Canada and China Extend Tariff Relief on Canola Meal, Peas, Lobster and Crab to 2028
Trade ministers agreed in Beijing to prolong the suspension of Chinese tariffs on key Canadian agricultural and seafood products for two more years. Canada will extend remission measures on certain Chinese steel and aluminum imports in return.
Beijing2 min read
Last updated
Canada and China agreed on November 4 to extend preferential market access for Canadian canola meal, peas, lobster, and crab through the end of 2028. International Trade Minister Maninder Sidhu announced the outcome after co-chairing the Joint Economic and Trade Commission meeting in Beijing with China's Commerce Minister Wang Wentao.
The original arrangement, reached during Prime Minister Mark Carney's January visit to Beijing, had paused 100 percent tariffs on canola meal and peas and 25 percent tariffs on lobster and crab. Those measures were set to expire at the end of 2026. The two-year extension provides greater certainty for Canadian producers and exporters.
Sidhu said the deal supports the government's goal of increasing Canadian exports to China by 50 percent by 2030. Since the March implementation of the initial relief, canola seed exports to China rose substantially, canola meal more than doubled, and pea and lobster shipments also increased. China remains Canada's second-largest trading partner.
In return, Canada will extend remission measures through 2028 for certain Chinese steel and aluminum products not manufactured domestically. The January arrangement also restored access for Canadian beef and reduced the tariff on canola seed to about 15 percent for five years. Canola oil and pork remain subject to higher duties and were not covered by the latest extension.
Agriculture Minister Heath MacDonald is also in China this week for meetings with importers, including the state-owned COFCO. Provincial agriculture ministers are attending the China International Import Expo in Shanghai. The extension was welcomed by Pulse Canada and other industry groups as improving predictability for farmers.
The talks occur against a backdrop of shifting global trade pressures, including recent US midterm election results. Canadian officials have emphasized diversification of export markets beyond the United States. The joint commission meeting was the first held at the ministerial level under the current framework.
Further discussions on expanding trade are expected. The government noted that the extension builds on the preliminary joint arrangement announced earlier this year and unlocks continued export opportunities in sectors supporting hundreds of thousands of Canadian jobs.
