China slaps punishing tariffs on Canadian canola, peas, seafood, pork
Canadian farmers and fishermen are reeling as China’s new tariffs on canola, peas, seafood, and pork took effect today.
The measures include a 100% tariff on peas, canola oil and meal, and a 25% tariff on seafood and pork.
Beijing says these actions come from an anti-dumping investigation launched last September.
However, they are retaliatory trade measures for the tariff on Chinese electric vehicles.
The tariffs land hard on Prairie producers, whose livelihoods rely on stable trading relationships with China.
Some of the larger canola farmers expect to lose up to $100,000 this season.
With seeding only weeks away, many are debating whether planting canola is still worthwhile.
Machinery manufacturers point out that growers are cutting back on equipment purchases, reflecting growing uncertainty over crop prices and global markets amid trade wars with China and the US.
China’s move follows Ottawa’s decision to impose 100% tariffs on Chinese-made electric vehicles and a 25% tax on certain steel and aluminum products.
While the Canadian government calls the tariffs “unjustified,” it has yet to announce solid plans to help affected producers or attempt to remove the tariffs.
Meanwhile, premiers in Alberta, Saskatchewan, and Manitoba are urging federal officials to step in with financial support, warning that producers cannot shoulder these costs alone.
Farmers are also bracing for a potential “two-front trade war,” as the US has threatened to apply 25% tariffs on Canadian agricultural goods starting April 2.
If both sets of tariffs remain in place, the Canadian agricultural sector could face crippling losses during a critical phase of the growing season.
As planting season draws closer, producers are hoping for quick diplomatic solutions before more damage is done to them.