...
China announced tariffs on over $2.6 billion worth of Canadian farming and food on Saturday, retaliating against levies Ottawa introduced in October and opening a brand-new front in a trade war mainly driven by U.S.
President Donald Trump&& s tariff threats.The levies, revealed by the commerce ministry and scheduled to take effect on March 20, match the 100% and 25% import duties Canada slapped on China-made electric vehicles and steel and aluminium items just over 4 months back, Reuters reported.By excluding canola, which is also known as rapeseed, and was among Canada&& s leading exports to the&world & s No.
1 farming importer prior to China examining it for anti-dumping in 2015, Beijing may be keeping the door open for trade talks.But the tariffs likewise function as a caution shot, experts state, with the Trump administration having actually signalled it might relieve 25% import levies the White House is threatening Canada and Mexico with if they use the very same extra 20% duty he has slapped on Chinese items over fentanyl circulations.&& Canada & s steps seriously violate World Trade Organization guidelines, make up a common act of protectionism and are inequitable procedures that seriously damage China&& s legitimate rights and interests,& & the commerce ministry said in a statement.China will apply a 100% tariff to just over $1 billion of Canadian rapeseed oil, oil cakes and pea imports, and a 25% duty on $1.6 billion worth of Canadian aquatic products and pork.&& The timing may serve as a warning shot,& & said Dan Wang, China director at Eurasia Group in Singapore.
&& By striking now, China advises Canada of the cost of aligning too closely with American trade policy.&&& & China & s postponed action (to Ottawa & s October tariffs) likely shows both capacity restrictions and strategic signalling,& & she added.
& The commerce ministry is stretched thin, juggling trade conflicts with the U.S.
and European Union.&&& & Canada, a lower priority, needed to wait its turn.&& The Canadian embassy in Beijing did not instantly respond to a Reuters request for comment.Canadian Prime Minister Justin Trudeau said in August that Ottawa was imposing the levies to counter what he called China&& s intentional state-directed policy of over-capacity, following the lead of the United States and European Union, both of which have actually likewise applied import levies to Chinese-made EVs.In reaction, China in September released an anti-dumping investigation into Canadian canola imports.
More than half of Canada&& s canola exports go to China and the trade deserved$3.7 billion in 2023, according to the Canola Council of Canada.&& The examination on Canadian canola is still ongoing.
That canola was not included in the list of tariffs this time may likewise be a gesture to leave space for settlements,& & said Rosa Wang, an expert with farming consultancy JCI.Beijing could also be hoping that a modification in government in Ottawa makes it more open.
Canada&& s next nationwide election need to be held by October 20.
China is Canada&& s second-largest trading partner, tracking far behind the United States.
Canada exported $47 billion worth of goods to the world&& s second-largest economy in 2024, according to Chinese customs information.&& To be truthful I don&& t understand why they are doing this one at all,& & stated Even Pay, agriculture analyst at Trivium China.&& I anticipate Beijing will utilize the election and change of leader as a chance to reset relations as they did with Australia,& & she added.China in 2020 introduced a series of tariffs, restrictions and other constraints on essential Australian exports, consisting of barley, wine, beef, coal, lobster and timber in retaliation to Canberra requiring a COVID origins probe.Beijing did not begin lifting the bans till 2023, one year after Australian Prime Minister Anthony Albanese ousted Scott Morrison, who had actually required the inquiry.The post China counters at Canada with fresh agriculture tariffs initially appeared on Ariana News.