How Trump's trade war could see U.S. lobster industry use Canada as conduit to China

Posted In: News Date:Sep 20th, 2018

The United States' trade war with China is leading to fears that Canada will be used as a "gray market" conduit to the Chinese market for lobsters from Maine.

China slapped a 25 per cent tariff on U.S. lobster in July — effectively closing the fastest-growing market in the world to Maine's lobster industry.

Geoff Irvine of the Lobster Council of Canada says there have been indications since then that Maine lobster is coming into Canada and then being sent onwards to China.

"We are digging into the country-of-origin rules. But we believe if it comes in as U.S. it has to be sold as U.S.," Irvine says.

"Some of our live shippers are worried it could erode the Canadian market. It would undercut our market advantage [in China] and the prices we have, and we don't want that," Irvine tells CBC News.