No new tariffs on Canadian canola products means some relief for Canadian canola farmers, though uncertainty remains, say Canada’s national canola organizations.
It was “welcome news to Canadian canola farmers and the entire Canadian canola industry,” Canadian Canola Counicl president and CEO Chris Davison said in a news release Thursday.
U.S. President Donald Trump announced Wednesday Canada-U.S. Mexico Agreement (CUSMA) compliant goods, including canola, would not be subject to his latest round of wide-reaching tariffs.
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“We have been very clear that the imposition of any tariffs on Canadian canola and canola products would have widespread and negative impact,” said Davison via the statement. “The fact that, today, we can move forward with tariff-free trade with the U.S. is a positive development and underscores the importance of rules-based trade.”
Canola is a major driver of economic benefits on both sides of the border, providing revenue for Canadian farmers as one of the most exported crops and for American processors.
While the immediate threat of tariffs has been reduced, producers are not completely in the clear yet said Rick White, president and CEO of the Canadian Canola Growers Association (CCGA).
“The risk and uncertainty of tariffs has not been eliminated,” said White in the release. “Our advocacy work to strengthen Canada-U.S. trade relations will continue.”
Canadian canola is fighting a trade war on two fronts — one against the existing American duties and another against announced 100 per cent Chinese tariffs on Canadian canola oil and meal, among other goods.
CCGA and the CCC said they will continue to focus on strengthening the Canada-U.S. trade relationship to promote a smooth and mutually-beneficial canola trade.
