Canadian Pea Exports Hit Hard by China New Tariff: Market Shifts Ahead

The Chinese government has declared that it will implement tariffs on a range of Canadian agricultural products, including peas, starting March 20, 2025.

Among the affected commodities are peas, rapeseed oil, oil cake, and several other goods, all of which will be subject to a 100% tariff. This substantial tariff on peas is expected to have a profound impact on Canada's pea export industry.

Data from Statistics Canada reveals that China imported 507 thousand metric tonnes of Canadian peas between January and December 2024. In that year, China ranked as the second-largest importer of Canadian peas. However, this marked a decline from 2023, when exports to China totalled 1.565 million metric tonnes, indicating a year-over-year drop.

Chinese buyers have traditionally preferred Canadian and U.S. peas for their quality, particularly for use in snack foods, bakeries, food service, and pet food production. However, the newly imposed tariff is set to weaken Canada’s competitiveness in this market, potentially prompting China to source its pea imports from alternative suppliers.