Synopsis
Canada has filed a complaint with the WTO against US tariffs on its steel and aluminum, stating the measures violate trade agreements. Officials express disappointment over the unilateral nature of these tariffs, which they argue harm cross-border workers and businesses.Key Takeaways
- Canada has challenged US steel and aluminum tariffs at the WTO.
- Officials claim US measures violate trade agreements.
- Reciprocal tariffs from Canada total CA$29.8 billion.
- Canada emphasizes the importance of its steel and aluminum for US industries.
- Efforts to prioritize Canadian materials in funding projects.
On March 14, Ottawa (NationPress) officially initiated consultations with the World Trade Organization (WTO) to challenge the US import tariffs imposed on Canadian steel and aluminum products, as outlined in a statement from the trade organization.
This request was shared with WTO members on Thursday, according to the statement.
Canada contends that the US actions, which revoked its exemption and raised tariffs, violate the US commitments under GATT 1994, as reported by Xinhua news agency.
Mary Ng, the minister responsible for export promotion, international trade, and economic development, stated on Wednesday that Canada is pursuing formal discussions with the US regarding the tariffs on steel and aluminum.
"Canada is profoundly disappointed by the US's decision to reintroduce these unwarranted tariffs that negatively impact workers and businesses on both sides of the border," Ng expressed in the statement. "These unilateral tariffs breach the United States' commitments under both the Canada-United States-Mexico Agreement (CUSMA) and the WTO Agreement."
Francois-Philippe Champagne, the minister of innovation, science, and industry, remarked on Thursday that Canadian steel and aluminum are essential to North America's critical infrastructure and manufacturing landscape, while also supporting important US sectors, including defense, shipbuilding, and automotive.
The industry minister instructed Industry Canada to prioritize funding for projects that predominantly utilize Canadian steel and aluminum.
On Wednesday, Canada declared reciprocal tariffs on US steel and aluminum imports totaling 29.8 billion Canadian dollars ($20.7 billion). This trade measure was a response to US President Donald Trump's 25 percent tariffs on all steel and aluminum imports, which took effect the same day.
On February 10, Trump signed proclamations increasing tariffs on aluminum from 10 percent to 25 percent, matching the existing rate for steel.
He also chose to eliminate duty-free quotas, exemptions, and exclusions regarding steel and aluminum tariffs. These actions were slated to commence on March 12.
On March 11, Trump unveiled a plan to double tariffs on Canadian steel and aluminum imports to 50 percent in retaliation for tariffs on electricity exports from the Canadian province of Ontario. However, this plan was reversed later that day after Ontario rescinded the electricity export tariffs affecting three US states.
