World
China hits back at Canada with fresh agriculture tariffs
China announced tariffs on over $2.6 billion worth of Canadian agricultural and food products on Saturday, retaliating against levies Ottawa introduced in October and opening a new front in a trade war largely driven by U.S. President Donald Trump’s tariff threats.
The levies, announced by the commerce ministry and scheduled to take effect on March 20, match the 100% and 25% import duties Canada slapped on China-made electric vehicles and steel and aluminium products just over four months ago, Reuters reported.
By excluding canola, which is also known as rapeseed, and was one of Canada’s top exports to the world’s No.1 agricultural importer prior to China investigating it for anti-dumping last year, Beijing may be keeping the door open for trade talks.
But the tariffs also serve as a warning shot, analysts say, with the Trump administration having signalled it could ease 25% import levies the White House is threatening Canada and Mexico with if they apply the same extra 20% duty he has slapped on Chinese goods over fentanyl flows.
“Canada’s measures seriously violate World Trade Organization rules, constitute a typical act of protectionism and are discriminatory measures that severely harm China’s legitimate rights and interests,” the commerce ministry said in a statement.
China will apply a 100% tariff to just over $1 billion of Canadian rapeseed oil, oil cakes and pea imports, and a 25% duty on $1.6 billion worth of Canadian aquatic products and pork.
“The timing may serve as a warning shot,” said Dan Wang, China director at Eurasia Group in Singapore. “By striking now, China reminds Canada of the cost of aligning too closely with American trade policy.”
“China’s delayed response (to Ottawa’s October tariffs) likely reflects both capacity constraints and strategic signalling,” she added. “The commerce ministry is stretched thin, juggling trade disputes with the U.S. and European Union.”
“Canada, a lower priority, had to wait its turn.”
The Canadian embassy in Beijing did not immediately respond to a Reuters request for comment.
Canadian Prime Minister Justin Trudeau said in August that Ottawa was imposing the levies to counter what he called China’s intentional state-directed policy of over-capacity, following the lead of the United States and European Union, both of which have also applied import levies to Chinese-made EVs.
In response, China in September launched an anti-dumping investigation into Canadian canola imports. More than half of Canada’s canola exports go to China and the trade was worth $3.7 billion in 2023, according to the Canola Council of Canada.
“The investigation on Canadian canola is still ongoing. That canola was not included in the list of tariffs this time might also be a gesture to leave room for negotiations,” said Rosa Wang, an analyst with agricultural consultancy JCI.
Beijing could also be hoping that a change in government in Ottawa makes it more amenable. Canada’s next national election must be held by October 20.
China is Canada’s second-largest trading partner, trailing far behind the United States. Canada exported $47 billion worth of goods to the world’s second-largest economy in 2024, according to Chinese customs data.
“To be honest I don’t understand why they are doing this one at all,” said Even Pay, agriculture analyst at Trivium China.
“I expect Beijing will use the election and change of leader as an opportunity to reset relations as they did with Australia,” she added.
China in 2020 introduced a series of tariffs, bans and other restrictions on key Australian exports, including barley, wine, beef, coal, lobster and timber in retaliation to Canberra calling for a COVID origins probe.
Beijing did not begin lifting the bans until 2023, one year after Australian Prime Minister Anthony Albanese ousted Scott Morrison, who had called for the inquiry.
World
G7 foreign ministers demand an end to attacks on civilians in Iran war
The ministers also reiterated the need to restore safe and toll-free freedom of navigation in the Strait of Hormuz.
The foreign ministers of the G7 group of nations called on Friday for an immediate stop to attacks against civilians and civilian infrastructure in the Iran war.
In a joint statement agreed on the second day of a G7 meeting in France – this year’s host country – the ministers said they had underscored the importance of minimising the impact of the conflict on regional partners, civilian populations and critical infrastructure.
“We focused on the value of diverse partnerships, coordination, and supporting initiatives, including to mitigate global economic shocks such as disruptions to economic, energy, fertilizer and commercial supply chains, which have direct impacts on our citizens,” they said in the statement seen by Reuters.
The ministers also reiterated the need to restore safe and toll-free freedom of navigation in the Strait of Hormuz.
The G7 members are the United States, Britain, Canada, France, Germany, Italy and Japan, along with the European Union.
World
US Vice President Vance emerges as key figure in Iran peace efforts: Report
US Vice President JD Vance has taken a leading role in Washington’s efforts to broker peace with Iran, nearly a month into the ongoing conflict, according to US media reports on Friday.
An Axios report says Vance has been actively engaged in behind-the-scenes diplomacy, holding multiple discussions with Israeli Prime Minister Benjamin Netanyahu and coordinating with Gulf allies, while maintaining indirect communication channels with Iranian officials.
The White House reportedly views Vance as a central negotiator due to his senior position and his skepticism toward prolonged military engagements, making him a suitable envoy for sensitive negotiations.
Vance’s efforts include coordination with countries such as the United Arab Emirates and Qatar, focusing on de-escalation, potential peace talks, and regional security.
US President Donald Trump formally confirmed Vance’s role on Thursday, noting that he is working alongside Middle East Envoy Steve Witkoff and Jared Kushner on ongoing negotiations and will brief officials on developments regarding Iran.
White House officials told Axios that Vance’s seniority and opposition to extended foreign conflicts make him a more appealing interlocutor for Iran than other envoys, with Witkoff recommending him as the lead negotiator. “If the Iranians can’t strike a deal with Vance, they don’t get a deal. He’s the best they’re gonna get,” a senior administration official said.
While Vance assumes a larger diplomatic role, Witkoff and Kushner continue handling negotiations. Reports of a confrontation between Vance and Netanyahu were dismissed by US and Israeli sources as inaccurate.
According to the report, Vance initially expressed skepticism about the war’s duration, objectives, and resource impact but supported a strategy of overwhelming force once Trump decided to proceed. Vance remains aligned with Israel while carefully navigating differences between US and Israeli objectives, advisers said.
“He has his own views, but he is going to work according to Trump’s instructions and try to achieve an outcome that the president likes,” a source close to Vance added.
World
Trump signature to appear on US currency, ending 165-year tradition
The Treasury is still producing notes bearing the signatures of former President Joe Biden’s Treasury secretary, Janet Yellen, and former Treasurer Lynn Malerba.
U.S. paper currency will bear President Donald Trump’s signature starting this summer, the first time a sitting president has signed American money, the Treasury Department said on Thursday.
The redesigned notes, planned to mark the 250th anniversary of American independence, will also for the first time in 165 years drop the signature of the U.S. treasurer, who reports to the Treasury Secretary and oversees the Bureau of Engraving and Printing, the U.S. Mint and other Treasury functions, Reuters reported.
The first $100 bills with Trump’s signature and that of U.S. Treasury Secretary Scott Bessent will be printed in June, followed by other bills in subsequent months. The new bills may take several weeks to circulate through banks.
The Treasury is still producing notes bearing the signatures of former President Joe Biden’s Treasury secretary, Janet Yellen, and former Treasurer Lynn Malerba.
Malerba will be the last of an unbroken line of treasurers whose signatures have appeared on U.S. federal currency since 1861, when the U.S. government first issued it.
The signature change is the latest effort by the Trump administration and its allies to put the president’s name on buildings, institutions, government programs, warships and coins. A federal arts panel, whose members Trump appointed, approved last week the design for a commemorative gold coin with Trump’s image.
Bessent said in a statement that the move was appropriate for the U.S. 250th anniversary, given strong U.S. economic growth and financial stability during Trump’s second term, read the report.
“There is no more powerful way to recognize the historic achievements of our great country and President Donald J. Trump than U.S. dollar bills bearing his name, and it is only appropriate that this historic currency be issued at the Semiquincentennial,” Bessent said.
An effort for a circulating $1 Trump coin was set back by laws prohibiting the depiction of living individuals on U.S. coins.
A statute governing the printing of Federal Reserve notes gives the Treasury broad discretion to change designs to guard against counterfeiting. The law requires keeping certain elements, including the words “In God We Trust,” and only allows portraits of deceased individuals.
The overall designs of bills will not change, except for Trump’s signature replacing the Treasurer’s, Treasury officials said. A mock-up of the $100 bill with Trump’s signature was not immediately available.
Malerba, the former treasurer, declined comment on the Trump administration’s move.
Her predecessor, Jovita Carranza, who served as treasurer in Trump’s first term, called the change “a powerful symbol of American resilience, the enduring strength of free enterprise and the promise of continued greatness.”
The current treasurer, Brandon Beach, whose name has not appeared on the currency, also issued a supportive statement, saying Trump was the architect of a “golden age economic revival.”
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