China has imposed preliminary anti-dumping duties of 75.8% on Canadian canola imports, effective immediately. This move is part of a broader retaliation following Canada’s tariffs on Chinese EVs and metals last year.
ICE November canola futures dropped 4%, hitting a three-month low. Analysts warn the steep deposit requirement could effectively shut Canadian canola out of China, its largest buyer.
The decision follows a September 2024 probe that accused Canada of subsidizing its canola industry. It marks a stark shift from the conciliatory tone struck in June between Chinese Premier Li Qiang and Canadian PM Mark Carney.
China also launched investigations into Canadian pea starch and imposed duties on halogenated butyl rubber, signaling a broader trade crackdown. Replacing Canadian canola — vital for China’s aquaculture feed — won’t be easy in the short term.
(source Business Today)
—Agencies
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