Trade Wars:  Canada files WTO Complaint Against US

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Canada has filed a WTO complaint against the United States with respect to anti-dumping and countervailing duty proceedings today.  This is likely in response to recent actions with respect to the Bombardier C Series aircraft as well as actions taken against the Canadian lumber industry by US regulators in the last year.

While we do not expect this WTO complaint to change the outcome of the Department of Commerce and International Trade Commission hearings regarding aircraft, this does provide Canada and Bombardier one further avenue to pursue as they argue their case against US sanctions.

The retaliation by Canada is evident that Ottawa is prepared for a trade war, and that Canada will not accept the recent actions by US authorities without a fight.  The US and Canada, who are the number one trade partners for each country, stand to lose more than they gain should a full blown trade war erupt.

Let’s hope some sanity enters the process before it escalates beyond control.

© 2018, Ernest S. Arvai. All rights reserved.

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4 comments on “Trade Wars:  Canada files WTO Complaint Against US
  1. BernardP says:

    In both instances, Canada also has a recourse under NAFTA. But these things take time. Unfortunately, in the short term Canada’s and Bombardier’s only hopes seem to rest in a “beau geste” from president Trump.

  2. Pierre Bus says:

    NAFTA is the next thing on the list to go poof

  3. clbea says:

    Boeing is still afraid even with Embraer cooperation!
    Poor Boeing!

  4. David Hughes says:

    It should be noted that over half of the cited examples of US ‘irregular duties’ cases apply to countries other than Canada. Just to make matters worse between the US and ‘all’ other trading nations of the WTO the US is refusing to accept new judges of the WTO arbitration courts, presumably to try to make the entire WTO enforcement mechanisms pointless. One suspects that Canada is being merely the point nation for a concerted push against the highly politicized US dispute mechanisms.

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