Anti-Dumping Investigation
China has initiated a one-year anti-dumping investigation into Canadian rapeseed imports, a decision perceived as retaliation against Ottawa’s tariffs on Chinese-made electric vehicles and other goods.
This investigation, announced by China’s commerce ministry, will scrutinize rapeseed imports from Canada over the period from January 1 to December 31, 2023.
According to the ministry’s statement released on Monday, preliminary evidence suggests that dumping of Canadian rapeseed has occurred.
The investigation will explore the causal relationship between these alleged dumping practices and the adverse effects on China’s domestic industry.
This includes significant increases in Canadian rapeseed imports and the consequent drop in prices that have impacted local producers.
In 2023, China, the world’s largest importer of oilseeds, bought 5.5 million metric tons of canola, valued at $3.72 billion. Notably, 94% of these imports were from Canada, highlighting the substantial role Canadian rapeseed plays in China’s market.
The commerce ministry emphasized that this investigation differs fundamentally from the measures Canada has taken, which it claims violate World Trade Organization (WTO) rules. This assertion came in response to Canada’s tariffs, which have affected Chinese products.
The announcement of the anti-dumping probe has had immediate economic repercussions. Following the news, prices of domestic rapeseed oil futures surged to a one-month high.
This investigation, which begins immediately, is expected to be completed by September 9, 2025. However, there is a possibility of extending the probe by an additional six months if deemed necessary.
In addition to investigating imports from 2023, the probe will also assess the impact of Canadian rapeseed imports on the Chinese industry from January 1, 2021, to December 31, 2023.
This comprehensive review aims to determine the extent of industrial damage caused by the influx of Canadian rapeseed.
Canada is a major supplier of rapeseed to China, with more than half of its rapeseed exports being directed to the Chinese market.
The outcome of this investigation could have significant implications for the trade relations between the two countries.
