China said on Tuesday it planned to start an anti-dumping investigation into canola imports from Canada, after Ottawa moved to impose tariffs on Chinese electric vehicles, lifting prices of domestic rapeseed oil futures to a one-month peak.

The move could lead to tariffs on a key Canadian export and escalates a trade fight between the two countries.

Beijing has said it will open a trade probe into canola imports from Canada and hit out at Ottawa’s decision last week to raise tariffs on Chinese steel and electric vehicles. China ’s commerce ministry on Tuesday said Canada had “significantly” increased exports of the agricultural product and was “suspected of dumping”,