Chinese tariffs on canola oil, meal would be disastrous for Saskatchewan: Moe

SASKATOON — Saskatchewan Premier Scott Moe says workers at canola crushing plants in his province would be out of jobs should China move ahead with planned retaliatory tariffs on canola oil and meal.

Moe said prime minister-designate Mark Carney must immediately talk with China to prevent the levies from being imposed next week. Carney is to be sworn in as prime minister Friday.

“There needs to be action by our federal government before any election call to engage with China to ensure the canola industry is not left in purgatory,” Moe told reporters Thursday.

“The legacy of closed canola crush plants across Saskatchewan and across Canada would be the Liberal government’s to wear.”

China is planning to impose 100 per cent tariffs on canola oil, meal and peas in response to Canada putting levies on Chinese-made electric vehicles, steel and aluminum.

“The people that will be working in those (canola crushing) plants will not have a job for a period of time,” Moe said of the tariffs’ effects.

“More impactful than the temporary loss of jobs in the canola crush industry is the markets that we are losing. They were incredibly hard to build in the first place and they are going to be incredibly hard to regain.

“I don’t know if those jobs will immediately come back.”

Prairie farmers have said China’s threats have already hit canola markets, causing the crop’s value to fall. They’ve said some grain companies have also stopped buying the product.

Opposition NDP Leader Carla Beck said China’s measures come at a horrible time. She said in a statement that farmers are worried they’re being sold out to protect the auto sector in Eastern Canada.

“We don’t need more division,” Beck said. “We need to come together and protect every sector of the Canadian economy, and the federal government should start by reviewing these electric vehicle tariffs today.”

Meanwhile, Canada is in a turbulent trade war with its southern neighbour.

U.S. President Donald Trump has imposed tariffs on Canadian steel and aluminum and is considering additional levies next month. Ottawa has retaliated with 25 per cent levies on U.S. goods worth $29.8 billion.

Moe said Carney needs to come up with a plan to ensure free and fair trade between both countries.

“If you think you’re going to stare down the (U.S.) economy, you might not get the result that you were looking for,” he said.

Moe has said Saskatchewan is working on a plan to help keep steelworkers employed in the province, though he has not provided details.

In retaliation against the U.S. tariffs, Saskatchewan has stopped purchasing American alcohol and is working to prioritize Canadian suppliers for public procurement.

— By Jeremy Simes in Regina.

This report by The Canadian Press was first published March 13, 2025.

The Canadian Press