China hits Canada with retaliatory tariffs on farm, food products

China announced on March 8 that it would impose retaliatory tariffs on certain Canadian farm and food imports, following Canada’s decision in October to levy duties on Chinese-made electric vehicles (EVs) and steel and aluminum products.

The new tariffs, which are set to take effect on March 20, 2025, mark a significant escalation in the ongoing trade tensions between the two nations, Caliber.Az reports citing foreign media.

According to a statement from China’s Customs Tariff Commission of the State Council, Canada’s rapeseed oil, oil cakes, and peas will be subject to an additional 100 per cent tariff, while pork and aquatic products will face a 25 per cent tariff. These measures are part of China’s broader response to Canada’s tariffs imposed on Chinese imports last year, which included a 100 per cent surtax on Chinese-made EVs and a 25 per cent tariff on steel and aluminum.

The Chinese government expressed its frustration with Canada's actions, stating that "despite China’s repeated opposition and dissuasion, Canada has taken unilateral restrictive measures on electric vehicles, steel, aluminum and other products imported from China without investigation, undermining China-Canada economic and trade relations."

The decision to implement these retaliatory tariffs follows an "anti-discrimination probe," which found that Canada’s tariffs on certain Chinese products had "disrupted normal trade order and harmed the legitimate rights and interests of Chinese enterprises," the statement added.

The imposition of the new tariffs further intensifies the already strained global trade relations, with the United States, China, Canada, and Mexico all engaging in rounds of tariff announcements. Canada first announced tariffs on Chinese goods in August 2024, joining the United States and the European Union in their efforts to counter what they perceive as unfair Chinese subsidies to domestic industries, particularly in the electric vehicle sector.

As trade tensions continue to mount, the retaliatory measures underscore the growing rift between China and Canada, with the global community closely monitoring how these economic disputes will unfold in the coming months.

By Vafa Guliyeva