China’s Ministry of Commerce has concluded its anti-discrimination investigation against Canada, launched in September 2024, in response to Canadian tariffs on Chinese electric vehicles, steel, and aluminum. The result? A heavy blow to Canadian canola.
On March 20, 2025, China’s State Council Tariff Commission will impose a 100% tariff on Canadian canola oil and canola meal — along with several other agricultural commodities. The move effectively shuts the door to one of Canada’s most valuable export markets.
The tariffs are separate from China’s ongoing anti-dumping investigation into Canadian canola seed imports, but the impact is immediate and staggering. In 2024, China imported $918 million worth of Canadian canola meal (2 million metric tonnes) and $20.6 million worth of canola oil (15,351 metric tonnes). Combined, China’s appetite for Canadian canola was worth nearly $5 billion last year.
“New tariffs from China on Canadian canola oil and meal will have a devastating impact on canola farmers and the broader value chain at a time of increased trade and geopolitical uncertainty,” says Chris Davison, President & CEO of the Canola Council of Canada (CCC). “We urge the federal government to immediately engage with China to resolve this issue.”