A smaller percentage of canola seed being harvested now could be sold to China in the coming year.

Canada’s number one export customer has announced it will launch an anti-dumping investigation into Canadian canola and some chemical products. The move is in response to Canada applying 100 per cent tariffs on Chinese-made electric vehicles last week.

This is not the first time canola has been used in geopolitical disagreements between the two countries. Five years ago, China blocked canola imports in response to Canada detaining a senior Huawei official in Vancouver at the request of the United States. The official spent three years living in her Canadian home while the case crawled through the legal system. During that time, China did not buy Canadian canola directly. However, canola oil from Canadian seed crushed in the United Arab Emirates would find its way into the Chinese market.

Another option for China could be buying more canola seed from Australia.

The Canola Council of Canada–which represents farmers, grain companies and canola crushers—says it is monitoring the situation.