Brussels, 22/10/2001 (Agence Europe) - The European downstream aluminium companies in FACE are calling for the launch of a "short trade round" or "cycle" in order to achieve the fast removal of duties on primary aluminium and for a "fair" reduction of duties on trade in industrial products. A FACE spokesperson stressed that this was "central" to "securing an economic rebound in 2002".
FACE welcomes the European Commission's readiness to discuss all industrial tariffs during the next round of negotiations and calls for a "short cycle whose duration would not exceed 3 years". It calls for a "system allowing sectoral compromises to be decided and to enter into force within a reasonable delay", warning of the "dangers of seeing issues that could be solved without excessive difficulties be (sic) kept hostages of political difficulties to reach consensus on more sensitive matters". FACE feels this is less risky than the "wide agenda" that the EU is calling for, arguing that it is particularly important for the long-awaited abolition of duties on primary aluminium.
FACE points out that every year the EU downstream aluminium industry has to pay an additional $500 million because of the "EU 6% duty on primary aluminium" and "this situation penalises our industry, creates competitive distortions and contributes to maintain per capita consumption of environment friendly aluminium in Europe far below the levels it reaches in the United States or Japan which do not applies duties on primary metal". There are "growing consumption trends, while the European industry will remain increasingly dependent on importations (sic) on primary aluminium". "To keep a duty on primary aluminium in the EU simply doesn't make sense any more" and works as "a hidden subsidy", insists FACE. It hopes that the 142 WTO countries agree to harmonise customs duty on semis, calling for "efforts not to be spared to increase and accelerate WTO membership of emerging economies".
FACE "praises the EU Commission market access policy, emphasises its full support for having developing countries benefiting from the advantages of the multilateral system, while stressing the need for strict compliance with WTO rules and mechanisms - which means less interpretations, more clarification".