BEIJING/SHANGHAI, Feb 28 (Reuters) – China on Saturday sharply reduced its tariff rate on Canadian canola in the final ruling of a 17-month anti-dumping investigation, ‌following a thaw in relations between Beijing and Ottawa.

The announcement came a day ‌after China said it would suspend some tariffs on Canadian agricultural products imposed during its trade spat ​with Canada.

The final anti-dumping tariff was lowered to 5.9% from a preliminary 75.8% imposed in August, according to a statement from the commerce ministry. The levy will be effective from March 1 and will last for five years.

In addition to the anti-dumping duty, Canadian canola ‌remains subject to China’s standard ⁠9% import tariff, bringing the total effective duty to 14.9%.

The outcome broadly aligns with Canadian Prime Minister Mark Carney’s expectations. After his visit ⁠to Beijing in January, Carney had said he anticipated a total tariff rate of around 15%.

China was Canada’s second-largest market for canola in 2024.

The decision comes amid a wave of ​visits to ​Beijing by Western leaders, including Carney, as ​U.S. President Donald Trump’s trade policies ‌have strained Washington’s traditional alliances. China has sought to present itself as a more stable and reliable economic partner in contrast.

Carney went further than his European counterparts by securing a deal with China and signalling Canada’s ambition to play a leading role in a new global trade order aimed at reducing dependence on the United States.

China’s Ministry ‌of Commerce said on Saturday that its probe determined ​that imported rapeseed from Canada involved dumping and ​harmed China’s domestic rapeseed industry.

The new ​levies “can alleviate pressure on the domestic sector and help maintain healthy ‌and stable development of the industry.”

The ministry ​added that the ruling ​was based on facts and evidence, and also took into account reasonable requests of the Canadian side.

“China is willing to work with Canada to continue deepening ​economic and trade cooperation ‌between the two countries and enhance the well-being of the people on both ​sides,” the ministry said.

(Reporting by Ella Cao in Beijing and Shanghai newsroom; ​Editing by Tom Hogue and Sam Holmes)