Brussels, 17/11/2004 (Agence Europe) - The European Commission is still hoping that the USA will rapidly take measures to amend or abolish their anti-dumping measures, known as the "Byrd amendment", judged illegal by the World Trade Organisation (WTO) but it was increasingly likely that the EU would impose at the beginning of 2005 trade sanctions against a series of US imports, declared the European Commissioner for trade, Pascal Lamy. There is always as chance that the US Congress changes legislation during a "lame duck session" this week. He added that, "we very much hope that we would not have" to impose the sanctions but if there is not other alternative we will have to do that". The exact date for the entry into force of sanctions should be decided by Member States. the spokesperson said that, "Hopefully we won't even have to decide about a date, but my feeling is that this is likely to take place beginning of next year".
In January 2003 a WTO panel condemned the US law which the government redistributes the income of anti-dumping duties to US companies. Given that the deadline granted to Washington expired in December 2003 without the legislation being withdrawn or amended, the WTO in August authorised the EU and seven other plaintiffs to impose sanctions in the form of additional duties on US exports.
At the beginning of this week, the European Union and seven countries (Brazil, Canada, Chile, India, Japan, South Korea and Mexico) submitted a list of US products to the WTO to be sanctioned if Washington does not take swift action. The EU explains that the sanctions will hit a volume of trade worth USD 40-50 million a year. Penalties will also focus on imports targeted during the steel dispute: textiles, machines, shoes, wood, agricultural products, fruit and vegetables. After examining the list the WTO is supposed to five the final green light to sanctions on 24 November. In its choice of US products to be possibly sanctioned, the Commission has taken care to avoid harming the interests of European import-exporters and has only aimed at products that account for less than 20% of the total European imports for the products concerned, explained Mr Lamy's spokesperson