The World Trade Organization (WTO) was approached on April 3 by Canada over the issue of tariffs imposed by the US on vehicles and components.

“Canada has requested consultations with the US under the WTO dispute settlement mechanism, focusing on the measures taken by the US, which has imposed a 25% tariff on automobiles and auto parts.”

The WTO said on its website.

Canada was not affected by the new wave of customs tariffs announced last week by US President Donald Trump against almost all countries worldwide, which were already facing tariffs of at least 10% on all their sales to the US.

But Ottawa, Washington’s first trading partner, is already in the crosshairs from additional US customs tariffs on steel and aluminum, as well as on cars.

Tariffs of 25% took effect on April 3 on all cars not made in the US. In retaliation, Canadian Prime Minister Mark Carney announced 25% tariffs on certain US car imports.

The request for consultations filed by Canada was distributed to other WTO members today. It constitutes the formal starting point for the dispute settlement process. These consultations allow the parties to consider the issue and find a satisfactory solution without involving themselves in legal proceedings.

After 60 days, if the consultations have not allowed the dispute to be resolved, the claimant may request that the matter be submitted to a judicial proceeding under the jurisdiction of a panel of experts.

In its request for consultations, the Government of Canada states that it considers the U.S. measures to be “inconsistent” with the various U.S. obligations to the 1994 General Agreement on Tariffs and Trade (GATT).

“The Government of Canada looks forward to receiving the US government’s response to its request and hopes that a mutually agreeable date and venue, mutually acceptable, will be established for consultations,” he added.

As early as March, Canada had already appealed to the WTO over the issue of punitive 25% customs duties imposed by the Trump administration on the majority of its products imported into the US.