WTO Sets Up Dispute Panels in Cases Related to Canadian Duties on Chinese EVs
The World Trade Organization's Dispute Settlement Body on June 23 agreed to establish dispute panels in China's case against Canada's tariffs on Chinese electric vehicles and steel and aluminum products and Canada's dispute against Chinese import duties on Canadian agricultural and fisheries products, the WTO announced.
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China first requested dispute consultations with Canada at the WTO last year to address Canadian tariffs on Chinese products (see 2409110031). The duties include a 100% tariff on Chinese EVs and 25% duty on steel and aluminum products. China alleged that the measures violate the most favored nation principle in the General Agreement on Tariffs and Trade (GATT) 1994 and Canada's GATT schedule of customs duty concessions and commitments.
During the settlement body's meeting, the U.S. said China responded to the taxes by imposing "countermeasures" via additional duties on Canadian agricultural and fisheries products.
Canada initially requested dispute consultations with China in March, arguing that duties were imposed in retaliation for Canadian duties on Chinese EVs and steel and aluminum (see 2503250052). Canada alleged that the measures violate the WTO's Understanding on the Rules and Procedures Governing the Settlement of Disputes and the GATT 1994.