Some meat processors are facing losses of up $100 million this year amid escalating trade tensions with China, the Canadian Meat Council says.
The meat council, which represents federally licensed meat packers and meat processors, as well as suppliers of goods and services to the meat industry, is calling on the federal government to take “urgent and meaningful action” to support the country’s meat industry. Such support is critical not only for the viability of processing facilities, but also for Canadian pork producers, who depend on the plants to continue selling their animals and sustaining farm operations, the council said in a statement Monday.
In retaliation for earlier Canadian import duties on Chinese EVs, steel, and aluminum, China last month announced 25% tariffs on imports of Canadian pork and seafood. Canola oil and meal, along with peas, were hit with a 100% tariff as part of the same trade action.
"China's tariffs will have a significant impact on both employment and production, potentially leading to widespread layoffs or even closures of operations," said Chris White, CEO of the Canadian Meat Council. "This situation is devastating—not only for meat processors, but also for the thousands of people employed and the communities that depend on them."
In 2024, Canada exported $468.6 million worth of pork products to China, and the imposition of the Chinese tariffs means it will be extremely difficult – if not impossible – for Canadian pork to compete with other suppliers in the Chinese market.
The meat council described government assistance already announced through the AgriStability fund as wholly inadequate and inapplicable to processors, who are not eligible for this form of assistance. Instead, the council said it is asking for direct, targeted financial support for meat processors “to offset the immediate and significant impact of these tariffs and to help maintain slaughter capacity.”
In March, Ottawa said it would increase the AgriStability compensation rate from 80% to 90% and double the current payment cap to $6 million for the 2025 program year.
