Canada has escalated its trade dispute with China, announcing an additional 25% surtax on imports containing Chinese-melted and poured steel, effective by the end of July. The move, which Ottawa says aims to boost supply chain transparency and prevent circumvention of existing trade measures, drew swift condemnation from Beijing.

The Canadian government has ordered Chinese tech company Hikvision, a major surveillance equipment manufacturer, to close its operations in Canada, citing national security concerns.

Last week, Canada announced that it would be imposing a new 50% surtax, functioning as a tariff-rate quota, on certain steel imports from countries with whom it does not have a trade agreement.

At a meeting of the WTO's Dispute Settlement Body today, panels were established to hear disputes brought by Canada and China against each other.

After the recent Canadian election, Canada's national and provincial leaders have focused on plans to increase inter-provincial trade and deal with economic threats from the United States, but improving trade relations with China and dealing with trade irritants have also been important issues.

At a meeting of the WTO's Dispute Settlement Body on Friday, a panel requested by China against Canadian import taxes was blocked, and a panel requested by Canada against Chinese tariffs was removed from the agenda. These moves constitute brief delays and both panels will still be established

In a WTO complaint brought by Canada, China has contested Canada's declaration of the complaint as an "urgent" one meriting shorter timeframes.