EU to consider sanctions against U.S.

[dmp]

wow...

Wed 1 September, 2004 12:48

BRUSSELS (Reuters) - The European Union will open talks in coming days on whether and when to impose sanctions on U.S. goods, the bloc's executive says, a day after winning WTO backing over the "Byrd" anti-dumping law.

The European Commission's spokeswoman for trade, Arancha Gonzalez, told a briefing on Wednesday that the EU's strategy to force a repeal of the amendment would "take into account ... the fact that elections are on the horizon in the U.S."

World Trade Organisation arbitrators on Tuesday authorised the EU and seven other WTO members to impose $150 million (83 million pounds) in sanctions over Washington's failure to revoke the Byrd amendment.

The law, which the WTO has repeatedly declared illegal, obliges the government to distribute to U.S. companies money raised in anti-dumping duties levied on foreign firms.

The WTO's ruling could stir transatlantic trade tensions ahead of the U.S. presidential elections in November.

"In the coming days we will be discussing whether or not we should be imposing sanctions, when it should be, on which products, for which amounts," Gonzalez said, noting that the EU's trade committee meets every Friday.

"The community response will be guided by one single objective, namely repeal of the legislation which is deemed to be illegal. The fact that there are elections on the horizon in America will I suppose be taken into account ... but this is not a political discussion at the end of the day."

The EU, Japan, Canada, Brazil, India, Mexico, Chile and South Korea argued successfully at the WTO that payments under the Byrd amendment -- to U.S. ball bearing, steel, candle, pasta, seafood and other firms -- amounted to illegal subsidies.

The EU plans to coordinate closely with these seven nations to work out the best strategy.

"If we work together we will have more effect," said a senior European Commission official, who declined to be identified.

The U.S. administration has pledged to "work closely with Congress" to comply with WTO rules, but the Byrd amendment enjoys strong backing from legislators who see it as helping struggling industries.

 

[freeandfun1]

I saw where Kerry is blasting Bush on this yet it is funny....

The Byrd Amendment was passed in 2000 as the Dumping and Subsidy Offset Act of 2000. And it was DEMOCRATS that pushed it through.....

Senator Byrd, the influential senior Senator from West Virginia, picked up on the CDSOA as a way to support the ailing steel industry in his and neighboring areas. Senator Byrd added the CDSOA as an unrelated "rider," Title X, to that critical agriculture appropriations bill. Few congressmen say they realized it had been added, and it passed almost unnoticed, with no deliberation. After that maneuver, it became known as the "Byrd Amendment."

Continued Dumping and Subsidy Offset Act of 2000 (the CDSOA or Byrd Amendment)

 

[Avatar4321]

Lets see if i understand this. It hurts the Europeans too much to have sanctions against Preliberated Iraq, yet its not going to hurt Europe to put sanctions against the United States....are they just stupid?

 

[007]

Lets see if i understand this. It hurts the Europeans too much to have sanctions against Preliberated Iraq, yet its not going to hurt Europe to put sanctions against the United States....are they just stupid?

Aaaaaaaah... I can answer that one.... yes.

 

[Avatar4321]

Aaaaaaaah... I can answer that one.... yes.

well ask an easy question, get an easy answer

I think the EU is dreaming. We would be able to survive sanctions imposed by them. I am not sure they could though.

 

[Palestinian Jew]

I'm sure those sanctions will be enforced just like all of the other sanctions europe has passed.

 

[Comrade]

wow...

BRUSSELS (Reuters) - The European Union will open talks in coming days on whether and when to impose sanctions on U.S. goods, the bloc's executive says, a day after winning WTO backing over the "Byrd" anti-dumping law.

The European Commission's spokeswoman for trade, Arancha Gonzalez, told a briefing on Wednesday that the EU's strategy to force a repeal of the amendment would "take into account ... the fact that elections are on the horizon in the U.S."

Does it help Kerry!?!

World Trade Organisation arbitrators on Tuesday authorised the EU and seven other WTO members to impose $150 million (83 million pounds) in sanctions over Washington's failure to revoke the Byrd amendment.

Ohhh! SCARY!

That's like 1 /73,333th of total US GDP.

Or 1 /5,000th of total American exports.

Did someone say Airbus?

 

[insein]

I'm sure those sanctions will be enforced just like all of the other sanctions europe has passed.

A good point PJ. Either way, they have increased their agressiveness in the Global politco against the US recently. This only furthers NewGuy's theory on the EU.

 

[Said1]

The law, which the WTO has repeatedly declared illegal, obliges the government to distribute to U.S. companies money raised in anti-dumping duties levied on foreign firms.

Hahaha, that's just too funny. What a bunch of cry babies.

I know this thread is old, I missed it the first time around.

 

[5stringJeff]

Does the EU really want to get into a trade war with the world's strongest economy?

 

[Said1]

Does the EU really want to get into a trade war with the world's strongest economy?

Doubt it. Sounds like they're mad about how their money is being spent.

They like to make rules, but hate to enforce them on themselves.