US Trade Representative Praises Canada’s Imposition of New Tariffs on Chinese Electric Vehicles, Steel, and Aluminum
U.S. Trade Representative Katherine Tai commended Canada on Thursday for imposing significant tariffs on certain Chinese imports. In a statement, Tai praised Ottawa for taking a crucial step towards ensuring fair competition for workers and businesses in the electric vehicle, steel, and aluminum industries.
The Canadian government has accused China of flooding the global electric vehicle market with excess supply and failing to uphold labor and environmental standards. Canadian Prime Minister Justin Trudeau recently announced a 100 percent tariff on Chinese-made EVs starting October 1, along with a 25 percent tariff on Chinese steel and aluminum products effective October 15.
In addition to Canada’s actions, the White House has also increased tariffs on other Chinese imports, including semiconductors and batteries.
Canada is set to begin a 30-day consultation period on implementing measures targeting batteries, battery parts, semiconductors, solar products, and critical minerals from China.
Tai praised Canada’s decision, stating that the new tariffs will safeguard workers and key industries from China’s unfair and anti-competitive policies. She emphasized the importance of protecting market-oriented industries from Beijing’s nonmarket practices that threaten fair competition. Tai also criticized China for failing to uphold labor rights and environmental protections.
Looking ahead, Tai expressed eagerness to collaborate with Minister Mary Ng to promote North American jobs, investment, and prosperity. Both countries aim to defend their workers from unfair actions through shared values as market democracies.
The Canadian government’s move to impose high tariffs on Chinese imports aligns with opposition leader Pierre Poilievre’s pledge to do the same if the Conservative Party were to come into power. U.S. national security adviser Jake Sullivan emphasized the benefits of a coordinated approach on these issues for all parties involved.
In a separate development, the European Union has applied tariffs on Chinese EVs, citing concerns over Chinese overcapacity. The European Commission’s investigation revealed unfair subsidization in the Chinese BEV value chain, prompting interim tariffs initially set between 17.4 percent and 37.6 percent.
Furthermore, the European Commission is expected to conclude its anti-subsidy investigation by November, despite China contesting the interim decision to the WTO. Meanwhile, the U.S. and Mexico have implemented measures to prevent Chinese steel and aluminum products from entering the U.S. through Mexico.