Brussels, 15/09/2005 (Agence Europe) - Commissioner Peter Mandelson (trade) and his American counterpart, US Trade Representative Rob Portman, agreed on Wednesday in Washington on a timetable of “intensive consultation” on all matters relating to the Doha Round, with a view to preparing the WTO ministerial meeting in Hong Kong in December. The two men did not, however, give any details about their forthcoming meetings or about the subjects that would be discussed there. They simply pointed out that these talks would not be limited to the United States and to the EU, but would also include the other key players in multilateral negotiations on trade liberalisation. During a joint press conference with Mr Mandelson (the first important event is planned for 22 September in Paris where informal discussions will be held between the trade ministers of the G-4, i.e. USA, EU, Brazil and India), Mr Portman explained that they will assume their responsibilities as two major trade partners and as key players in the world economy. They also understand, however, that other members of the WTO also should not only be involved, but also have responsibilities and contribute to the process and that their contribution must be sought before moving forward. Nothing filtered out at the press conference on the results of talks this week in Washington (“We've both got our homework to do”, Mr Portman simply said), which can also be explained by the fact that Americans and Europeans do not wish to give the impression that they are negotiating between themselves in order to then impose their points of view on other WTO member countries. “We are not engraving our proposals in stone so that they can then be passed on to grateful WTO members”, Mr Mandelson commented. Diplomats explain that the main point of disagreement between Brussels and Washington remains agriculture, and both are reticent to reduce their respective protective barriers. The EU has already suggested doing away with export subsidies, but hopes to maintain its main import duties as well as direct subsidies to farmers. The Americans have import duties that are on average lower than those of the Europeans but they hope to keep tariffs up for some products such as sugar and fruit juice, and also grant considerable subsidies to their producers of meat, cotton and other products. Both sides urge each other to take the first move and to make concessions, mainly on domestic subsidies and import tariffs.
A new contribution to the debate came on Wednesday from US President George W. Bush who, in a speech at the UN, promised to abolish subsidies to US farmers, customs taxes and all other obstacles to world trade in goods and services, on condition that other countries do the same. “Today I broaden the challenge by making this pledge: the United States is ready to eliminate tariffs, subsidies and other barriers to free flow of goods and services as other nations do the same … It's the key to overcoming poverty in the world's poorest nations. It's essential we promote prosperity and opportunity for all nations. By expanding trade we spread hope and opportunity to the corners of the world and we strike a blow against the terrorists who feed on anger and resentment”, Bush declared on Wednesday before the UN General Assembly. These comments were warmly received by the EU. “I firmly support the spirit of these declarations and I believe it is important that someone like the president grants this attention to the WTO round of talks”, Commissioner Mandelson told the press.
During his first press conference as WTO director general (see EUROPE 9027), Pascal Lamy had said in Geneva on Wednesday that the ministerial meeting in Hong Kong should lead negotiators two-thirds of the road that remains to be covered to completing the Doha Round. “If we do not go these two-thirds of the way to Hong Kong, then the prospect of ending the Round in 2006 is seriously compromised”, he warned. Mr Lamy also stressed the fact that the negotiations at WTO, in Geneva, must remain the central process of the Doha Round and that all consultations held outside this round of talks (for example those between the G-4 scheduled for 22 September in Paris) must be organised in a way that strengthens the multilateral work in Geneva, rather than weaken it.