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Newsletter

Foreign Developments in Response
to 201 Steel Duties

April 8 , 2002

The EU, China, Japan, South Korea, Switzerland and Norway have all requested consultations under the WTO's dispute settlement procedure, while Canada, Mexico, New Zealand and Venezuela have further requested involvement in the talks.

The European Commission (EC), the executive arm of the European Union (EU), claims the U.S. breached 10 WTO rules by implementing the 201 safeguards, particularly the EC is concerned that the 201 tariffs would be imposed at a time when exports of steel to the U.S. have actually dropped.  Therefore, in response, the EC has adopted a regulation that imposes its own TRQs against EU imports of 15 types of steel products in an effort to prevent certain steel products once intended for the U.S. from being diverted to the EU.  The TRQs entered into force on March 29, 2002, and they are expected to remain in effect until September 28, 2002.

The U.S. is considering filing a complaint with the WTO against the EU safeguard measures. The U.S. accuses the EU of acting before they actually have evidence of steel diversions. The EU continues to consider a list of 300 U.S. exports that could face further retaliatory action.

As of March 25th, Canada also began a "safeguard investigation" in order to protect its marketplace from a surge of steel imports because of the U.S. tariff wall. The Canadian International Trade Tribunal has 105 days to determine whether Canadian steel producers are being injured and then another 45 days to recommend a remedy.

For additional details, please see the following article at the EU's Europa website.

If you have any questions on any of the issues raised in this newsletter, please contact George R. Tuttle, III at (415) 288-0428 or via email at geo@tuttlelaw.com.

George R. Tuttle, III is an attorney with the Law Offices of George R. Tuttle in San Francisco. The information in this article is general in nature and is not intended to constitute legal advice or to create an attorney-client relationship with respect to any event or occurrence, and may not be considered as such.

 

 

Copyright © 2002 by Tuttle Law Offices. 

All rights reserved.  Information has been obtained from sources believed to be reliable.  However, because of the possibility of human or mechanical error by our offices or by others, we do not guarantee the accuracy, adequacy, or completeness of any information and are not responsible for any errors, omissions, or for the results obtained from the use of such information.

 

 

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