Canola futures ended with moderate advances on Friday after Canada and China agreed on a new tariff deal.
Under a preliminary agreement announced earlier today, current Chinese tariffs on imports of Canadian canola seed are expected to fall to 15% from the current combined rate of approximately 85% as of March 1, 2026. The reduction is expected to start Canadian canola exports moving to China again, after shipments were effectively shut down by the levy back in August.
Meanwhile, Canadian canola meal, peas, and some seafoods are expected to be exempt from China’s so-called “anti-discrimination” tariffs from March through at least the end of 2026.
China is Canada’s largest market for canola seed and second-largest market for canola meal.
Gains in canola were restrained by losses in Chicago soybean oil, but palm oil and rapeseed were both higher.
March canola was up $5.10 at $639.50, and November was $4.40 higher at $649.10.
