UNITED STATES – CERTAIN MEASURES ON STEEL AND ALUMINIUM PRODUCTS REQUEST FOR CONSULTATIONS BY CANADA
Document: REQUEST FOR CONSULTATIONS BY
Date: 6 June 2018
Document codes: WT/DS550/1; G/L/1245; G/SG/D55/1
Complainant: Canada
Respondent: U.S.
Third parties: Bahrain, Brazil, China, Colombia, Egypt, EU, Guatemala, Hong Kong, Iceland, India, Indonesia, Japan, Kazakhstan, Malaysia, Mexico, New Zealand, Norway, Qatar, Russia, Saudi Arabia, Singapore, South Africa, Switzerland, Taiwan, Thailand, Turkey, Ukraine, Venezuela
Dispute stage: Mutually Agreed Solution
Agreements cited: Art. I:1, II:1(a), II:1(b), X:3(a), XIX:1, XIX:2  GATT 1994Art. 2.1, 2.2, 3.1, 4.1, 4.2, 5.1, 7, 8.1, 11.1(a), 11.1(b), 12.1, 12.2, 12.3, 12.5  Safeguards

UNITED STATES – CERTAIN MEASURES ON STEEL AND ALUMINIUM PRODUCTS
REQUEST FOR CONSULTATIONS BY CANADA
The following communication, dated 1 June 2018, from the delegation of Canada to the delegation
of the United States, is circulated to the Dispute Settlement Body in accordance with Article 4.4 of
the DSU.

My authorities have instructed me to request consultations with the Government of the United
States pursuant to Articles 1 and 4 of the Understanding on Rules and Procedures Gove rning the
Settlement of Disputes, Article XXII:1 of the General Agreement on Tariffs and Trade 1994
(GATT 1994) and Article 14 of the Agreement on Safeguards with respect to certain measures by
the United States to adjust imports of steel and aluminium int o the United States, including
imposing additional ad valorem rates of duty on imports of the certain steel and aluminum
products and exempting certain selected WTO members from the measures.

A. "As applied" measures
On 8 March 2018, the United States impose d a 25 per cent additional import duty on certain steel
products and a 10 per cent additional import duty on certain aluminum products from all countries
exempting Canada, Mexico, Australia, Argentina, South Korea, Brazil and the European Union,
which took effect on 23 March 2018. On 30 April 2018 a proclamation was issued by the President
of the United States exempting imports from South Korea, Argentina, Australia and Brazil from the
additional import duties. The United States also extended the exemption from the additional
import duties for Canada, Mexico and the European Union until 31 May 2018. The exemption
expired on 31 May resulting in the imposition of the additional import duties on these Members
including Canada. The measures also indicated poss ible further adjustments to the measure, in
the form of additional import duties or implementation of a quota.
The measures at issue in this request include:
1. Adjusting Imports of Steel Into the United States, including the Annex, To Modify
Chapter 99 of t he Harmonized Tar -iff Schedule of the United States (Presidential
Proclamation 9705, issued on March 8, 2018)1
2. Adjusting Imports of Aluminum Into the United States, including the Annex, To Modify
Chapter 99 of the Harmonized Tariff Schedule of the United States (Presidential
Proclamation 9704, issued on March 8, 2018)2
3. Adjusting Imports of Steel into the United States, including the Annex, To Modify Chapter
99 of the Harmonized Tariff Schedule of the United States (Presidential Proclamation 9711,
issued on March 22, 2018)3

1 83 FR 11625-11630, March 15, 2018
2 83 FR 11619-11624, March 15, 2018
3 83 FR 13361-13365, March 28, 2018
WT/DS550/1 • G/L/1245 • G/SG/D55/1

4. Adjusting Imports of Aluminum into the United States, including the Annex, To Modify
Chapter 99 of the Harmonized Tariff Schedule of the United States (Presidential
Proclamation 9710, issued on March 22, 2018)4

5. Requirements for Submissi ons Requesting Exclusions From the Remedies Instituted in
Presidential Proclamations Adjusting Imports of Steel Into the United States and Adjusting
Imports of Aluminum Into the United States; and the Filing of Objections to Submitted
Exclusion Requests for Steel and Aluminum (U.S. Department of Commerce)5

6. Section 232 of the Trade Expansion Act of 1962, as amended (19 U.S.C. §1862), cited in
the Presidential Proclamations above for vesting authorities in the President of the United
States to take the actions therein

7. The Effect of Imports of Steel On the National Security, An Investigation Conducted Under
Section 232 of the Trade Expansion Act of 1962, As Amended (U.S. Department of
Commerce, January 11, 2018)6

8. The Effect of Imports of Aluminum On the National Security, An Investigation Conducted
Under Section 232 of the Trade Expansion Act of 1962, As Amended (U.S. Department of
Commerce, January 17, 2018)7
9. Section 705 Code of Federal Regulations, Effect of Imported Articles on the National
Security (15 CFR 705)8

10. Adjusting Imports of Steel into the United States, including the Annex, To Modify Chapter
99 of the Harmonized Tariff Schedule of the United States (Presidential Proclamation 9740,
issued on April 30, 2018)9

11. Adjusting Imports of Aluminum int o the United States, including the Annex, To Modify
Chapter 99 of the Harmonized Tariff Schedule of the United States (Presidential
Proclamation 9739, issued on April 30, 2018)10

12. Adjusting Imports of Steel into the United States, including any annexes (Pre sidential
Proclamation, issued on May 31, 2018)11

13. Adjusting Imports of Aluminum into the United States, including any annexes (Presidential
Proclamation, issued on May 31, 2018)12
and any amendments, successor, replacement or implementing measures and any e xemptions
applied.
The measures at issue, operating separately or together, appear to be inconsistent with the United
States' obligations under:

1. Article II:1(a) and (b) of the GATT 1994, because the United States has imposed import
duties on certain steel and aluminum products in excess of the duties set forth and
provided in the United States' Schedule of Concessions and Commitments annexed to the
GATT 1994, and has failed to exempt products of Canada subject to the measures at issue
from ordinary customs duties in excess of those set forth and provided in the United

4 83 FR 13355-13359, March 28, 2018
5 83 FR 12106-12112, March 19, 2018
6
https://www.commerce.gov/sites/commerce.gov/files/the_effect_of_imports_of_steel_on_the_national_securit
y_-_with_redactions_-_20180111.pdf
7
https://www.commerce.gov/sites/commerce.gov/files/the_effect_of_imports_of_aluminum_on_the_national_s
ecurity_-_with_redactions_-_20180117.pdf
8 47 FR 14693
9 83 FR 20683-20705, May 7, 2018
10 83 FR 20677-20682, May 7, 2018
11 https://www.whitehouse.gov/presidential-actions/presidential-proclamation-adjusting-imports-steel-
united-states-4/
12 https://www.whitehouse.gov/presidential-actions/presidential-proclamation-adjusting-imports-
aluminum-united-states-4/
WT/DS550/1 • G/L/1245 • G/SG/D55/1

States' Schedule of Concessions and Commitments annexed to the GATT 1994 and from all
other duties or charges in excess of those imposed on the date of the GATT 1994 or those
directly and mand atorily required to be imposed thereafter by legislation in force in the
United States on that date.
2. Articles XIX:1 and XIX:2 of the GATT 1994 and Articles 2.1, 2.2, 3.1, 4.1, 4.2, 5.1, 7, 8.1,
11.1(a), 12.1, 12.2, 12.3, and 12.5 of the Agreement on Safegu ards because the
measures at issue appear to constitute or amount to emergency actions or safeguard
measures adopted and implemented in a manner inconsistent with the substantive and
procedural obligations of the Agreement on Safeguards and the GATT 1994.
3. Article 11.1(b) of the Agreement on Safeguards to the extent that the United States seeks
any voluntary export restraints, orderly marketing arrangements, or any other similar
measures on the export or the import side through the measures at issue.
4. Article I:1 of the GATT 1994, because the selective application by the United States of the
additional import duties on certain steel and aluminum products originating in different
Members, including providing exemptions to certain countries or applying alterna tive
means, has failed to extend immediately and unconditionally to Canada any "advantage,
favor, privilege or immunity" granted by the United States "[w]ith respect to customs
duties and charges of any kind imposed on or in connection with" the importatio n of
products originating in the territory of other Members, as well as with respect to "the
method of levying such duties and charges" and the "rules and formalities in connection
with importation".
5. Article XI:1 of the GATT 1994, because the measures oper ate as a quantitative restriction
on imports of steel and aluminum products into the United States by exempting certain
Members from the additional import duties on the basis of alternative measures, such as
quotas, that restrict the quantity of imports of steel and aluminum products into the United
States.
6. Article X:3(a) of the GATT 1994 as the United States has failed to administer its laws,
regulations, decisions and rulings in relation to the measures at issue in a uniform,
impartial and reasonable manner.
B. "As such" and ongoing conduct measures
In addition, Section 232 of the Trade Expansion Act of 1962 and its associated regulations 13
appear to be "as such" inconsistent with Articles I:1 and II:1 of the GATT 1994 and does not
appear to be justifiable under Article XXI:(b) of the GATT 1994 because they require the United
States to account for economic welfare and other factors that are not necessary for the protection
of its essential security interests, in a manner that is inconsistent with Article XV I:4 of the WTO
Agreement.
In the alternative, the United States has applied Section 232 of the Trade Expansion Act of 1962
and its associated regulations for reasons related to economic welfare and other factors that are
not necessary for the protection o f its essential security interests. This measure is inconsistent
with Articles I:1 and II:1 of the GATT 1994 and does not appear to be justifiable under
Article XXI:(b) of the GATT 1994. This measure is evidenced, inter alia, by the measures at issue
identified in Section A above, and by prior Section 232 investigations done on the basis of
economic considerations, including the recently initiated investigation on the effect of imports of
automobiles, including SUVs, vans and light trucks, and automotive parts on the national security.
This measure is attributable to the United States, consists of the content identified and described
above and in Section A, and is presently occurring and likely to be continued in the future in a
manner inconsistent with Art icles I:1 and II:1 of the GATT 1994 and not justifiable under
Article XXI:(b) of the GATT 1994. Alternatively, it constitutes ongoing conduct or a rule or norm of
general and prospective application that are inconsistent with the United States' WTO obligations.

13 Including Section 705 Code of Federal Regulations, Effect of Imported Articles on the National
Security (15 CFR 705) 47 FR 14693.
WT/DS550/1 • G/L/1245 • G/SG/D55/1

The United States' measures described above nullify or impair benefits accruing to Canada directly
or indirectly under the cited agreements.
Canada reserves the right to address additional measures, factual and legal claims in the course of
consultations and in any future request for panel proceedings.
Canada looks forward to receiving the United States' reply to this request and to determining a
mutually convenient date for consultations.