EU Will Seek to Impose Sanctions on U.S.
RAF CASERT
AP/Yahoo
3/31/05
EXCERPT:
BRUSSELS, Belgium - The European Union head office said Thursday it will seek to impose additional sanctions of up to 15 percent on U.S. products to punish Washington for failing to repeal an antidumping law ruled illegal by the World Trade Organization.
The European Commission said its action would be joined soon by seven other nations, including Japan, South Korea and Brazil, which had all requested the WTO authorize retaliation.
The EU's move would slap additional duties of up to 15 percent as of May 1 on such U.S. products as paper, textiles, machinery and farm produce. The European Commission's proposal still needs to be approved by the EU member states.
Targeted items ran from writing pads to sweetcorn, tablecloth and sports footwear.
The EU said that according to the latest information, the level of retaliation would amount to slightly less than $28 million.
The agency said it took its latest step "in light of the continuing failure of the United States to bring its legislation in conformity with its international obligations."
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The law, known as the Byrd amendment, allows American companies to receive proceeds from antidumping duties levied on foreign rivals.