Canada Files WTO Complaint Over US Tariffs on Steel and Aluminium

Abiola
2 Min Read

Canada has taken its trade dispute with the United States to the World Trade Organization (WTO), formally lodging a complaint on Thursday against the sweeping 25% tariffs imposed by the U.S. President Donald Trump on steel and aluminium imports.

The steep levies, which took effect on Wednesday, applied across the board without exemptions, despite ongoing diplomatic efforts to prevent them.

According to the WTO, Canada has requested dispute consultations regarding the tariffs, arguing that they violate U.S. trade obligations.

“Canada claims that the measures, which terminate its exemption from additional duties and increase tariffs on certain aluminium products, are inconsistent with U.S. commitments under WTO rules,” the trade body stated.

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As the leading supplier of steel to the United States—followed by Brazil and the European Union—Canada has been significantly affected by the tariffs.

The U.S. relies on imports for nearly half of its steel and aluminium, which are used in industries ranging from automobile and aircraft manufacturing to beverage can production. Trump’s justification for the tariffs was to protect the declining U.S. steel sector, which faces mounting competition, particularly from Asia.

Canada’s request for consultations marks the initial stage of a WTO dispute, providing both parties with an opportunity to negotiate a resolution before escalating to litigation. If no agreement is reached within 60 days, Canada could request a formal ruling from a WTO panel.

This is not Canada’s first challenge against Trump’s tariff policies. Earlier, on March 4, the country launched a separate WTO complaint over previous trade maneuvers.

Trump’s approach to tariffs has been unpredictable—shortly after returning to office on January 20, he announced blanket 25% tariffs on Canadian and Mexican imports, only to temporarily suspend them, citing concerns over illegal immigration and drug trafficking.


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