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EEC Agrees to Limit Exports of Steel to U.S.

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Associated Press

European Economic Community industry ministers Tuesday ratified an accord with Washington to limit exports of 16 steel products to the United States during the remainder of the year to 198,000 tons.

At the same time, they agreed on how to share exports of steel pipes and tubes to the United States that were limited in an agreement signed last January.

“I think this is an equitable arrangement that takes into account the interests of the steel industry in the European Community and the United States,” EEC Industry Commissioner Willy De Cler told reporters after the ministerial meeting.

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It is expected that exports of the 16 products covered in the latest agreement--including different types of wire, rail, ties and rods--will total 655,000 tons this year, compared to 632,000 tons in 1984.

A tentative agreement with the Reagan Administration was signed by officials of the EEC’s Executive Commission on Monday.

“A trade war with the United States has been averted,” Frits Bolkestein, the Dutch minister, said.

“We live at peace” with the United States, De Cler said.

Yet Bolkestein expressed concern at growing protectionist sentiments in the United States, which is struggling with a record trade deficit of more than $200 billion.

He and other officials said 1986 export levels for the 16 steel products covered by the new agreement remained open for negotiations.

The industry ministers agreed to parcel out the 198,000 tons for the next five months as follows:

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West Germany, 46,564 tons; France, 50,656 tons; Italy 10,736 tons; Belgium and Luxembourg, 47,460 tons; Great Britain, 23,991 tons; the Netherlands, 7,922 tons; Greece, 8,069 tons, and Denmark, 541 tons.

Put Into Reserve

The remaining 2,000 tons of the overall 198,000-ton quota has been put into a reserve, officials said.

The ministers also agreed on how to share a 257,700-ton quota for exports of steel oil pipes and tubes, or about 10% of the American market, under an accord reached last January.

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