Brussels, 16/02/2000 (Agence Europe) - Europeans and Americans will be resuming their talks on trade disputes which continue to have an adverse effect on their bilateral relations and on the relaunching of preparations for the next round of multilateral talks, on the occasion of the visit that European Commissioner Pascal Lamy is making to Washington, on Thursday 17 and Friday 18 February. "It is a routine visit", insisted his spokesperson who gave sober details of the agenda for this brief visit to the other side of the Atlantic.
The official responsible for European trade policy will be meeting his American counterpart Charlene Barshefsky on Thursday afternoon after a speech at the trade sub-committee of the Congress and a lunch at the European Institute in Washington. On Friday, he will be the guest of the Euro-American Chamber of Commerce and, in the afternoon, will meet representatives of the Congress and Senate. With Mrs Barshefsky, Mr Lamy is mainly expected to discuss ideas recently floated by the secretary general of the World Trade Organisation with a view to restoring confidence in this institution and relaunching as soon as possible the next multilateral round of talks (EUROPE of 11 February, pp.11-12). These one to one talks will also provide the opportunity to update on matters of dispute, and mainly on:
- Bananas. This affair will be the focus of a discussion, on 24 February, in Geneva and a report by the European Commission is awaited by the WTO Dispute Settlements Body to "verify" the implementation of recommendations of the special group which had confirmed, in appeal, the incompatibility of the key elements of the Community import regime with WTO rules. This regime is nonetheless still in place, failing any solution to date that meets the satisfaction of all parties involved. The two-stage solution that the Commission had proposed last November is still on the negotiation table, despite the considerable reservation caused, not only among Member States but also the third countries concerned, like the counter-proposal put forward by the Caribbeans with the support of the United States.
- Hormone treated meat. Progress has been made over the last few months, as witnessed by the additional time recently granted by the EU Standing Veterinary Committee to the United States to allow it to remedy health-related shortcomings noted in their deliveries of hormone-treated meat. The idea of replacing the American sanctions by European compensations, which would take the form of enlarged concessions on imports of meat which has not been treated with hormones in the Community, seems to be gaining ground. Washington must nevertheless be capable of guaranteeing, within a matter of weeks, that meat exported in the framework of the high-quality beef quota is totally free of hormones.
- Hushkits. On Tuesday, the European Commission reviewed this matter (which the United States has referred to the International Civil Aviation Organisation). It confirmed 4 May as the date of entry into force of legislation banning the registration of aircraft equipped with hushkits in Europe. A letter from the US Secretaries of Transport, Rodney Slater, and Trade, William Daley, expected to reach Brussels on Wednesday, however, is said to contain a more conciliatory position. It will be recalled that on 3 February last, Transport Commissioner Loyola de Palacio proposed that the United States subscribe to a joint declaration on adoption of more restrictive sound standards for aircraft, in exchange for the suspension of the European embargo on aircraft equipped with hushkits (see EUROPE of 9 February, page 9).
- The American Foreign Sales Corporation system, which was condemned by a WTO panel last September. The appeal procedure launched by Washington is expected to end in March but certain members of Congress are becoming impatient.
Other issues (such as steel, see yesterday's EUROPE, pp. 7-8) are also expected to be discussed.
