Canada launches complaint with WTO over Trump's steep auto tariffs

Geneva, Switzerland - has launched a complaint with the World Trade Organization over the steep tariff imposed on car imports by US President , the global trade body said Monday.

Canada has launched a complaint with the World Trade Organization over the steep tariff imposed on car imports by US President Donald Trump, the global trade body said Monday. © JASON REDMOND / AFP

"Canada has requested WTO dispute consultations with the United States concerning US measures imposing a and automobile parts from Canada," the organization said.

The request was filed last Thursday – the day the additional levy came into effect for all cars and car parts not manufactured in the US, but it was only circulated to WTO members on Monday.

In the request, the Canadian government charged that the tariffs were "inconsistent with United States' obligations" under international trade laws.

Canada immediately , saying Thursday it would impose a 25% tariff on tens of thousands of vehicles imported from the US.

Since coming to power last January, Trump has unleashed a barrage of tariffs, and last week hit countries and goods around the world, sending markets crashing.

Canada was largely spared from the Trump announced last Wednesday, as Washington granted an exemption to goods compliant with the US-Canada-Mexico free trade agreement, which covers most products.

But Canada, which is one of America's largest trading partners, is still facing tariffs on , in addition to the levies on automobiles.

Carney: Canada must be looking elsewhere to expand our trade, to build our economy, and to protect our sovereignty. Canada is ready to take a leadership role in building a coalition of likeminded countries who share our values… If the US no longer wants to lead, Canada will pic.twitter.com/sjrUfZuNsu

— Acyn (@Acyn) April 3, 2025

Canada stands up to Trump's sweeping tariffs

The tariffs on automobiles and auto parts are expected to be particularly painful in North America, where those markets are heavily integrated.

WTO consultations give the parties an opportunity to discuss the matter and to find a satisfactory solution without proceeding further with litigation.

After 60 days, if consultations have failed to resolve the dispute, the complainant may request adjudication by a panel.

In response to President Trump’s tariffs on our auto sector, Canada will impose a 25% tariff on all U.S. vehicle imports that do not comply with our free trade agreement.

All revenues from these tariffs will be used to support our Canadian auto workers and their industry.

— Mark Carney (@MarkJCarney) April 3, 2025

Canada has launched separate WTO complaints over Trump's previous tariff maneuvers.