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Ottawa Reviews EV Tariffs as China Dangles Canola Relief and Provinces Split

Beijing’s conditional offer on farm tariffs has prompted a federal review of Canada’s EV duty.

Overview

  • The federal government says it is conducting an informal review of the 100 percent tariff on Chinese electric vehicles with no policy change announced.
  • China’s ambassador Wang Di stated Beijing would lift its retaliatory duties on Canadian agricultural products if Canada removes its EV tariff.
  • Manitoba Premier Wab Kinew and Saskatchewan Premier Scott Moe urged Ottawa to drop the EV tariff to restore access for canola and pork exports.
  • Ontario Premier Doug Ford rejected calls to scrap the tariff, arguing protection of auto sector jobs outweighs the value of canola exports to China.
  • Industry leader Flavio Volpe warned against easing the tariff as Chinese EVs are heavily subsidized, while Saskatchewan reported a 76 percent year-over-year export drop in August after China imposed 100 percent tariffs on canola oil and meat and a 75.8 percent duty on canola seed.