Canada to challenge Trump’s tariffs at WTO

Canada's Prime Minister Justin Trudeau

Canada will file a World Trade Organization (WTO) claim against United States President Donald Trump’s tariffs and also seek redress under a regional free trade deal, a Canadian official said on Sunday, February 2, 2025.

“The Canadian government clearly considers these tariffs to be a violation of trade commitments that the United States has taken,” the official, speaking on condition of anonymity, told a briefing.

After weeks of threats, Trump on Saturday signed off on 25 per cent tariffs on all Canadian imports except energy resources, which will be hit with a 10 per cent levy.

“We will obviously pursue the legal recourse that we believe we have through the agreements that we share with the United States,” the official said, citing the WTO and U.S.-Mexico-Canada agreement (CUSMA) that Trump himself signed in 2018.

A review of the pact, which a Canadian official called a “gold standard agreement,” was due to be held next year.

Ottawa also unveiled on Sunday a list of 1,256 American goods it plans to target in a first round of counter-tariffs worth Can$30 billion starting on Tuesday.

Trump announces tariffs on Canada, Mexico, China Saturday

The list includes cosmetics, appliances, tires, tools, plastics, furniture, coffee, wines and spirits, dairy and fruits, AFP reported.

Officials said the Canadian tariffs do not target specifically Republican states but aim to put pressure on lawmakers with influence over Trump, who are more likely to be Republicans.

A second round of counter-tariffs could be announced in the coming weeks, when the total amount of the products targeted would rise to Can$155 billion (U.S.$106 billion).

An official said: “Our hope is that the actions we have taken already will be sufficient to persuade the United States that it has gone down the wrong path and that they will reach out to work with us on how to get back to a more normal state.

“If not, the prime minister and others have indicated that all options remain on the table, and there are a suite of additional measures that could be contemplated.”

The Star