A “Buy Canadian” movement, which has gained traction amid Donald Trump’s trade war, is forcing many Canadians to pay closer attention to the labels on their grocery store products. However, when it comes to purchasing salmon, British Columbians are often left in the dark about where their fish actually comes from. While some may believe that the salmon they’re buying is locally caught in British Columbia (B.C.), it’s more likely to have been sourced from Alaska, Norway, or Chile.
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This confusion is compounded by the lack of clear labeling on salmon packaging in grocery stores, which leaves consumers unable to distinguish between domestic and international fish. Meanwhile, B.C.’s salmon fishing industry, once a thriving part of the province’s economy, is teetering on the edge of collapse due to a series of interconnected factors, including the federal government’s policies and tariffs imposed by the United States.
The Decline of B.C.’s Wild Salmon Fisheries and the Struggles of Salmon Farming
B.C.’s once-booming wild salmon fisheries have seen a dramatic decline, particularly in the Fraser River sockeye salmon stocks, while the province’s salmon farming sector is now under siege. This decline is a direct result of a combination of factors, including the imposition of a 25% tariff by Donald Trump on all Canadian imports, which has hit the salmon farming industry particularly hard.
Nick Dicarlo, the sales director for Cermaq Canada—a major player in B.C.’s salmon farming industry—has expressed grave concern about the long-term consequences of these tariffs. “I don’t know if I could underestimate how devastating it would be if the tariffs were implemented for more than a week or two,” said Dicarlo. “I don’t know if anybody would survive that.” The impact is already being felt, with layoffs becoming a frequent occurrence as the sector struggles to stay afloat.
Brian Kingzett, executive director of the B.C. Salmon Farmers Association, points out that the salmon farming industry in B.C. is highly vulnerable to the U.S. market, making it particularly susceptible to the tariffs. To make matters worse, the Trudeau government has implemented policies that aim to phase out open-net salmon farming altogether in the province, adding another layer of uncertainty for the industry.
The Impact of Trudeau’s Policies on the Salmon Farming Sector
Under the Trudeau government’s new policies, the federal government is pushing to eliminate open-net salmon farming in the Discovery Islands, a key region for B.C.’s salmon farms. This policy has had a devastating effect on the industry, with major companies like Cermaq losing 30% of their production in the province. Mowi, another major player in the sector, has lost 40% of its production. As a result, many of these companies have been forced to import farmed salmon from their operations in Norway and Chile to fill the gaps in production.
Overall, B.C.’s farmed salmon production has fallen by 45% between 2020 and 2023, from 90,000 tonnes to just 50,000 tonnes annually. This significant reduction in production capacity has left the industry in a weakened state, making it highly vulnerable to the added strain of Trump’s tariffs.
Rising Costs and the Strain on the U.S. Market
The tariffs on Canadian imports, even though temporarily paused, have already begun to impact the bottom line for many salmon farming companies in B.C. For example, Cermaq was forced to absorb the additional costs of the tariffs on a recent sale to the U.S., resulting in a significant financial loss. “We did harvest last week, and we paid the tariffs on that,” said Dicarlo. “We lost a lot of money. One truckload, we had to pay an additional $33,000 U.S. to get a truck across the border.”
Despite this setback, there is a glimmer of hope in the form of an uptick in demand from Canadian consumers who are increasingly seeking to support homegrown products. “That’s a direct byproduct of consumer demand for Canadian products,” said Dicarlo. However, even with this growing support, the Canadian market remains relatively small compared to the U.S., meaning that a shift in domestic consumption alone will not be enough to sustain the struggling B.C. salmon farming industry.
The Economic Reality of Land-Based Salmon Farming
In response to the Trudeau government’s policies, some have suggested that transitioning to land-based full containment systems for salmon farming could be a potential solution. However, the economic realities of such a shift are stark. “The systems work technically, but they are not yet cost-effective,” said Ken Coates in a recent report for the Macdonald-Laurier Institute. “Furthermore, land-based systems are unlikely to be effective replacements for current fish farms.”
Currently, Canada produces around 140,000 tonnes of farmed salmon annually, yet domestic consumption hovers around just 30,000 tonnes. As a result, over 100,000 tonnes of salmon are typically exported to the U.S. each year. Even if Canadians were to increase their consumption of domestic farmed salmon, it is unlikely that this would be enough to fill the void left by the loss of the U.S. market.
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The Struggles of Expanding to Other Markets
As B.C.’s salmon farming industry continues to shrink, opportunities to diversify into new markets like Asia have been limited. The reduction in production has made it difficult for companies to pivot toward these markets, particularly as the industry’s capacity to service these markets has diminished. “There’s not enough wide-body service of air freight into Japan or China, and we haven’t really been developing those markets because we’ve been retreating from the market for the last few years,” said Dicarlo.
Kingzett agrees, noting that the limited production capacity has left the industry unable to expand into new markets. “When you have your production reduced by 45%, you lose your options,” he said. “You’ve consolidated not only your production, but you’ve consolidated your market as well.”
Looking Ahead: Will B.C.’s Salmon Farming Industry Survive?
With the combination of reduced production capacity, growing political pressures, and the looming threat of tariffs, it’s clear that B.C.’s salmon farming industry is facing an uncertain future. The federal government’s policies to phase out open-net salmon farming, coupled with the ongoing trade challenges with the U.S., are pushing the industry to the brink of collapse.
For many in the industry, the question is no longer whether these policies will harm the sector—it’s about how much longer the industry can survive before it’s forced out of business entirely.
As Brian Kingzett bluntly puts it, “The companies are very close to leaving Canada right now because of the federal transition. So this is just one more nail in the coffin.”
It’s a bleak outlook for B.C.’s once-thriving salmon farming industry, and unless significant policy changes and trade negotiations take place, the future of this vital sector may remain in jeopardy.
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