Carla Hills Voices Concerns on ‘Fortress Europe’

President Bush’s senior trade negotiator said today she is still concerned that the European Community is building a “fortress Europe” that will block imports from the United States.

“We are worried about actions taken, threatened or merely implied that discriminate against American and other non-European firms, forcing them to locate in Europe or lose sales,” U.S. Trade Representative Carla Anderson Hills said.

She told a meeting of business leaders and diplomats she is “gravely concerned” about EC policies against imports of U.S. television programs, airplanes, cars and semiconductors.

On her first stop on a six-city European tour, Hills said she hopes “EC 1992 results in a freer, not a fortress Europe.”

Hills dwelt on actions taken or proposed by the EC as it pursues plans to dismantle almost all existing internal trade barriers by 1992.

She also expressed confidence that Washington will grant Moscow trade privileges if Soviet leader Mikhail S. Gorbachev restructures the economy and eases emigration controls.

Hills was asked if the United States is prepared to repeal the Jackson-Vanik Amendment, which ties the granting of trade privileges to Soviet emigration policies.

“If Mr. Gorbachev is correct that perestroika will continue, then I would have confidence that perhaps one day that would be possible,” she said.

She said President Bush has indicated he will ask Congress to lift the amendment and grant Moscow most-favored-nation trading status if it allows Soviet citizens freedom to emigrate.

Under such status, the Soviet Union would be able to export goods to the United States at a much lower tariff rate. Most major trading partners already have most-favored-nation status.