On Saturday, China announced tariffs on Canadian agricultural and food products, revenge on Ottawa’s levy introduced in October on a Chinese electric vehicle, steel and aluminum products.
Tariffs announced by the Ministry of Commerce, to take effect on March 20th, added a new front to a trade war, which largely led the announcement of US President Donald Trump about tariffs in Canada, Mexico and China and threats of protectionist measures of other nations.
China will apply a 100 -pointed tariff to the Canadian oilseed oil, oil cakes and imports of peas, and 25 percent of duties on Canadian water products and pork, the Ministry states.
Canadian 100 -pointed tariff on Chinese EV and 25 percent of collection on their aluminum and steel products “seriously violate the rules of the World Trade Organization, represent a typical act of protectionism and discriminatory measures that seriously harm legitimate rights and interests of China,” the Ministry said.
Prime Minister Justin Trudeau said in August that Ottawa was imposing a levy to counteract what he called the Chinese intentional state policy of excessive capacity, after the leadership of the United States and the European Union, who also applied levies to imports to EVs that made Chinese.
China is the second largest Canadian trade partner, lagging far behind the US
‘Widespread and negative impact’
Chris Davison, President and CEO of Canola Council of Canada, CBC News said on Saturday that Chinese announcement “will have a wide and negative impact in the Canadian Canola Industry.”
“To say that people are anxious, it would be humble,” Davison said. He added that US and Chinese markets together “usually represent more than 75 percent of Canadian Global Kanoli trade.”
On Friday, the Federal Government announced some tariff measures to assist the Canadian company and workers, including one billion dollars of new financing through Farm Credit Canada to reduce financial obstacles for the Canadian Agriculture and Food Industry.
Davison said that in “in the” immediate short time there will be the need for the federal government financially supporting the Canadian Canada Industry. “
He also said that there must be a “meaningful engagement” between Ottawa and all Canadian major commercial partners.
“All markets have risks associated with them and we need to effectively manage these risks,” Davison said. “And that requires a good, strong engagement between the two governments in this case.”
