The mounting pressure of Chinese tariffs on canola has prompted provincial action and federal coordination. Saskatchewan Premier Scott Moe is preparing to lead a trade mission to China in the coming weeks to press Beijing to remove restrictions on Canadian canola. The three-day mission is part of a broader provincial effort to safeguard market access and economic stability for the sector.

Liberal MP Kody Blois, parliamentary secretary to the Prime Minister, will join Moe on the trip following Prime Minister Mark Carney’s pledge to take part in resolving the trade dispute. Blois will meet with Chinese officials to discuss the impact of the tariffs on agricultural exports and related trade matters.

China’s decision to impose preliminary anti-dumping duties of 75.8 per cent on Canadian canola seed in August followed escalating trade measures tied to Canada’s earlier move to levy a 100 per cent tariff on Chinese electric vehicles. Beijing had already applied 100 per cent tariffs on Canadian rapeseed oil, oilcakes and peas in March, along with duties on pork and aquatic products. The latest action has extended those penalties, leaving nearly all Canadian canola exports to China under heavy restrictions and intensifying a trade conflict that began with Canada’s tariffs on Chinese EVs and metals.

Canola remains one of Canada’s most valuable agricultural exports, with China historically serving as its largest customer. The tariffs were imposed after a Chinese investigation alleged Canadian canola seed was sold below market value. The duties have created uncertainty across the Prairie economy, where canola is central to farm incomes and rural communities.

At the same time, the federal government is preparing to deliver financial support to the canola sector. Officials have confirmed that a package of assistance, first promised earlier this year, will be announced shortly. The measures are expected to help farmers manage immediate financial pressures while trade discussions continue.

The canola support is expected to be released alongside separate relief for steel and aluminum producers affected by U.S. tariffs. Federal officials have said both industries require targeted measures to address sudden and significant trade disruptions.

On Friday, Sept. 5 Prime Minister Mark Carney unveiled a “Buy Canada” procurement policy requiring federal agencies to favour domestic suppliers and introduced a C$370-million production incentive to support canola farmers battered by Chinese tariffs. 

Canada exported nearly 10 million tonnes of canola seed in 2024, most of it to China. The dispute risks diverting shipments to other markets at lower prices, putting pressure on farm revenues and adding to uncertainty ahead of the 2025 harvest.