China on Wednesday said that it is blocking some imports of the agricultural product canola from Canada because of fears of insect infestation.
The move, which comes amid heightened tensions over Canada’s arrest of a Chinese technology executive, is seen by some as a new tactic to seek leverage over Ottawa.
China suspended canola imports from a Canadian company “in accordance with laws and regulations, and international practice,” Chinese Ministry of Foreign Affairs spokesman Lu Kang (陸慷) said at a daily news briefing.
He cited “harmful organisms” that he did not identify further and said that the Chinese government “needs to protect the health and safety of its own people.”
“I can tell you responsibly that the Chinese government’s decision is definitely well-founded,” Lu said. “Upon verification, China customs has recently detected dangerous pests in canola imported from Canada many times.”
One of Canada’s largest grain processors, Richardson International, on Tuesday said that China had revoked its permit to export canola to the nation.
Some saw that as retaliation for Canada’s arrest of Huawei Technologies Co chief financial officer Meng Wanzhou (孟晚舟).
Canada has announced that it is going ahead with an extradition hearing for Meng, the daughter of Huawei’s founder. It arrested her at the request of the US, where she is wanted on fraud charges for allegedly misleading banks about the company’s dealings with Iran.
Canadian Minister of Agriculture Marie-Claude Bibeau said in a statement that the Canadian Food Inspection Agency conducted investigations after China issued notices of non-compliance on canola seed imports, including nine since January.
The agency had not identified any pests or bacteria of concern, she said.
China, whose rapid growth has made it an important market for many nations, has a history of using commercial retaliation against those at odds with Beijing.
The most recent high-profile target was South Korean retailer Lotte Group, which sold land to the South Korean government for a US anti-missile system opposed by Beijing.
Authorities closed most of the company’s 99 supermarkets and other outlets — often alleging safety breaches — and a theme park.
China suspended a trade deal with Norway and restricted imports of Norwegian salmon after the Nobel Peace Prize was awarded to Chinese dissident Liu Xiaobo (劉曉波) in 2010.
It stopped buying fruit from the Philippines during a dispute over territory in the South China Sea. Britain and other nations have also faced retaliation over meetings with the Dalai Lama, considered a dangerous separatist by Beijing.
China receives about 40 percent of Canada’s canola exports and the revocation of Richardson’s permit hurts the entire chain of industries involved in the market, the Canola Council of Canada said.
Canola prices have already been hit by China’s retaliatory tariffs on US agricultural exports. Further cutbacks in Chinese buying would deal a major blow to what is a lifeline for agriculture in western Canada.
“We are working very, very hard with the Chinese government on this issue,” Canadian Minister of Foreign Affairs Chrystia Freeland said on Tuesday.
China has warned of serious consequences if the Huawei executive is not released.
China arrested two Canadians on Dec. 10 last year in what was widely seen as an attempt to pressure Canada.
After Meng’s arrest, a Chinese court also sentenced a Canadian to death in a sudden retrial, overturning a 15-year prison sentence handed down earlier.
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