Morning Update: Beijing and Moscow’s partnership gives China major foothold in Arctic, report finds

Good morning,

As Russia deals with serious money woes because of its military assault on Ukraine, it has had to increasingly rely on China to help maintain its military and economic presence in the Arctic, giving Beijing a major presence in the Far North, according to a leading U.S. strategic intelligence firm.

Moscow and Beijing are also deepening their security ties, signing an agreement in April, 2023, to co-operate on maritime law enforcement. In August, 2023, they conducted joint exercises in the Bering Sea off the coast of Alaska – remaining in international waters.

Washington and Ottawa are becoming increasingly concerned about China’s activities in the Arctic. Beijing’s interest in minerals in Canada’s North in part prompted the development of a joint U.S.-Canada strategy to reshape global critical mineral supply chains and reduce reliance on China. Beijing has moved aggressively in recent years to tighten its control of rare earth minerals, which are crucial for manufacturing high-tech and military products.

Open this photo in gallery:

This is the daily Morning Update newsletter. If you’re reading this on the web, or it was forwarded to you from someone else, you can sign up for Morning Update and more than 20 other Globe newsletters on our newsletter signup page.

Applications to McGill, Concordia plummet after tuition hike targeting English schools

Quebec’s two largest English universities saw applications drop from Canadian students who live outside of the province after the Legault government announced a tuition hike targeting those schools.

Fabrice Labeau, deputy provost at McGill, said the application numbers reflect the doubts university representatives were hearing on recruiting trips throughout the fall, as the government first introduced the possibility of increasing tuition at the English universities. The message some potential applicants got was that Quebec was not welcoming to students from outside the province, he said.

The provincial government has said its policy is aimed at protecting the French language in Montreal.

• Canadian universities and colleges trying to come to grips with fallout from international student cap

Former Libyan envoy who safeguarded Gadhafi files begged Canada for help before his arrest

A former Libyan ambassador to Canada who remains in prison in his home country pleaded with Ottawa to reunite him with his wife and children in Ontario in the months leading up to his arrest last year.

Fathi Baja was detained in Benghazi while he was trying to immigrate to Canada on Oct. 1, 2023. He still has not been charged with any crime and is in failing health, according to his relatives in Canada.

Months before his arrest, Baja divulged to The Globe and Mail that he was safeguarding documents about the billions of dollars the late dictator Moammar Gadhafi stashed in Canadian bank accounts and about a Toronto penthouse owned by his son, Saadi Gadhafi.

Got a news tip that you’d like us to look into? E-mail us at tips@globeandmail.com Need to share documents securely? Reach out via SecureDrop

Also on our radar

Tories reject legislation for new trade deal with Ukraine: Conservatives voted against a new trade deal with Ukraine yesterday as a new poll showed that the party’s voters are at the forefront of declining Canadian support for Ukraine in its war against Russia.

• Conservatives call for Trudeau to resign over invitation to Waffen-SS veteran to Zelensky reception
• Opinion: Zelensky’s tensions with his top military commander could undermine Ukraine’s war efforts

Trump not immune from prosecution, court says: A federal appeals panel ruled yesterday that Donald Trump can face trial on charges that he plotted to overturn the results of the 2020 U.S. election, rejecting the former president’s claims that he is immune from prosecution while setting the stage for additional challenges that could further delay the case.

Nova Scotia still digging out after storm: A massive snow storm that pummelled parts of Nova Scotia over the weekend has left many people still trapped inside their homes after wet, heavy snow jammed entrances to homes, blocked roadways and collapsed roofs.

Macklem spells out limits of monetary policy: Canada’s housing affordability problem can’t be solved by the Bank of Canada’s monetary policy, Governor Tiff Macklem said yesterday in a speech aimed at defining the limits of what central bankers can achieve by setting interest rates.

Concerns grow over China’s economy: As tens of millions of Chinese head home this week to celebrate the Lunar New Year holiday, a feeling of growing discontent and hopelessness is creeping into the country. Months of economic uncertainty, falling employment and a housing crisis that is getting worse has taken its toll on people and many believe that Beijing’s remedies have not done enough to fix China’s problems.

• How The Globe kept eyes on China from Mao’s time to Xi’s

Morning markets

Markets cautious: Global shares hit their highest in over a year on Wednesday, supported by relatively robust earnings and a retreat in the U.S. dollar, although trouble among U.S. regional banks and skepticism over China’s efforts to support its markets made for cautious trading. Around 5:30 a.m. ET, Britain’s FTSE 100 was down 0.34 per cent. Germany’s DAX and France’s CAC 40 slid 0.17 per cent and 0.04 per cent, respectively. In Asia, Japan’s Nikkei finished down 0.11 per cent. Hong Kong’s Hang Seng fell 0.34 per cent. New York futures were little changed. The Canadian dollar was higher at 74.19 US cents.

What everyone’s talking about

Konrad Yakabuski: “[Innovation Minister François-Philippe] Champagne’s bid to lure another foreign supermarket chain to Canada sounds more like political grandstanding than a serious evidence-based policy proposal.”

Editorial: “The new and pending changes to the Competition Act are essential. Just as important is changing the culture of business in Canada. The blowback to an anti-competitive deal is good news and bodes well for a new era where greater competition is at the fore of everyone’s thinking.”

Today’s editorial cartoon

Open this photo in gallery:

Living better

Money-saving grocery tips for parents

Everyone is feeling the pain of higher food costs, especially families with multiple mouths to feed. Using coupons and buying things on sale is one way to lower your costs, but saving 50 cents or a dollar here and there isn’t going to make much of a difference. The real savings happen when you make a structural change to your grocery shopping habits by altering both how much and what kinds of food you buy. Here are some money-saving grocery tips for parents.

Moment in time: Feb. 7, 1976

Open this photo in gallery:

Toronto Maple Leafs captain Darryl Sittler scores 10 points in single NHL game

Toronto Maple Leafs captain Darryl Sittler could be excused for not being able to stop smiling on the bench. He was having a game for the ages. Mr. Sittler had also answered club owner Harold Ballard’s bombastic complaint that the struggling Leafs would be winning games if they had a better centre. On this day in 1976, the Leafs played host to the division-leading Boston Bruins in a nationally televised game. Mr. Sittler centred a new line with wingers Lanny McDonald and Errol Thompson that Leafs coach Red Kelly had put together for offensive punch. In the first period, Mr. Sittler picked up two assists. He scored a hat trick and added two more assists in the second. That gave Mr. Sittler an impressive seven points, but he wasn’t done. The Leafs captain continued his scoring touch with another goal less than a minute into the third period and then added another two for his second hat trick of the game in consecutive periods. The Leafs won 11-4. No one at the time thought to set aside Mr. Sittler’s stick, one of the pucks or even his sweater. His record 10-point game hasn’t been matched since. Bill Waiser

Enjoy today's horoscopes. Solve today's puzzles. Read today's Letters to the Editor.

If you’d like to receive this newsletter by e-mail every weekday morning, go here to sign up. If you have any feedback, send us a note.