With the list of trade irritants between Canada and the United States growing day by day, Ottawa has launched a wide-ranging trade complaint against its southern neighbour, over Washington’s increasingly protectionist trade practices, according to a World Trade Organization filing dated Dec. 20 and published Wednesday.
Canada appeared to be mounting a case on behalf of the rest of the world, since it cited almost 200 examples of alleged U.S. wrongdoing, almost all of them concerning other trading partners, such as China, India, Brazil and the European Union.
The 32-page complaint challenges Washington’s use of anti-dumping and countervailing duties, arguing it goes against WTO rules.
“Canada considers the measures relating to U.S. anti-dumping or countervailing duty investigations, reviews or other proceedings are inconsistent with U.S. obligations under the WTO’s Anti-Dumping Agreement, the Agreement on Subsidies and Countervailing Measures, the General Agreement on Tariffs and Trade 1994 and the Understanding on Rules and Procedures Governing the Settlement of Disputes,” the document’s preamble states.
U.S. Trade Representative Robert Lighthizer called Canada’s action an “ill-advised attack on the U.S. trade remedies system.”
“Canada’s claims are unfounded and could only lower U.S. confidence that Canada is committed to mutually beneficial trade,” Lighthizer said in statement.
“For example, if the U.S. removed the orders listed in Canada’s complaint, the flood of imports from China and other countries would negatively impact billions of dollars in Canadian exports to the United States, including nearly $9 billion in exports of steel and aluminium products and more than $2.5 billion in exports of wood and paper products. Canada’s claims threaten the ability of all countries to defend their workers against unfair trade. Canada’s complaint is bad for Canada.”
Susan Yurkovich, president of the BC Lumber Trade Council, said her organization backs the Canadian government’s move.
“For decades, the Canadian lumber industry has been subject to unfair and unwarranted duties imposed by the U.S. Department of Commerce, and has filed appeals under the NAFTA and WTO agreements,” Yurkovich said in a statement. “We know that when unbiased entities review these unfair trade practices, they have found in Canada’s favour.”
With files from The Canadian Press and Reuters
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