China recently responded to the U.S. increasing tariffs by increasing retaliating against American imports, and now, the Southeast Asian nation is turning its attention to Canada. China implemented tariffs on more than $2.6 billion worth of agricultural and food products from Canada.
Reuters says the move is retaliation against levies Ottawa introduced in October 2024 and opens a new front in a global trade war. The levies announced by the commerce ministry will take effect on March 20 and match the 100 percent and 25 percent tariffs Canada placed on Chinese-made electric vehicles and steel and aluminum products just four months ago. The tariffs could be a warning shot as the Trump administration showed it may be willing to ease 25 percent duties on Canadian and Mexican goods if they apply the same extra 20 percent duty he has slapped on Chinese goods over the flow of fentanyl into the U.S.
