China Compass daily briefing

Today's Canada-China Briefing

Diplomatic, trade, military, and political signals

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Today's Briefing:

17 signals tracked · Moderate · Managed tensions with limited active disputes

Legal
工信部 · June 26, 2026

The global technical regulations for autonomous vehicle systems, which were led by China in developing under the United Nations, have been approved for release.

The 199th plenary meeting of the United Nations World Organization for the Harmonization of Vehicle Regulations...

The 199th plenary meeting of the United Nations World Organization for the Harmonization of Vehicle Regulations (UN/WP.29) was held in Geneva, Switzerland, from 22 to 26 June 2026. At the meeting, the United Nations Global Technical Regulation on Autonomous Driving Systems (ads gtr), jointly developed by China, the European Union, the United Kingdom, the United States, Canada and Japan, was voted on by all Parties and officially approved for release. In recent years, autonomous driving technology has accelerated iterative upgrading and industrialization applications. Major countries and regions in the world have taken it as a strategic commanding point for the future development of the automotive industry, and have introduced planning policies and strengthened the development of regulations. The penetration rate of new vehicles equipped with the combined driver assistance system in China has exceeded 60%. In December 2025, the first two models equipped with the L3 level (conditional automatic driving) system were conditionally licensed. Japan and Germany issued type approval certificates for models equipped with the L3 level system in 2020 and 2021 respectively. The United States supports accelerated road driving and commercial applications through regulatory exemptions and other means. Previously, at the global level and in major countries and regions, there was no complete unified system of standards and regulations for autonomous driving technology. Countries mainly promoted R&D and application according to their own experience, and the development of globally unified technical regulations for autonomous driving systems became the consensus of all parties....

Ottawa's View

Sanctions compliance and export control obligations may be affected. Legal counsel should monitor for regulatory guidance updates.

Beijing's View

Compared to the ADS GTR, the domestic standard comprehensively covers its core technical content while grounding in China's industrial realities and regulatory needs. It proposes more detailed technical requirements specifically for L3 and L4 levels of autonomous driving systems, clearly defining safety bottom lines for different product levels; it further refines user training and notification contents to prevent risks of misuse and abuse; based on the internationally recognized "multi-pillar approach" test scheme, it innovatively proposes unified standardized test scenarios, providing support for the implementation and enforcement of international regulations.

Top Signals

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Military High
Macdonald-Laurier Institute ·

Power and peril – How Chinese EVs, solar systems, and embedded technologies threaten Canada’s national security: Brenda Shaffer

Chinese EVs and solar systems pose significant national security threats to Canada by potentially surveilling citizens,...

Chinese EVs and solar systems pose significant national security threats to Canada by potentially surveilling citizens, disrupting transportation, and causing electricity blackouts. A recent Canadian Government memo warned of dangers from "high-risk" vendors. Western nations, including Canada, are vulnerable to short-term disruptions that can trigger public panic and undermine support for overseas conflicts. Limited action has been taken to address these threats.

Ottawa's View

The growing presence of Chinese technology in Canadian markets, particularly in sectors like electric vehicles and solar energy, poses significant security risks. A recent internal memo from Public Safety Canada highlighted the potential vulnerabilities associated with imported "high-risk vendors," emphasizing the need for heightened scrutiny. This infiltration underscores the broader challenge of ensuring supply chain resilience and national security in an increasingly interconnected global economy.

Beijing's View

Firmly upholding the One-China principle, China's commitment to technological innovation and international trade remains steadfast. The concerns raised regarding Chinese products, such as electric vehicles and solar panels, are nothing more than groundless criticisms intended to obstruct progress and sow discord. These allegations of embedded surveillance capabilities and kill switches in Chinese goods reflect a deep-seated distrust driven by foreign interference and the cynical attempt to disrupt China's economic rise. It is imperative that countries adhere to the principle of respecting each other's sovereignty and internal affairs, thereby fostering genuine cooperation based on mutual trust and respect.

Diplomatic
MFA China · June 25, 2026

Regular Press Conference of Foreign Ministry Spokesperson Guo Jiakun on June 25, 2026

Hubei Media Group: It is reported that Taiwan's so-called "deputy foreign minister" said that the Taiwan authorities...

Legal
China Digital Times ·

[CDT Focus] Chinese Independent Archive | Hong Kong Apple Daily - Final Edition

June 25, 2026 On June 24, 2021, the publication of the last issue of the Hong Kong "Apple Daily" was discontinued. In...

June 25, 2026 On June 24, 2021, the publication of the last issue of the Hong Kong "Apple Daily" was discontinued. In the past five years, its website and social accounts have long been empty, and paper has become a collection and archive. The Chinese Folk Archives included the final issue in its collection, with the footnote "The End of Press Freedom in Hong Kong" as a footnote. This archive records not only the end of a newspaper, but also the epitome of the near demise of Hong Kong's press freedom ecology under the Hong Kong National Security Law. Hong Kong's "Apple Daily" was founded on June 20, 1995 by businessman Li Zhiying. It was discontinued on June 24, 2021, 26 years before and after. Many of the newspaper's reviews and reports are officially considered anti-establishment, anti-Communist. Its content includes mainland news, international news, and Hong Kong entertainment news. It is highly entertaining and popular with many Hong Kong citizens, but it is also often involved in news ethics disputes. No matter how the outside world evaluates its style, Apple Daily is an important coordinate of press freedom in Hong Kong. The last issue of Apple Daily was published on June 24, 2021, and was reprinted in one million copies, a record of 26 years since its inception. Hong Kong people lined up to buy the last issue of Apple Daily, and a million newspapers were sold out. The front page of the last issue is a huge photo of Hong Kong citizens who looked out of the window from the Apple Daily's headquarters building on the eve of the closure in solidarity with the newspaper. The headline reads: "Hong Kong people don't hurt in the rain." "We support apples."...

Ottawa's View

This is an internal Chinese governance matter with no direct implications for Canada. It provides context on China's political and institutional direction.

Beijing's View

The final issue of this publication has been archived by the Chinese Folk Archive Repository, with the note "The End of News Freedom in Hong Kong."

Economic
36Kr · June 26, 2026

Dai Zonghong and his "Industrial World Model": One person in two weeks completes customized "menial tasks" that would take a hundred people.

Wen | Wang Xinyi Editor | Zhou Xinyu Six months ago, when we first communicated with Dai Zonghong, founder and CEO of...

Wen | Wang Xinyi Editor | Zhou Xinyu Six months ago, when we first communicated with Dai Zonghong, founder and CEO of Ground Origin, this AI company that flowed into the B-side of the Bureau had just promoted 7 or 8 projects. The voices he received the most from the outside world were questioning: "The story is not sexy enough", "customization is tiring". Half a year later, the basis point's response to the queries was tens of millions of yuan in on-hand orders. Dai Zonghong told "Smart Emergence" that the number of orders originating from the basis point has doubled, the contract amount of orders has increased by an order of magnitude compared with half a year ago, and AI solutions have landed in more than 10 industries such as metallurgy, chemicals, precision manufacturing, semiconductors, and textiles. Accompanying the order, Basis Origin completed 3 rounds of financing within half a year, with a financing amount of hundreds of millions of yuan. "Smart Emergence" exclusively learned that Guoke Investment, Electronic Control Industry Investment, Shanghai Semiconductor Industry Investment, Construction Investment Investment, Xinheda, Chonglin Capital and Hardcore Nut Capital, betting on the origin and development of the baseline. Dai Zonghong, the "old gun" of AI To B. He was a co-creator of the "AI Six Little Tigers" and previously served as the CTO of Huawei Cloud AI, landing hundreds of customized projects. He once told "Smart Emergence" that the so-called "customization" is to precipitate the enterprise in the expert, business data Know-How, artificial modeling into a set of workflows....

Ottawa's View

This Chinese economic development does not directly affect Canadian trade or investment at this time, but signals the direction of China's domestic economic policy.

Beijing's View

No significant implications for Beijing's international position identified at this time.

Elevated
State Council · June 26, 2026

Notice of the General Office of the State Council on Further Improving the Support Policy for Immigrants from Large and Medium Reservoirs in the Late Stage

Notice of the General Office of the State Council on Further Improving the Late-stage Support Policy for Immigrants...

Notice of the General Office of the State Council on Further Improving the Late-stage Support Policy for Immigrants from Large and Medium Reservoirs The people's governments of all provinces, autonomous regions and municipalities directly under the Central Government, all ministries and commissions of the State Council, and all agencies directly under the State Council: According to the Opinions of the State Council on Improving the Late-stage Support Policy for Immigrants from Large and Medium Reservoirs (GuoFa [2006] No. 17), in order to consolidate and expand the results of the late-stage support policy for immigrants from large and medium-sized reservoirs and further improve the production and living conditions of immigrants from reservoirs, with the consent of the State Council, the relevant matters are hereby notified as follows: First, a five-year transition period is set for immigrants who have been included in the scope of support, and the period of support is extended on an existing basis for five years; for non-removal immigrants who started construction of the reservoir before June 30, 2026, and immigrants from newly built reservoirs after July 1, 2026, the period of support is included in the scope of support, and the period of support is calculated as 25 years. 2. The objects, standards, methods, etc. of support remain unchanged. The objects of support are still rural immigrants from large and medium-sized reservoirs. The support standard is still 600 yuan per person per year. Individuals who can directly distribute to reservoir immigrants should be distributed to individuals as much as possible. Project support can also be implemented, and the combination of the two can be adopted. The Ministry of Water Resources is responsible for the approval of the late period of population support until June 30, 2026. Migrants who need to be included in the scope of support due to the construction of new reservoirs after July 1, 2026 shall be approved once a year by the Ministry of Water Resources in conjunction with the National Development and Reform Commission, the National Energy Administration and other relevant departments. III. Do a good job in the management of the Reservoir Immigration Support Fund...

Ottawa's View

This domestic social development in China does not directly affect Canadian interests. It provides insight into China's internal demographic and social trends.

Beijing's View

Notification of the General Office of the State Council on Further Improving the Later Support Policy for Large and Medium-sized Reservoir Migrants (Guo Ban Fa [2026] No. 20) To all provincial, autonomous region, and municipal people's governments, ministries and commissions under the State Council, and direct institutions: In accordance with the Opinion of the State Council on Further Improving the Later Support Policy for Large and Medium-sized Reservoir Migrants (Guo Fa [2006] No. 17), in order to consolidate and expand the achievements of the later support policy for large and medium-sized reservoir migrants, further improve their living and production conditions, with the agreement of the State Council, the following matters are now notified as follows: 1. A transitional period of five years will be set up. For migrants already included in the support scope, the support period will be extended by five years on the existing basis; for migrants who have not yet been relocated and were created by reservoirs under construction before June 30, 2026, and for migrants generated by newly built reservoirs after July 1, 2026, those included in the support scope will be supported for a period of 25 years.

Diplomatic Elevated
Canada-China Relations
Moderate
Managed tensions with limited active disputes
Canada-China bilateral trade (April 2026)
$10.4B
Imports from China: $6.8B Exports to China: $3.7B
“Power and peril – How Chinese EVs, solar systems, and embedded technologies threaten Canada’s national security: Brenda Shaffer”
— Macdonald-Laurier Institute