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ARTICLE · 06 JUNE 2018

Canada Retaliates To U.S. Tariffs On Steel And Aluminum

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As of midnight on May 31, the Trump administration revoked the exemptions to the U.S. ad valorem tariffs on imports of steel and aluminum previously granted to Canada, the EU, and Mexico.

GlobalInternational Law

As of midnight on May 31, the Trump administration revoked the exemptions to the U.S. ad valorem tariffs on imports of steel and aluminum previously granted to Canada, the EU, and Mexico. In a swift response following the U.S. announcement, Canada (as well as the EU and Mexico) declared its intention to impose retaliatory tariffs against U.S. exports.

President Trump imposed the tariffs through presidential proclamations under an obscure provision in U.S. domestic law, Section 232 of the U.S. Trade Expansion Act of 1962. The chosen legal mechanism is irregular and trade experts question its application given the requirement that true national security risks exist. WTO Agreements permit application of protective tariffs under other conditions, including dumping, subsidization, and import surges, but the U.S. government has chosen to take the Section 232 route which is not burdened by the rigor of as many procedural steps and satisfaction of legal conditions (other

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