Canola Industry Responds to US Tariff Announcement

April 3, 2025 – As part of his announcement regarding tariff implementation in support of the U.S. economy and national security, President Donald Trump indicated that Canada-United States-Mexico Agreement (CUSMA) compliant goods, which includes Canadian-produced canola and canola products, will not presently be subject to tariffs.

“This announcement from the President is welcome news to Canadian canola farmers and the entire Canadian canola industry,” says Chris Davison, Canola Council of Canada (CCC) President & CEO. “We have been very clear that the imposition of any tariffs on Canadian canola and canola products would have widespread and negative impact. The fact that, today, we can move forward with tariff-free trade with the U.S. is a positive development and underscores the importance of rules-based trade.”

The U.S. is Canada’s number one market for canola exports and is highly integrated with the Canadian canola industry. Total export value in 2024 reached $7.7 billion, with record high volumes including 3.3 million metric tonnes (MMT) of canola oil and 3.8 MMT of canola meal.

Canola is the single largest contributor to farm crop cash receipts – grown by nearly 40,000 farmers across the country.

“Concerns over U.S. tariffs add considerable uncertainty for farmers preparing to plant the 2025 canola crop,” says Rick White, President & CEO at Canadian Canola Growers Association (CCGA). “While the threat of immediate tariffs has been reduced, the risk and uncertainty of tariffs has not been eliminated. Our advocacy work to strengthen Canada-U.S. trade relations will continue.”

A recent analysis completed by the CCC on the impact Canadian-grown canola has on the U.S. economy underscores the economic benefits the U.S. derives from the Canadian canola industry, which averages $11.2 billion (USD) per year and includes $1.2 billion (USD) in wages.

The economic benefits of the trading relationship occur at almost every stage of the canola industry, including U.S.-based processing and refining, transportation, bottling and packing, food end uses, livestock and more. The canola industry benefits farmers, consumers, and businesses on both sides of the border and the industry’s integrated supply chains support jobs and economies in both countries

CCGA and the CCC will continue to focus on strengthening the Canada-U.S. trade relationship and amplifying the mutual benefits our nations receive from smooth and predictable canola trade.

The Canola Council of Canada is a full value chain organization representing canola growers, processors, life science companies and exporters. For more information, visit canolacouncil.org or follow the CCC on X @canolacouncil.

Canadian Canola Growers Association (CCGA) represents canola farmers on national and international issues, policies, and programs that impact farm profitability and has been an administrator of the Government of Canada’s Advance Payments Program since 1984. For more information, follow CCGA on X @ccga_ca and LinkedIn.

Media Contact

Caroline Traweger
Communications Coordinator
Canola Council of Canada
trawegerc@canolacouncil.org

Kelly Green
Vice-President, Communications
Canadian Canola Growers Association
communications@ccga.ca

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