Canada Turns to Canola-Based Biodiesel Amid Extended Chinese Trade Ban

China’s decision to extend anti-dumping measures on Canadian canola until March 2026 has intensified pressure on Canada’s agriculture sector. In response, Prime Minister Mark Carney announced an incentive plan to boost domestic use of canola oil in biodiesel production, aiming to reduce reliance on exports and create new demand at home. While canola oil exports to China are limited, canola meal exports remain significant, with over 2 million tons shipped in 2024. At the same time, Canada achieved record sales to the U.S. last year, with combined canola oil and meal exports worth CAD 7.7 billion. By fostering biodiesel development and leveraging U.S. demand, Canada hopes to transform this trade challenge into an opportunity for energy transition and agricultural resilience.