Canada reaches tariff-quota deal with China on EVs, canola
Canada will allow 49,000 Chinese electric vehicles at a reduced 6.1% tariff as China cuts canola seed tariffs from about 84% to 15%, restoring key agricultural exports.
- At their first bilateral summit in eight years in Beijing, Carney announced `Canada and China have reached a preliminary but landmark trade agreement to remove trade barriers and reduce tariffs`, Carney told a news conference at Ritan Park and meetings at the Great Hall of the People.
- Pressure from U.S. tariffs and a search for markets beyond the United States prompted Ottawa to seek a pivot, as Carney aimed to reduce reliance on the U.S., with the January 16, 2026, meeting signaling this shift.
- China's concessions include measurable tariff cuts and visa changes, such as cutting canola tariffs to around 15 percent by March 1 and granting visa-free entry for Canadian visitors, while Canada will import 49,000 Chinese electric vehicles under a preferential tariff of 6.1 percent.
- Economically, the pact addresses dependence on the United States by targeting diversification since the United States bought around 75 percent of Canadian goods in 2024, Carney said.
- Carney met Premier Li Qiang on Thursday and will also meet business leaders to link summit diplomacy to commercial engagement.
255 Articles
255 Articles
Canada’s New Trade Agreement Has Far Reaching EV Implications - CleanTechnica
As Steve recently wrote, Canada announced a trade deal with China that will allow a quota of 49,000 EVs at a tariff rate of 6.1%, raising to 70,000 vehicles over five years. This is big news. While the quota volume might look small compared to the Chinese market, it makes up a significant share of the Canadian EV market. Digging into it further, this agreement could have major implications for EVs and the automobile market overall.
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Over the past few days, Canadian Prime Minister Mark Carney has been in China in an open attempt to pivot to China and spurn Canada’s relationship with the United States. In a jubilant press release on Friday, the prime minister’s office declared that Carney is “forg[ing] [a] new strategic partnership with the People’s Republic of China.” The government went on to repeatedly tout this “new strategic partnership,” framing the relationship as enti…
Nipissing-Timiskaming MP Pauline Rochefort happy with canola tariff relief from China
MP Pauline Rochefort is joining regional experts from the agriculture sector in Nipissing—Timiskaming in highlighting significant tariff relief by the People’s Republic of China on Canadian canola.
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