U.S. Delays Decision on EU Product Sanctions

The United States has delayed, possibly until next week, a closely watched decision on rotating sanctions imposed on European Union products, officials said. Under a new law, the Office of the U.S. Trade Representative must revise the list of European products affected by the sanctions every six months until the EU changes its beef and banana trade policies to comply with World Trade Organization rulings. The deadline for the current round of changes was June 19, but officials said they needed more time. “We’re still working on it,” a spokeswoman for Trade Representative Charlene Barshefsky said. “I don’t have a date.” The listings name the European goods subject to 100% duties because of WTO findings that the EU violated international trade rules in the two disputes. Washington has had 100% duties on $191.4 million worth of EU handbags, bed linens and other goods since April 1999 in the banana case. It has had similarly high duties on $116.8 million worth of Danish hams, French pate and other food products since July 1999 in the beef case. The trade office has received more than 400 sets of comments from businesses and industry groups affected by possible changes in the retaliatory measures.