Saskatchewan Premier Scott Moe recently did something unusual for a provincial leader. Moe decided that he would make a personal trip to China in an attempt to open discussions with the Chinese government about the severe tariffs China has imposed on canola – a key Saskatchewan export which is also very important to Canada as a whole. Moe was accompanied by Saskatchewan Trade and Development Minister, Warren Kaeding. Interestingly, Moe also took along Prime Minister Mark Carney’s parliamentary secretary, Kody Blois.
Although some people criticized Moe for bringing one of Carney’s colleagues, it was actually a smart move considering that trade issues are ultimately the responsibility of the federal government. It made perfect sense to have a key federal representative with him. The federal Liberals have not treated Saskatchewan particularly well since the Trudeau regime. In the early days of the Carney government, it is a credit to Moe that he is extending an olive branch in hope of more positive collaboration in future. The trio will not only meet with Chinese representatives but also have scheduled meetings on trade issues with South Korea and Japan.
This reason for this trip began a few months ago, when China started threatening tariffs on Canadian canola oil and canola meal, along with a number of other Canadian agricultural commodities, back in March 2025. More recently, China has imposed a 75.8 per cent tariff on canola products just last month. This move by China was in retaliation to the Canadian federal government’s tariffs on electric vehicles (EVs) from China, as well as Chinese steel and aluminum. Canada’s actions took place to match similar U.S. actions against these Chinese products. China is a major market for Canadian canola products. Exports to China of canola were valued at about $5 billion in 2024. China is the second-largest market for Canadian canola products, with the largest market being the U.S. Other significant markets for canola products include the European Union, Japan and Mexico. The total value of the canola industry to Canada is $44 billion.
Canola farmers and Moe had been asking for action from Ottawa for some time until Moe decided to take matters into his own hands and make the trip himself. Late last week, Carney announced support of $370 million in new support for the canola industry, including a biofuel production incentive. Industry representatives have said that this support, although welcome, is insufficient. The ultimate solution is not financial but political, in convincing China that rejecting Canadian canola products is not a winner for anyone. Canola farmers have not been asking for subsidies, but for political intervention to re-open previous markets for their products.
There has also been considerable speculation that the federal Liberal government is prepared to sacrifice Saskatchewan farmers if they can protect the auto industry in Eastern Canada, and especially the EV manufacturing sector. The federal government, as well as provincial governments in Ontario and Quebec, have invested billions of taxpayer dollars in battery plants and other facilities as a means of trying to establish a viable EV industry in Canada. So far, the results of all this spending have been disastrous. A number of the heavily subsidized EV battery plants have delayed their development and their future is uncertain. Demand for EVs in Canada is declining and shows no signs of reaching the lofty heights predicted by the climate change acolytes.
Just last week, the Quebec government announced that its collaboration with the Northvolt EV battery plant was done as Northvolt was insolvent. As another indication of the turmoil surrounding the EV market, Carney recently announced a “pause” in the EV mandate. Just a few weeks ago, Carney’s own environment minister, Julie Dabrusin, insisted this mandate would be imposed at the start of 2026, requiring 20 per cent of all new vehicles sold to be EVs. Although Carney called his EV mandate change a “pause,” pretty much everyone knows this ridiculous policy of the previous environment minister, Steven Guilbeault, which intended to dictate to Canadians which vehicles they must buy, is effectively dead. Good riddance.
So far, the most positive things the Carney government has done is reverse foolish and destructive policies of the Trudeau era. The fact that premiers such as Saskatchewan’s Moe and Alberta’s Danielle Smith have felt it necessary to step into issues such as international trade, which is the purview of the federal government, just shows how little trust there is between some provinces and their federal counterparts. Moe’s inclusion of a senior Carney official in his trade mission to Asia is a deft move to hopefully bring the two levels of government onside in finding mutually agreed-upon outcomes. We can all hope this is a trend that will continue in future, to the benefit of all Canadians.
She has published numerous articles in journals, magazines & other media on issues such as free trade, finance, entrepreneurship & women business owners. Ms. Swift is a past President of the Empire Club of Canada, a former Director of the CD Howe Institute, the Canadian Youth Business Foundation, SOS Children’s Villages, past President of the International Small Business Congress and current Director of the Fraser Institute. She was cited in 2003 & 2012 as one of the most powerful women in Canada by the Women’s Executive Network & is a recipient of the Queen’s Silver & Gold Jubilee medals.
