Canada Files WTO Complaint Against US Steel and Aluminum Tariffs

The WTO on Thursday said Canada's request had been notified to its member countries.

Canada has officially moved to fight US import tariffs on steel and aluminum by making a request to the World Trade Organization (WTO) for consultations, the trade body's official statement reported.

The WTO on Thursday said Canada's request had been notified to its member countries.

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As reported by Xinhua News Agency, Canada argues that the US action to withdraw its exemption and raise tariffs is in contravention of American obligations under the General Agreement on Tariffs and Trade (GATT) 1994.

Mary Ng, Minister of Export Promotion, International Trade, and Economic Development of Canada, made a statement on Wednesday that the nation was requesting formal talks with the United States about these tariffs.

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Canada is greatly disappointed that the US has decided to reimpose these unwarranted tariffs that harm workers and businesses on both sides of the border," Ng said. "These arbitrary tariffs are a breach of the United States' obligations under both the Canada-United States-Mexico Agreement (CUSMA) and the WTO Agreement.

In the meantime, Canadian Innovation, Science, and Industry Minister François-Philippe Champagne reiterated on Thursday that Canadian steel and aluminum are a part of North America's infrastructure and manufacturing base. He pointed out that these metals are crucial to US industries like defense, shipbuilding, and car manufacturing.

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In order to help domestic industries, Champagne has instructed Industry Canada to give top priority to funding projects that use mostly Canadian steel and aluminum.

In response to the US tariffs, Canada launched countermeasures on Wednesday, imposing retaliatory tariffs on American steel and aluminum imports worth 29.8 billion Canadian dollars ($20.7 billion). This move came in response to US President Donald Trump's 25 percent tariff on all steel and aluminum imports, which became effective the same day.

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On February 10, Trump signed proclamations to increase aluminum tariffs from 10 percent to 25 percent, to match the current steel tariff rate. In addition, he removed duty-free quotas, exemptions, and exclusions for steel and aluminum tariffs, with the latter to be implemented starting March 12.

Adding fuel to tensions further, Trump on March 11 declared his intention to double tariffs on Canadian steel and aluminum to 50 percent in response to tariffs on electricity exports from Ontario. The plan was subsequently taken back later on the same day after Ontario lifted the electricity tariffs that were affecting three US states.

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