In a 26-page strategy document, Canada said it would strengthen its military presence in the Indo-Pacific region, tighten investment laws to protect intellectual property rights and prevent Chinese state companies from controlling supply chains of important minerals, and pledged to provide additional resources to deal and compete with China

This comes as Canada will work with China, the world's second largest economy, on climate change and trade issues.

The long-awaited plan is aimed at deepening ties with a fast-growing region of 40 countries that account for almost 50 trillion Canadian dollars (37.4 trillion dollars) in economic activity.

But the focus is on China at a time when bilateral relations are cooling.

The strategy states that " China is an increasingly troublesome global power," looking to shape the global order to provide an environment that more facilitates interests and values that increasingly disagree with us.

The strategy, which highlights "foreign interference and increasingly coercive treatment of other countries" by China, said Canada would invest in strengthening military presence in the region along with intelligence and cyber security activities.

"Our approach is shaped by a realistic and clear assessment of China today. In areas of deep disagreement, we will challenge China,"he said.

Tensions escalated in late 2018 after the Canadian police detained the CEO of the company "Huawei Technologies" and after Beijing later arrested two Canadians on charges of espionage.

All three were released last year but relations remain tense.

Earlier this month, Canada ordered three Chinese companies to stop investing in important Canadian minerals on the grounds of national security.

The document, in a section referring to China, said Ottawa would review and update legislation enabling it to act "decisively when investments by state-owned companies and other foreign entities threaten our national security, including our critical minerals supply chains".

The Liberal government of Prime Minister Justin Trudeau wants to diversify trade and economic relations, which are heavily dependent on the United States.

Official data for September show that bilateral trade with China accounted for less than 7 percent, compared with 68 percent with the United States.