January 22, 2009

USTR modifies taxes on imports from EU amid beef dispute

USTR head Susan Schwab said that it was time to modify the duties to try and encourage a resolution to this long standing dispute so as to finally provide a fair outcome to the US beef industry, while addressing the economic impact of such long-standing duties on US interests.

EU's trade chief Catherine Ashton said that the EU will take action through the WTO.

EU ban on beef from cattle fed with certain growth hormones started in 1988, with the rules modified in 2003 after the WTO allowed the US to impose tariffs.

In 2007, the WTO rejected an EU claim that they were complying with the trade rules and on October 16, 2008 the WTO appellate body confirmed the US ability to levy tariffs until the dispute ends.