China Challenges Canada’s Steel and Aluminum Duties at WTO

China has formally initiated dispute-settlement proceedings at the World Trade Organization, alleging that Canada’s surtaxes and import quotas on certain steel and aluminum products breach WTO rules. The request for consultations, circulated in Geneva on 20 August, is the first step in the WTO process and obliges both governments to seek a negotiated solution within 60 days. Ottawa introduced the measures—extra duties of up to 25% and country-specific quota limits—in response to a surge of foreign metal imports after earlier U.S. tariffs reshuffled global trade flows. Beijing argues the restrictions discriminate against Chinese producers and go beyond safeguards permitted by WTO agreements. If talks fail, China can ask the WTO to establish a dispute panel, potentially leading to rulings that could authorize retaliatory trade action. The case adds to a growing docket of metal-related disputes at the WTO and comes as other major economies, including the United States, intensify their scrutiny of trade practices involving China.