Investing.com — Canada has imposed a temporary 10% tariff on imports of canned vegetables to protect domestic growers and food processors, Bloomberg reported on Friday, citing a statement from the Department of Finance.
The safeguard measure took effect on June 19 and will remain in place for up to 200 days.
Officials said the action follows an investigation launched earlier this year into possible trade diversion affecting the domestic market.
According to the finance ministry, World Trade Organization rules allow countries to impose safeguard measures when rising imports threaten to cause serious harm to domestic producers.
The tariff will not apply to imports from the United States, Mexico, Israel, Chile, or developing countries.
The exemptions were included to ensure compliance with Canada’s international trade obligations, the statement said.
The measure comes as policymakers seek to support local agricultural producers and food processing businesses facing increased competition from imported products.
Canada began examining the issue earlier this year amid concerns that shifting global trade flows could lead to larger volumes of canned vegetable imports into the country.
Trade lawyers have previously noted that safeguard measures are relatively uncommon but could become more frequent during periods of heightened uncertainty in global commerce.
Other jurisdictions have recently introduced restrictions on vegetable imports.
In February, the European Union imposed anti-dumping duties on Chinese sweetcorn products, citing concerns that the goods were being sold at unfairly low prices.
The Canadian tariff is scheduled to remain in effect while authorities continue assessing the impact of imports on domestic producers.
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