The Canadian Canola industry urges Ottawa to act while farmers are preparing to undergo heavy losses due to preliminary customs duties of 75.8 % imposed by China on Canola seeds.
“The Chinese market is in fact closed to Canadian Canola industry, a market valued at just under $ 5 billion,” said Chris Davison, president of the Canola Council, after the announcement of customs duties on Tuesday.
“The absence of this request signal (from China) should have significant repercussions on the future of industry,” he added.
China has announced that the measure would come into force Thursday, almost a year after Beijing’s launch of an anti -dumping survey on Canadian canola. This survey follows customs duties of 100 % imposed by Canada on Chinese electric vehicles.
Ottawa indicated that China had until September, the date which marks the end of the investigation, to make a final decision concerning the rights, but that it could extend this period of six months.
The Chinese Commerce Ministry published the details of the plan on Tuesday, saying that the Canadian canola dumping on the Chinese market is harming its internal canola oil market.
The Canadian Canola and Ottawa industry have rejected this assertion, arguing that its companies comply with international trade rules.
The Canola Canadian Council (CCC) said that “anti -dumping surveys are open when a country suspects that a product is imported at a price lower than that to which it is sold in the country where it is produced. »»
“The CCC is convinced that canola trade between Canada and China is in accordance with international trade rules,” said a statement published on the organization’s website before China’s announcement.
Last year, Canada imposed customs duties on electric vehicles made in China and 25 % customs duties on Chinese steel and aluminum.
Beijing retaliated by imposing customs duties of 100 % on the Take and Canadian Canola oil. The latest measure of China concerning canola seeds now means that all canola products are subject to customs duties.
“We ask that this situation be taken care of immediately,” Moe told Saskatoon.
The latter said that Canadian Canola industry has 200,000 jobs and deserves as much support as other industries. He added that the canola sector is more important than the steel, aluminum and electric vehicle industries.
“Our federal government cannot sacrifice a canola industry of $ 43 billion, mainly established in Western Canada, to protect an emerging industry from electric vehicles, mainly based in eastern Canada,” said Mr. Moe.
The Prime Minister of Manitoba, Wab Kinew, told journalists during an event near Kenora, Ontario, that his government had offered support through an agricultural income stabilization program.
Saskatchewan and Alberta also adjusted the Agri-Sitability program with Ottawa in order to increase the compensation rates of farmers in the event of a drop in their margins.
According to Davison, canola Canadian industry would continue to meet the needs of Chinese customers, as importers mainly use this product for animal feed in the aquaculture sector.
“It is a political issue that requires a political solution,” he said.
Countries meet
In early June, Canadian and Chinese trade ministers are committed to meeting business issues.
The Chinese Ministry of Commerce said on Tuesday, in a separate publication on social networks, that the two countries had met four days ago to discuss trade.
The Cabinet of the Canadian Prime Minister referred any comments on customs duties to the Canola to the Minister of International Trade, which did not immediately respond to a comment request.
The Saskatchewanese opposition NDP head of opposition, Carla Beck, urged Mr. Moe to go immediately to China.
Prime Minister Moe said he was open to a commercial mission in China with Mr. Carney. Saskatchewan has a sales office in Shanghai, where Mr. Moe went in 2018.
Canada continues to provide most of its canola to China, but it currently exports very few electric vehicles to Canada.
The Canadian government has justified its customs duties on Chinese electric vehicles by arguing that it thus protects the investments provided in the country.
Canada also imitated a similar measure from the US President of the time, Joe Biden, who imposed US customs duties on Chinese electric vehicles.
Environmental groups have asked Ottawa to review the measures on Chinese electric vehicles, arguing that authorizing a quota limited to Canada would fill market gaps and stimulate competition.
Chinese electric vehicles are much cheaper than those made in North America, partly thanks to less strict work and environmental standards and public subsidies.
