China Retaliates With Major Tariffs On Canada’s Agriculture

Canada’s trade relationship with China has taken another hit — as Beijing imposes new tariffs on agricultural exports in response to restrictions Canada placed on Chinese products last year. The penalties threaten billions in trade and signal a deepening economic standoff.

Beginning March 20 — China will enforce a 100% tariff on Canadian rapeseed oil, oil cakes and peas. Pork and seafood products will also be affected — facing a 25% tariff. The decision is a direct response to the tariffs Canada imposed on Chinese electric vehicles, steel and aluminum.

The Chinese Ministry of Commerce has criticized Canada’s trade policies — calling them unfair and harmful to economic relations. Officials have warned that if Canada does not change its approach — more measures could follow.

President Donald Trump’s aggressive trade policies have already put Canada in a difficult position. While some U.S. tariffs were temporarily paused — the possibility of a full reinstatement remains. Canada’s move to align with the U.S. and European Union in restricting Chinese imports has now led to serious economic consequences.

China has used similar trade measures in the past. In 2019 — Beijing imposed restrictions on Canadian rapeseed oil imports after Canada detained a Huawei executive. The dispute disrupted billions in exports before a settlement was reached.

Canada’s exports to China totaled $47 billion in 2024 — making it the country’s second-largest trading partner. The latest tariffs could create further economic strain for Canadian producers — with few options to offset losses in key markets.