Exporters on Edge: EU slaps on fresh tariffs as trade tensions rise
The global trade war continues to intensify, with both the European Union and China announcing retaliatory tariffs in response to recent US and Canadian trade measures. The latest developments add further uncertainty to international markets, including the seafood sector, which could be caught in the crossfire.
On Wednesday, the European Commission confirmed that it will reinstate previously suspended countermeasures against the US following Washington’s decision to impose up to 25% tariffs on EU steel, aluminium, and related products.
The EU’s response includes the reimposition of tariffs from 2018 and 2020, alongside additional duties on approximately €18 billion ($19.7 billion) worth of US goods. The Commission is currently consulting stakeholders on which products will be affected, with industrial and agricultural goods among the likely targets.
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China Retaliates Against Canada
Meanwhile, China has announced its own tariff measures against Canada in response to Ottawa’s duties on Chinese electric vehicles and metals. Beijing will impose 100% tariffs on Canadian rapeseed oil, oil cakes, and peas, alongside a 25% levy on aquatic products and pork, effective 20 March.
The move follows a decision by Canada in October to introduce a 100% import tax on Chinese electric vehicles and a 25% tariff on Chinese steel and aluminium. China has called the Canadian measures “protectionist” and accused Ottawa of violating World Trade Organization rules.
Canada’s seafood industry could face immediate consequences, as a 25% tariff on aquatic products may reduce access to the Chinese market, which remains a significant buyer of Canadian seafood, including salmon. With the US also imposing 25% tariffs on Canadian imports, seafood exporters may need to seek alternative markets to mitigate the impact.
The latest trade measures reflect broader geopolitical tensions, with both the US and Canada seeking to counter China’s influence in key sectors.
However, the global seafood industry remains highly integrated, and disruptions in major markets like China, the US, and the EU could have significant ripple effects.
