Canada and China extend trade agreement on canola and peas until the end of 2028

Canada and China have agreed to extend a trade agreement ensuring Canadian agricultural products access to the Chinese market until the end of 2028. The initial agreement was reached in January 2026, and in March Beijing removed tariffs on several Canadian products, including canola meal and peas. The agreement had previously been scheduled to expire at the end of 2026.

Canadian Minister of International Trade Maninder Sidhu said the extension would provide farmers and exporters with predictable access to one of the world’s largest markets. In exchange for China’s trade concessions, Canada agreed to allow certain Chinese steel and aluminum products into its market.

Since the agreement took effect in March, the value of Canadian canola seed exports to China has increased by 84%, from $1.04 bln to $1.91 bln compared with the same period last year. Canola meal exports more than doubled, rising from $146 mln to $390 mln, indicating a recovery in demand from Chinese importers.

Canadian pea exports also increased significantly, with their value rising from $107 mln to $345 mln. In addition, Canada resumed beef exports to China in January 2026 after a suspension dating back to 2021. From January to August, beef exports reached $363.2 mln, nearly double the value exported during the whole of 2021.

The extension is particularly important for Canadian oilseed and pulse producers, as it reduces the risk of renewed trade restrictions in the coming years. Canada also aims to increase its overall exports to China by 50% by 2030, strengthening trade relations and diversifying export markets for agricultural products.

Tags: China, Canada, rapeseed, rapeseed meal, pea