On February 27, the Chinese Ministry of Commerce announced it would temporarily reduce some tariffs on goods imported from Canada.

This move is aimed at implementing the agreement reached during Canadian Prime Minister Mark Carney's visit to China last January.

According to an announcement from the Chinese government , the tariff adjustments will take effect from March 1, 2026, to December 31, 2026. China will abolish tariffs on rapeseed and lobster, along with Canadian peas and crab. However, the specific tariff rate for rapeseed – a crop also known as canola in Canada – remains unclear. Previously, Prime Minister Mark Carney signaled that the tariff on this item would be reduced from 84% to approximately 15% starting March 1.

China's decision comes after the Canadian government pledged to significantly reduce import tariffs on 49,000 electric vehicles from China. According to AFP, Canada agreed to import these vehicles at a preferential tariff rate of 6.1% – equivalent to previous rates. This move aims to mend the trade rifts that have strained relations between the two countries in recent times.

The improvement in trade relations follows a prolonged period of tension since 2024, when the Canadian government imposed tariffs on Chinese electric vehicles, steel, and aluminum to align with US measures aimed at curbing the influx of government-subsidized automobiles into North America. In response, last March, China's Ministry of Commerce imposed a 100% tariff on canola oil, rapeseed meal, and peas imported from Canada following a trade investigation. Canadian seafood and pork products were also previously subject to a 25% tariff.

During talks between Prime Minister Mark Carney and Chinese President Xi Jinping, the two countries reached an agreement on a "new strategic partnership," ending a prolonged period of diplomatic disputes and tariffs. A spokesperson for the Chinese Ministry of Commerce affirmed China's readiness to cooperate with Canada to promote the healthy, stable, and sustainable development of bilateral relations.

Source: VTV

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