Ottawa’s domestic policies are harming the aquaculture sector just as Trump’s tariffs reignite trade tensions, say seafood farmers
By Fabian Dawson
SeaWestNews
Canada’s aquaculture sector is calling on the federal government to roll back domestic policies it says are hurting the country’s seafood production, as U.S. President Donald Trump escalates his trade war with a new wave of global tariffs.
Industry leaders say now is the time for Ottawa to strengthen, not suppress, Canada’s ability to produce sustainable seafood at home, especially as cross-border trade becomes increasingly volatile.
Damaging policy decisions by federal and provincial governments continue to hold back Canadian seafood farming, said Timothy Kennedy, President & CEO of the Canadian Aquaculture Industry Alliance (CAIA).
“The balance has been off in Canada for many years… it’s now time to get back to a balance that better emphasizes job creation and economic revitalization. It is time to take steps to very intentionally grow the aquaculture sector in Canada and strengthen, not weaken, our coastal communities,” he said.
Trump announced a 10 per cent baseline global tariff this week, but Mexico and Canada were spared from fresh duties after being granted exemptions under the Canada-United States-Mexico Agreement (CUSMA).
The exemption applies to most goods that comply with the trade pact, though separate tariffs remain in place for steel, aluminum, and some auto exports.
The reprieve, however, offers limited relief for Canadian seafood exporters, who remain wary of shifting U.S. policies and their long-term impact on trade stability. Trump had previously slapped 25 per cent tariffs on Canadian and Mexican goods in retaliation for what he claimed was inaction on drug trafficking and migration, though he later carved out exemptions for CUSMA-compliant products.
Aquaculture advocates say the tariff turbulence only heightens the need for Canada to boost its domestic production capacity and reverse policies that undermine the sector, including the federal government’s plan to ban open-net pen salmon farming in B.C. by 2029.
The Liberal government is moving ahead with this plan, despite its own scientists saying the marine farms pose less than a minimal risk to migrating wild stocks. If the ban is enacted, it will eliminate the province’s top agri-food export and destroy 4,560 jobs.
Additionally, the ban is projected to leave taxpayers on the hook for $9 billion in compensation to existing salmon farmers, suppliers, and First Nations.
“We continue to believe that a first priority is for Canada to strengthen our economy here at home,” said Kennedy.
“Canada has the most cold-water aquaculture potential in the world. Our federal government has been overly focused on extreme environmental actions, including their 2029 ban of ocean net pen salmon farming in B.C.”
Currently, over 60% of Canada’s agriculture and agri-food exports are destined for the U.S., which, in return, supplies 20% of Canada’s agricultural and agri-food imports. This equates to about $100 billion worth of agriculture and agri-food products crossing the border every year.
When it comes to seafood trade, Canada imported over $1 billion worth of seafood from the United States in 2023 alone. Conversely, the U.S. imported over $3.6 billion in seafood products from Canada, solidifying Canada as its top supplier.
With roughly 70% of B.C.’s farm-raised salmon headed to U.S. markets, industry analysts warn that American demand could plummet by up to 40%—a hit that could slash revenues by as much as $142 million annually and cost the province between 1,100 and 1,195 jobs.
Meanwhile, as the federal election campaign gains momentum, Liberal Leader Mark Carney has unveiled a plan to protect Canada’s agri-food workers and businesses from the economic fallout of Trump’s tariffs.
“From defending supply management to investing more and cutting red tape, my new government will ensure Canadian farmers, ranchers, and agrifood workers have what they need to be protected and ensure they can get food from Canadian farms to Canadian plates,” said Carney.
“By safeguarding our domestic food sector and investing in workers across the country, we will protect our economic sovereignty and build a stronger Canada,” he said.
Among the measures Carney announced are:
• Making permanent the doubling of the revenue protection for farmers under the AgriStability Program, from $3 million to $6 million per farm, in the case of significant revenue drops caused by the impacts of tariffs, extreme weather events, and other external shocks;
• Building more domestic processing capacity, including food processing capacity in rural and remote areas, with a new $200 million Domestic Food Processing Fund;
• Increasing support for farmers, ranchers, and producers to access new markets for their food products with an additional $30 million in the AgriMarketing Program.
The B.C. Salmon Farmers Association (BCSFA) and the Coalition of First Nations for Finfish Stewardship are urging Ottawa to adopt their no-cost alternative to the proposed 2029 ban—one that meets environmental goals without harming the sector, Indigenous rights, or coastal communities.
“This plan could generate $2.5 billion in output, $930 million in GDP, and 9,000 jobs paying $560 million in wages by 2030, and $4.2 billion in output by 2040, providing sustainable local protein while protecting wild salmon using innovative technologies and practices,” said BCSFA Executive Director Brian Kingzett.
(Main Image shows U.S. President Donald Trump announcing a new wave of global tariffs at the White House.)