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Canada Goes to WTO to Challenge China’s Refusal of Canola Shipments

Canada has taken initial steps on the global stage to challenge China’s refusal to accept canola shipments from the country. Canada and China have been locked in a disagreement that has boiled over into agricultural trade, that originated when China’s took exception to Canada’s detention of a top executive with Huawei Technologies Co. Ltd. last year.

In 2018 Canada’s canola exports to China were valued at C$2.7 billion (US$2.1 billion), representing 40 percent of Canada’s total canola exports. Now, after China’s ban on imports from Canada’s major traders, Canada’s canola stockpile has surged to a record high. China has also banned imports of Canadian pork and beef.

Ottawa will be seeking bilateral consultations with China at the WTO, which under the organization’s rules must occur within 30 days. If the talks fail, Canada can then request adjudication by a panel.

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