with allies and partners at multilateral level. The Strategy highlights that Canada will continue its long-standing commitment to ‘Five Eyes’, leverage its contribution to G7, continue to work with partners to strengthen and expand the CPTPP and also engage with the ASEAN.
The Strategy promises that Canada will advance its relationship with ASEAN to the level of strategic partner and also seek membership in ASEAN related mechanisms including ADMM+ and in the East Asia Summit. Canadian strategy firmly puts ASEAN centrality as its core element. Prime Minister Justin Trudeau in his speech at the ASEAN-Canada 45th Anniversary Commemorative Summit on 13 November 2022 said that “Indo-Pacific is a critically important region with major potential to expand trade and grow our economy”.[20] The Joint Statement issued after the Summit highlighted Canada’s commitment to ASEAN centrality and to advancing cooperation under the ASEAN Outlook on Indo-Pacific (AOIP).[21] At the same time, the Strategy reiterates that Canada will continue its positive engagement with platforms such as the United Nations, the European Union in Brussels and NATO.
Pacific Islands region also finds mention in the Canadian Strategy as it announces that Canada will soon be opening its first mission in Fiji, and will work towards enhancing its engagement with the Pacific Island Forum (PIF). Canada also announced to deploy Canada’s first diplomatic position in Hawaii and hold the inaugural Canada–United States Strategic Dialogue on the Indo-Pacific in 2023.
Promoting multilateralism remains a priority area for Canada’s engagements with regional partners for future security and prosperity in the Indo-Pacific region.
Conclusion
Ottawa’s Indo-Pacific Strategy is a very timely development, given the current swift changes in geopolitical environment of the Indo-Pacific Region. There has been a gradual realisation in Canada to become more pro-active in its engagements in the context of the Indo-Pacific and have a clear articulation of its own interests in and vision for the region. Canada has an enduring interest in ensuring that the region remains stable and open and free. Beyond North America, the Indo-Pacific region presents the largest opportunity for Canada. So far, a lack of focus on the region amongst the Canadian policy makers[22] had resulted in delay in crafting a well-defined Indo-Pacific Strategy for the country but it was about time that Canada acted on the Indo-Pacific or it would have risked being left out or marginalised of enormous economic and strategic benefits the region offers. With the Strategy, Canada recognises that the Indo-Pacific presents significant opportunity but at the same time the region is also witnessing intense geopolitical competition among major powers. Under the current circumstances, Canada puts out clearly that it has a deep interest in a free, open and rules-based order in the neighboring Indo-Pacific region and in promoting itself as a reliable and engaged partner in the region.
*****
*Dr. Pragya Pandey, Research Fellow, Indian Council of World Affairs, New Delhi.
The views expressed are personal.
[1] Canada’s Indo-Pacific Strategy, https://www.international.gc.ca/transparency-transparence/indo-pacific-indo-pacifique/index.aspx?lang=eng#a4
[2] Canada: Justin Trudeau government formulates new Indo-Pacific strategy, November 24, 2021, https://www.hindustantimes.com/world-news/canada-justin-trudeau-government-formulates-new-indo-pacific-strategy-101637733321842.html
[3] Minister Joly announces new Indo-Pacific Advisory Committee, June 9, 2022, https://www.canada.ca/en/global-affairs/news/2022/06/minister-joly-announces-new-indo-pacific-advisory-committee.html
[4] Ibid
[5] Foreign Minister Mélanie Joly Previews the Government of Canada's Upcoming Indo-Pacific Strategy in Advance of Diplomatic Trip to Asia, November 9, 2022
https://www.asiapacific.ca/publication/foreign-minister-melanie-joly-previews-indo-pacific-strategy
[6] I.bid no.1
[7] I.bid no.1
[8] Canada to Increase Military and Economic Ties in Indo-Pacific, November 27, 2022,
https://www.bnnbloomberg.ca/canada-to-increase-military-and-economic-ties-in-indo-pacific-1.1851612
[9] Canada orders three Chinese firms to exit lithium mining, November 3, 2022, https://www.reuters.com/markets/commodities/canada-orders-three-foreign-firms-divest-investments-critical-minerals-2022-11-02/
[10] Foreign Ministry Spokesperson Zhao Lijian’s Regular Press Conference on November 28, 2022
2022-11-28, https://www.fmprc.gov.cn/mfa_eng/xwfw_665399/s2510_665401/202211/t20221128_10981836.html
[11]Twitter,https://twitter.com/MOFA_Taiwan/status/1597103724308013056?ref_src=twsrc%5Etfw%7Ctwcamp%5Etweetembed%7Ctwterm%5E1597103724308013056%7Ctwgr%5E5121722ccda98bf1773598e10b531bdf622ec3ea%7Ctwcon%5Es1_&ref_url=https%3A%2F%2Fwww.opindia.com%2F2022%2F11%2Ftaiwan-canada-china-indo-pacific-disruptive-global-power%2F
[12] I.bid no.1
[13] I.bid no.1
[14]Foreign Minister Mélanie Joly Previews the Government of Canada's Upcoming Indo-Pacific Strategy in Advance of Diplomatic Trip to Asia, November 9, 2022 https://www.asiapacific.ca/publication/foreign-minister-melanie-joly-previews-indo-pacific-strategy
[15] I.bid. no1
[16] Canada’s Indo-Pacific Strategy: New initiatives and resources, Backgrounder, https://www.canada.ca/en/global-affairs/news/2022/11/canadas-indo-pacific-strategy-new-initiatives-and-resources.html
[17] Canada launches Indo-Pacific Strategy to support long-term growth, prosperity, and security for Canadians, News Release, 27 November 2022, Governmnet of Canada, https://www.canada.ca/en/global-affairs/news/2022/11/canada-launches-indo-pacific-strategy-to-support-long-term-growth-prosperity-and-security-for-canadians.htm
[18] I.bid no. 1
[19] I.bid no. no.15
[20] Twitter, https://twitter.com/justintrudeau/status/1591492874398572546
[21] Statement - ASEAN-Canada 45th Anniversary Commemorative Summit Joint Statement, November 13, 2022,
[22] Stephen Nagy: Canada has pressing interests in the Indo-Pacic region. It’s time we started acting like it, 30 June, 2022, The Hub, Canada, file:///C:/Users/GEM/Downloads/Canada_has_pressing_interests_in_the_Ind.pdf