DS: Canada — Surtax and Tariff Rate Quotas on Imports of Certain Steel and Aluminium Goods, Including Goods Containing Chinese-Origin Inputs

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Summary of the dispute to date

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Consultations

On 15 August 2025, China requested consultations with Canada with respect to alleged tariff rate quotas (TRQs) and surtax measures on the importation of certain products. In particular, China's request concerns (i) a 50 per cent of surtax, in the form of TRQs, on imports of certain steel products above certain established quota amounts originating from Canada's non-FTA partners, including China, with certain trade partners being exempted,; and (ii) a 25 per cent of surtax on imports of certain steel products that contain steel melted and poured in China and certain aluminum goods that contain aluminum smelted and cast in China.

China claimed that the challenged TRQ measures ((i) above) appear to be inconsistent with:

• Articles I:1, II:1(a), II:1(b), X:3(a), XI:1, and XIII of the GATT 1994; and
• Article 3.2 of the Import Licensing Agreement.

China also claimed that the challenged Surtax measures ((ii) above) appear to be inconsistent with:

• Articles I:1, II:1(a), and II:1(b) of the GATT 1994; and
• Articles 2(b), 2(c), and 2(d) of the Agreement on Rules of Origin.