SASKATOON — Canada’s canola growers are thrilled that China is rolling back import tariffs on canola seed and meal.
“This is a huge deal,” said Andre Harpe, chair of the Canadian Canola Growers Association.
“China was our second biggest market. In 2024, they took a third of our canola (exports), and that market essentially disappeared overnight.”
That market is coming back following a preliminary agreement-in-principle between the two nations.
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WHY IT MATTERS: China is Canada’s second largest canola market behind the U.S.
Canada has agreed to provide an initial quota of 49,000 Chinese electric vehicles per year at a most-favoured-nation tariff rate of 6.1 per cent.
In return, China has agreed to lower tariffs on Canadian canola seed to a combined rate of 15 per cent on March 1, 2026, from current levels of 84 per cent.
China is also dropping its 100 per cent antidiscrimination tariff on canola meal to zero as of that date.
There was no mention in the federal government’s backgrounder on the agreement about China dropping the 100 per cent tariff on Canadian canola oil.
Harpe said they have been in contact with the federal agriculture minister’s office to clarify what is happening on oil, but there is no definitive information on that yet.
Canadian farmers are breathing a huge sigh of relief following today’s announcement.
“What it helps with is it takes some of the uncertainty away,” said Harpe.
“The last two years for the most part have been just a rollercoaster ride. We don’t know if we’re going up, down or sideways.”
He said the deal gives growers confidence heading into the 2026 planting season.
China bought $4.9 billion of Canadian canola seed, oil and meal in 2024, ranking second behind the $7.7 billion purchased by the United States. Japan took third spot at $720 million.
