China suspends some agricultural tariffs on Canada from March 1
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China said Friday it would suspend some tariffs on Canadian agricultural products imposed during a trade dispute between Beijing and Ottawa after Canadian Prime Minister Mark Carney reached a preliminary agreement with China during a visit in January.
China will suspend 100 per cent tariffs on Canadian canola meal and pea imports from March 1 until the end of 2026 and halt 25 per cent tariffs on lobster and crab imports, the Finance Ministry said in a statement.
The results are broadly in line with Carney’s expectations. But the Chinese announcement made no mention of canola seed tariffs, which Carney previously said would be reduced by March 1.
Ottawa hopes Beijing will reduce canola seed tariffs from the current 84 per cent to a combined rate of about 15 per cent. The Chinese Commerce Ministry has said the Canadian canola investigation is scheduled to end on March 9.
“One thing we do know is that Chinese buyers are already booking Canadian canola cargoes for March. That gives me a lot of confidence that they’re going to pursue a lower tariff rate,” said Ewen Rogers Pei, director of Beijing-based consultancy Trivium China.
Canola oil and pork were also not mentioned in the statement. But Beijing could still announce further adjustments by the March 1 deadline given by Carney.
China was Canada’s second-largest market for canola in 2024.
The suspension comes amid a wave of visits by Western leaders to Beijing as US President Donald Trump’s trade policies have strained Washington’s traditional alliances. In contrast, China has tried to present itself as a more stable and reliable economic partner.
Carney went further than his European counterparts by securing a deal with China and signaling Canada’s ambition to take a leading role in a new global trade arrangement aimed at reducing dependence on the United States.
During his visit to China, Carney promised to allow 49,000 Chinese electric vehicles into Canada on most-favoured nation terms at a tariff of 6.1 per cent.
