Canada, following the lead of the United States and European Union, said on Monday it would impose a 100% tariff on imports of Chinese electric vehicles (EVs) and announced a 25% tariff on imported steel and aluminum from China, Reuters reports.

The duties apply to all EVs shipped from China, which would include those made by Tesla (TSLA.O), opens new tab, a Canadian government official said

Prime Minister Justin Trudeau said Ottawa was acting to counter what he called China's intentional, state-directed policy of over-capacity.

"I think we all know that China is not playing by the same rules," he told reporters. The tariffs will be imposed starting October 1.

"What is important about this is we're doing it in alignment and in parallel with other economies around the world," Trudeau said on the sidelines of a three-day closed-door cabinet meeting in Halifax, Nova Scotia.

The tariffs will come into effect just a month after Ottawa launched a 30-day public consultation on Chinese EVs and related products to bring them into line with United States and European Union requirements.

Ottawa is trying to position Canada as a critical part of the global EV supply chain and had come under pressure from domestic industry to act against China.

Canada has inked deals worth billions of dollars to attract top European automakers in all parts of the EV supply chain.

The US is expected to announce this week the final plans for the sharp increase in tariffs announced by US President Joe Biden at the beginning of the year.