BY: Jeff English, Vice President of Public Affairs, Pulse Canada
When China imposed a 100 per cent tariff on Canadian peas in March 2025, farmers felt it immediately. Movement slowed, bids weakened and a key outlet for Canadian yellow peas effectively disappeared overnight. A market that growers had supplied reliably for decades was suddenly closed.
China was one of Canada’s most important pea customers. With India largely out of the market in recent years, China took the largest share of Canadian yellow peas from 2018 to 2023, supporting demand and positive returns across the Prairies. Losing that outlet created uncertainty and a massive decline in prices.
Rather than waiting for the situation to resolve itself, the pulse sector moved quickly to push for a solution. Led by Pulse Canada, the focus was clear from day one: restore access and get Canadian peas moving again to restore returns on the farm and across the value chain.
The Impact of the Tariff
The tariff was the result of a broader trade dispute, launched by China in response to Canada’s tariffs on Chinese electric vehicles, steel, and aluminum. While peas weren’t the original issue, they were caught in the crossfire.
The impact was significant. Over the past five years, exports of Canadian peas averaged more than 1.5 million tonnes valued at over $700 million annually. When that demand vanished, the pressure showed up quickly in basis levels and price signals to farmers.
Pulse Canada’s Response
From the outset, the sector viewed the tariff as a problem that required engagement, not escalation. “We believe the tariffs announced represent an invitation to negotiate,” said Pulse Canada President Greg Cherewyk in March 2025.
That approach was possible because relationships were already in place. Throughout 2023 and 2024, before the tariff was imposed, Pulse Canada was working in China to reinforce Canada’s reputation as a reliable supplier and to establish the Canadian yellow pea as a preferred raw ingredient.
As Pulse Canada Chair Terry Youzwa noted at the time, “China is one of Canada’s largest markets for yellow peas – a market that Canadian farmers and exporters have been serving since the mid-1990s.” Chinese buyers know Canadian peas, trust the quality, and prefer them as an input.
Once the tariff hit, that groundwork mattered. Pulse Canada representatives were on the ground within 10 days of the tariff announcement. Throughout 2025, Pulse Canada stayed active in market – meeting directly with buyers, processors and government officials – while also pressing Ottawa to keep pulses front and centre in Canada–China discussions. Pulse Canada also worked alongside other impacted agricultural sectors to reinforce the message that restoring trade stability benefits both countries.
Why Canadian Peas Matter in the Chinese market
By late 2025, the market reality in China was becoming clear. Chinese fractionators were running down inventories of Canadian peas as alternatives didn’t measure up. Costs were higher, quality was inconsistent and supply was unreliable.
Canadian peas remained the preferred option. That mattered. It reinforced that reopening the market wasn’t just a political outcome; it was a commercial necessity for Chinese buyers as well.
A Result that Delivers at the Farm Gate
In January 2026, following high-level meetings and a preliminary agreement between Canadian and Chinese leaders, China announced it would remove the 100 per cent tariff on Canadian peas effective March 1, 2026.
This decision reopens a market that accounted for roughly $3.7 billion in Canadian pea exports between 2019 and 2024. More importantly for farmers, it restores a major source of demand, improves price discovery and stabilizes the outlook for the coming crop year.
\What This Means Going Forward
Reopening China doesn’t just move product – it strengthens the entire pricing structure for peas in Western Canada. Strong export demand supports farmer bids, restores throughput and gives farmers more confidence with seeding and marketing decisions.
But the work isn’t finished. With a commitment to keep tariffs off until the end of 2026, the window to secure permanent tariff removal is now open. Maintaining this access requires ongoing engagement to reduce the risk of future disruptions and to ensure Canada remains a preferred supplier in an increasingly competitive global market.
For farmers, the takeaway is straightforward: persistence pays. By staying engaged with customers, governments and trading partners, the pulse sector helped reopen a critical market and reinforced long-term demand for Canadian peas.