OLDS — Red Deer-Mountain View MP Earl Dreeshen says while the tariffs imposed on Canada by the U.S. are alarming, the ones by China on Canada implemented Thursday should not be overlooked, because they’re frightening too.
Dreeshen, who also has a farm, brought that message during a recent Town of Olds' council meeting.
He noted that effective March 20 China has imposed a 100 per cent tariff on canola and peas from Canada in retaliation for the 100 per cent tariff Canada imposed earlier on Chinese-made electric vehicles.
“That has dropped the price from $14 (per bushel) as it was a few weeks ago, pushing $11 now and in the fall, in that $9 range, which, of course, is below the cost of production,” Dreeshen said.
“So these are the sorts of things that happen. You don't know how long they're going to take (to resolve).
“In effect, you don't know whether some of these products are going to find different ways to get into different countries.
“And that's sort of how this plays out when you have a good product and people really want it.”
A trade war is underway between Canada and the U.S., sparked by tariffs U.S. president Donald Trump has threatened and levied against this country. Canada has retaliated with its own tariffs.
During his discussion with council, Dreeshen said although some tariff rates may seem “pretty extreme,” these things are normally negotiated in agreements.
“Every country does the same thing for various products that they have,” he said.
