International Trade Law News
November 7, 2003
U.S. Steel Leaders Warn on Lifting of 201 Duties/Cuba Makes Purchaes From Minnesota
A slow news day on the trade front. . .
There is a report indicating that leaders of U.S Steel, Nucor and the Unied Steelworkers repeated their warning to the President that he would pay a "heavy political price" if he gives in to international pressure to repeal the section 201 tariffs on steel products. The warning was made in advance of Monday's expected WTO ruling affirming that the section 201 "safeguard" measures imposed in March 2002 did not comply with the WTO Safeguards Agreement.
Also, there is a story in the story in the Minneapolis Star-Tribune stating that Cuba has ordered 14,300 tons of corn byproducts from Minnesota ethanol plants to use as high-quality cattle feed. The sale of corn byproducts and other agricultural products, including cattle, was made at Cuba's International Trade Show, which opened last weekend. The story notes that U.S. food sales to Cuba are expected to top $166 million this year and $200 million next year.
November 6, 2003
WTO Completes Assessment of Haiti's Economy
The WTO's Trade Policy Review Body has published its report on Haiti's economy. The report indicates that while Haiti remains one of the poorest countries in the world, it has implemented reforms that have greatly liberalized its economy and made it one of the most open in Latin America and the Caribbean. The report notes that significant structural reforms remain to be implemented which has had a negative impact on the economy’s performance.
Commerce Department Releases Results of Two Preliminary Antidumping Reviews
The preliminary results of the following two antidumping administrative reviews were published in today's Federal Register:
1. In the February 1, 2002, through January 31, 2003 antidumping administratrive involving Creatine Monohydrate From China, the Commerce Departmetn found a preliminary dumping margin of 0% on sales made by Suzhou Sanjian Nutrient & Health Products Co., Ltd.
2. In the antidumping review involving Certain Cut-to-Length Carbon-Quality Steel Plate Products From the Republic of Korea, the Commerce Department found a 0.85% margin for sales made by Dongkuk Steel Mill Co., Ltd. during the period February 1, 2002, through January 31, 2003.
November 5, 2003
Largest U.S. Furniture Company Opposes Antidumping Petition on Furniture From China
Today's St. Louis Post-Dispatch reports that the largest U.S. furniture company will oppose the recently filed antidumping petition on wooden furniture from China.
Furniture Brands International Inc., of Clayton, Missouri, has indicated that it will oppose the antidumping petition since the "only meaningful effect of a successful anti-dumping effort will be an increase in the price of furniture for the retail furniture consumer." A company spokesman claims that the petition was filed by small players in an industry that's ripe for consolidation. Under the U.S. antidumping law, the case may proceed as long as the petitions supported by at least 25 percent of the domestic industry and opposed by less than 50 percent of the domestic industry.
WTO Publishes Decisions Index
The WTO has recently published an excellent tool that allows users to find decisions of WTO panels, the WTO Appellate Body and other WTO bodies. The WTO Analytical Index is presented in separate chapters for each WTO agreement. The chapters set forth the text of the particular WTO article or agreement, chronologically arranged excerpts of relevant jurisprudence and decisions, a discussion of the relationship to other articles and WTO agreements, and cross-references to the GATT Analytical Index when applicable.
EU Threatens to Retaliate if U.S. Does not Repeal Steel Tariffs and FSC Program
Yesterday, EU Trade Commissioner Pascal Lamy concluded two days of talks with Bush administration officials by delivering a promise of retaliatory sanctions if the United States does not lift its steel tariffs and repeal the foreign sales corporation tax subsidies by the end of 2003.
This coming Monday, the WTO is scheduled to issue its final ruling against the section 201 safeguards imposed by the U.S. on imported steel in March 2003. Lamy said the European Union will then give the U.S. five days to lift the tariffs or face the imposition of up to $2.2 billion in retaliatory tariffs by Dec. 15, 2003.
The WTO has previously ruled the U.S. foreign sales corporation tax an illegal export subsidy and the EU promised to impose up to $4 billion in retaliatory tariffs on 1,866 products by March 2004 if Congress does not repeal the subsidies this year.
November 4, 2003
Iraq to Apply to Join WTO
Iraq's interim trade minister announced on Monday that Iraq will apply to become a member of the World Trade Organization. Iraq is likely to first become an observer before becoming a full member.
The application and negotiation process permitting Iraq to become a full member of the WTO is likely to take several years.
Cuba Signs Contracts With U.S. Companies at Havana Trade Fair
Empresa Cubana Importadora Alimentos (Alimport), the Government of Cuba's food importer, announced that it has signed contracts with nine U.S. companies for $25 million in sales of agricultural and food products. The sales were made during this Cuba's annual international trade fair which opened this past weekend in Havana. Fair organizers said 153 U.S. businesspersons, representing more than 50 companies from 19 states, were attending the fair.
U.S. law permits the licensed sales of agriculture, food, medicine and medical devices to Cuba.
November 3, 2003
Poll Shows Voters Back Section 201 Tariffs on Steel Products
The results of a poll issued last week confirmed that voters in steel-producing states overwhelmingly support the Section 201 tariffs imposed by the United States on imported steel, even if they don't have a direct connection to the industry. The poll, conducted by Republican pollster Bill McInturff, showed that nearly 75 percent of voters in Michigan, Ohio, Pennsylvania and West Virginia support the president's decision. Nationally, 64 percent of those surveyed supported the tariffs.
State Department Confirms Policy Shift on Syria
Assistant Secretary of State for Near Eastern Affairs William Burns reconfirmed last week that the Bush Administration will not oppose enactment of the Syria Accountability Act that has passed the House (H.R. 1828) and is currently pending in the Senate (S. 982).
In a hearing conducted by the Senate Foreign Relations Committee late last week, Burns told the panel that "[W]e face some real problems in Syrian behavior that we cannot afford to ignore. Action on the Syria Accountability Act certainly makes clear the depth of congressional concern on these issues and the consequences of inaction by Syria." Burns also confirmed that Syria continues to support terror groups and groups such as Hamas and Islamic Jihad continue to operate out of Syria.
