Former Canadian Foreign Minister David Emerson Wednesday advocated an "energetic engagement" with China as the rising Asian power is "strategically important" to Canada.

"China and Canada have an enormous opportunity for strategic engagement geopolitically, economically and diplomatically," Emerson, who was also former international trade minister, said at a breakfast seminar hosted by Hong Kong Economic & Trade Office on the parliament hill in Ottawa.

In a speech titled "Canada's Economic Future -- Why China Matters," Emerson said that "no country is more on the ascendancy than China."

"Chinese modernization and development have changed the entire paradigm of what it takes to be a competitive leader in today's world," he said. "Few today seriously doubt that China will be a key global player for as far as we can see into the future."

Emerson said he believes Canada-China economic interests intersect "in compelling ways."

No region offers greater potential for the future than the rapidly expanding markets of Asia, particularly China, he said. And Canada needs China's markets for its merchandise, new technologies and specialized services.

Canada has no choice but to develop additional markets across the Atlantic and Pacific while enhancing relations with its southern neighbor -- its biggest trading partner, he said.

"We are at a generational watershed," he said.

Emerson called it "an outdated mercantilist argument" that some say Canada's trade deficit with China means China gains more from the trade with Canada than it gets in return.

Substantial amounts of electronic and industrial equipment are imported from China, for example, much of which enables Canadians to achieve efficiency and cost savings essential to their personal or business needs, he said.

He said that Canada runs a trade deficit with Chile because Canada is a dominant investor in their mining industry, and Canada import substantial amounts of ores and concentrates to support its global supply chain in that sector.

"Should we condemn our trade relationship with Chile?" he asked.

Source: Xinhua