By Mei Mei Chu
BEIJING (Reuters) -China said on Tuesday it plans to start an anti-dumping investigation into canola imports from Canada, after Ottawa moved to impose tariffs on Chinese electric vehicles, sending prices of domestic rapeseed oil futures to a one-month peak.
Canada has followed the lead of the United States and European Union, and announced last week a 100% tariff on imports of Chinese electric vehicles and a 25% tariff on imported steel and aluminium from China.
“China strongly deplores and firmly opposes the discriminatory unilateral restrictive measures taken by Canada against its imports from China despite the opposition and dissuasion of many parties,” a commerce ministry spokesperson said in a statement.
Canada is the world’s top exporter of canola, used in food and biofuel. China is the world’s biggest oilseed buyer.
“Canada’s canola exports to China have increased significantly and are suspected of dumping, reaching US$3.47 billion in 2023, with a 170% year-on-year increase in volume and a continuous decline in prices,” the ministry said.
“Affected by the unfair competition of the Canadian side, China’s domestic rapeseed-related industries continued to suffer losses,” it said.
China’s rapeseed meal futures on the Zhengzhou Commodity Exchange jumped 5.49% to 2,363 yuan ($331.80) per metric ton following the announcement, hitting its highest since Aug. 6.
China will also initiate an anti-dumping investigation into some Canadian chemical products, the spokesperson added.
China intends to resort to the World Trade Organization dispute settlement mechanism for Canada’s relevant practices, the spokesperson said.
($1 = 7.1218 Chinese yuan renminbi)
(Reporting by Beijing newsroom; Writing by Bernard Orr; Editing by Muralikumar Anantharaman and Kim Coghill)
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