Canadian Crab and Lobster Industries Face Tariffs and Geopolitical Uncertainty

Canadian crab and lobster industry representatives are seeking clarity and opportunities at the Seafood Expo North America in Boston, as the sector navigates looming tariffs and global economic concerns. The U.S. Has postponed 25 percent tariffs on most Canadian goods until April 2, but China’s tariffs targeting Canadian crab and lobster are set to grab effect on March 20, creating significant challenges for exporters.

Tariff Impacts and Price Concerns

“It’s going to be very hard to settle on prices given that we have to build in that the tariffs are happening,” said Geoff Irvine, executive director of the Lobster Council of Canada as reported by CBC News. With most live lobster already sold, the industry anticipates a substantial supply in April, May, and June, adding to the pricing pressure.

Geopolitical Factors and Market Hesitation

Gilles Thériault, the executive director of the New Brunswick Crab Processors Association, expressed concern about the broader geopolitical landscape, particularly events in Iran, and their potential impact on the market. He noted that rising oil costs will likely contribute to food price inflation, potentially leading consumers to cut back on luxury items like snow crab.

“This is why some – we will recognize more in the coming days – some of the buyers say they are concerned and are more hesitant to compromise in the long term, even if they are looking for crab,” Thériault stated according to CBC.

Fuel Costs and Fishing Season Outlook

Martin Noël, president of the Association of Acadian Professional Crab Fishermen, acknowledged the direct impact of fuel prices on the cost of crab fishing. While the full effect remains uncertain, Noël believes fishermen are unlikely to halt operations due to fuel costs alone, especially with a declining snow crab quota.

“If we have an increase of, observe, 30%, 40%, it is certain that it has a direct impact, given the reduction in quotas that we have,” Noël said. “But I don’t believe the fishermen would think enough to say that I’m staying at the dock given that of the price of fuel.”

Delayed Season Start

The snow crab fishing season is tentatively scheduled to begin around April 10, a week later than in 2025. Despite the uncertainties, industry officials remain hopeful that the situation will stabilize before the season’s start.