As Saskatchewan Premier Scott Moe prepares to go to China next week, he said he would like the federal government to drop its 100 per cent electric vehicle tariff on Beijing.
“From Saskatchewan’s perspective, I would say, ‘Yes, let’s remove the EV tariffs,’” he told reporters Tuesday.
But, he added, there’s a big caveat around making sure that Canada stays on good terms with the United States.
“We need to ensure that we are balancing off all the direct and indirect costs of (removing the EV tariff), because our largest canola market still remains to be the United States of America.”
Moe’s comments come as a Chinese tariff of nearly 76 per cent remains in force on Canadian canola seed, a measure that has slashed the value of one of Canada’s — and Saskatchewan’s — most valuable crops by millions.
Beijing’s duty on canola seed was seen as a response to Canada’s 100 per cent tariff on Chinese electric vehicles. China has also slapped Canada with 100 per cent duties on canola oil and meal.
Canada has justified its levies on Chinese EVs by arguing they protect planned investments at home. Canada’s move was in lockstep with then-U.S. president Joe Biden, who also slapped tariffs on Chinese EVs.
Asked how Canada could remove the electric vehicle tariff without angering President Donald Trump, Moe said there are sensitivities to consider.
“Herein lies the line that we need to walk,” he said.
Moe said the United States is the top importer of Canadian canola, followed by China. He added the path includes Canada expanding exports to China, while ensuring its trading relationship with the United States remains solid.
“That’s the challenge and it isn’t easy,” he said.
Click here to see more...