China-U.S. trade fight will ignite global disruption on soybean, Canadian producer warns
FILE - Soy Canada executive director Ron Davidson says the 25 per cent levy on U.S. goods could create some opportunities for Canadian exporters but also force Canada to defend sales to 69 other countries.
THE CANADIAN PRESS/AP, Dan GillCanada’s soybean producers say China’s expanded list of tariffs to be applied on U.S. products will cause global disruptions and uncertainty.
China retaliated Wednesday against the U.S.’ plans to apply tariffs on 106 imports by issuing a USD$50-billion list of U.S. goods including soybeans, whisky, beef, industrial chemicals and small aircraft for possible tariff hikes in the escalating dispute.
READ MORE: China hits back for U.S. tariffs, slaps duties on soybeans, planes, whiskey
Soy Canada executive director Ron Davidson says the 25 per cent levy on U.S. goods could create some opportunities for Canadian exporters but also force Canada to defend sales to 69 other countries.
Canada sold nearly five million tonnes of soybeans valued at $2.7 billion to China last year.
WATCH: U.S.-China trade dispute has impact on Canada
It is the country’s largest export market, but Canada is a small player compared with global leaders like Brazil, the United States and Argentina.
Brazil supplied about half of the nearly 100 million tonnes of soybean imported by China last year. The U.S. shipped some 33 million tonnes.