Next week, prime minister of Canada will be visiting China, the 2nd largest economy of the world. During his visit, the prime minister will talk about the vast reserves of oil in Canada. The visit is being given a label of an open ended warning to the United States, the largest economy of the world, which previously declined a gas pipeline that was due to go from Canada to Texas.
Stephen Harper, the Canadian prime minister, will visit Beijing and another two cities in China for bilateral meetings and talks with the top officials in China, which includes Hu Jintao, Chinese President and Premier Wen Jiabao. The dates of his visit are reported to be 8th February to 11th February.
Spokesperson of the Prime Minister, Andrew MacDougall said on Friday that it is absolutely in the country’s interest to move its resources to China.
Stephen Harper will be accompanied by five Cabinet ministers which includes natural resources ministers, foreign affairs and trade ministers as well. The Prime Minister is focused towards building a pipeline in the Pacific Coast of Canada after Barack Obama, President of United States, declined the Keystone XL gas pipeline which would have enabled the successful route of oil from Alberta to the refineries in Texas.
On the other hand, 97 percent of oil exports of Canada go to the United States but Stephen Harper wants more diversification. Canada is looking forward to trade with China, in order to increase its exports and consequently, foreign earnings. Canada is one of the major exporters of oil and has the 3rd biggest oil reserves in the world, following Saudi Arabia and Venezuela. The reserves of the country are said to be around 170 billion barrels. Moreover, Canadian oil production is also expected to rise in the years to come and reports reveal that daily oil production in the country will reach 3.7 million barrels, from 1.5 million barrels now, by 2015.
