On Saturday, China announced rates up to 100 percent on Canola, pork and other food from Canada, in retaliation for Canada's decision last August to collect steep taxes in the import of Chinese electric vehicles, steel and aluminum.
The Chinese rates, which will come into force on March 20, were also a clear warning for Canada – and, indirectly, Mexico – not to work with the United States. The Trump government, just like the BIDEN administration, requires that Canada and Mexico do not serve as back doors for cheap Chinese goods to enter the American market under North American free trade agreements.
The Chinese rate committee of the State Council announced on Saturday that it would impose 100 percent rates from 100 percent on Canola oil, the largest export from Canada to China, and on peas, and 25 percent on Canadian pork and seafood. The committee said that the measures were a reaction to the 100 percent rates of Canada to electric cars from China and its 25 percent rates on Chinese steel and aluminum, which came into effect in October.
The Chinese Ministry of Commerce said in a separate statement that “China Canada encourages his wrong practices to immediately correct, canceling restrictive measures and elimining adverse effects.”
The Canadian government had no immediate comments.
The statements of the Chinese agencies were carefully formulated to comply with the rules of the World Trade Organization and did not mention any effort to influence Canada or Mexico during their current commercial interviews with the United States. But a comment released by the Chinese state of television left little doubt that an important goal for China is officials in Ottawa and Mexico City to add to the American pressure for higher Canadian and Mexican rates on Chinese goods.
The Chinese rates are “a powerful counter -measure for Canada's wrong choice, and a strong warning for some countries planning to impose extra rates on China in exchange for the United States not to impose extra rates,” said China Central Television.
Prime Minister Justin Trudeau of Canada announced rates last year at the import from China, partly to protect heavy investments by car manufacturers in electric car factories in Canada. But there were also growing concern and complaints of the Biden administration – recently repeated by the Trump government – that Chinese goods flooded to Canada.
Partly because of the inflow of China, Canadian steel factories, aluminum producers and other manufacturers are highly dependent on the American market for their sale, using tax -free shipments. Canada and Mexico both recently have steep rising trade surpluses with the United States.
By imposing the rates on the extensive shipments of Canada with Canola and other agricultural products to China, the leaders of Beijing have sent a targeted memory that China is also a large market.
Canada exported last year for $ 3.29 billion in Canola, also known as rapeseed and used in animal feed and cooking, to China, which was 13.4 percent of the total export from Canada to China. The Canadian export from rapeseed to China rose last fall when traders hurried to sell supplies to Chinese stocks before the rates could come into force.
The Chinese government had said at the end of September that it would take a year to decide how to respond to Canadian rates. It decided to act earlier after President Trump had imposed 25 percent rates on import from Canada and Mexico this week, but then she quickly suspended for cars and many other goods.
China may have a little more trading litter with Canada than with Mexico. For every dollar Canadian or Mexican goods that China imports, China sells $ 3 goods to Canada and almost $ 5 goods to Mexico.
The export from China to Mexico has doubled since 2019, since in particular Chinese cars with gasoline have quickly increased their turnover at the expense of American and European manufacturers with factories in Mexico.
China's action on Saturday will certainly again venture in Canada about a similar Chinese rate in the Canadian Canola for two years from February 2019. China imposes that rate after the Canadian authorities who have been a top man of the Chinese telecommunications herself, at a command of De Bevel van de Bevel of De Bevel of De Bevel van de Bevel of De Bevel of De Bevel of De Bevel of De Bevel of De Bevel van Debesigerig.
China also imprisoned two Canadians and then under harsh conditions, while Canada allowed Mrs. Meng to live in a mansion in Vancouver pending a decision about her legal status. The United States, Canada and China finally worked out a deal in which all three prisoners were allowed to return to their home country, but the public opinion of China in Canada was considerably soured during the dispute.
Amy Chang Chien contributed research.