China Hits Back at Canada With Fresh Agriculture Tariffs

China announced tariffs on over US$2.6 billion (S$3.5 billion) worth of Canadian agricultural and food products on March 8, retaliating against levies Ottawa introduced in October and opening a new front in a trade war largely driven by US President Donald Trump's tariff threats.

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BEIJING —

The levies, announced by the Commerce Ministry and scheduled to take effect on March 20, match the 100 per cent and 25 per cent import duties Canada slapped on China-made electric vehicles (EVs) and steel and aluminum products just over four months ago.

By excluding canola — which is also known as rapeseed, and was one of Canada's top exports to the world's No. 1 agricultural importer prior to China investigating it for anti-dumping in 2024 — Beijing may be keeping the door open for trade talks.

But the tariffs also serve as a warning shot, analysts say, with the Trump administration having signaled it could ease 25 per cent import levies the White House is threatening Canada and Mexico with if they apply the same extra 20 per cent duty he has slapped on Chinese goods over fentanyl flows.

"Canada's measures seriously violate World Trade Organization rules, constitute a typical act of protectionism and are discriminatory measures that severely harm China's legitimate rights and interests," the Commerce Ministry said in a statement.