EU Lists U.S. Products that Could be Subject to Additional Duties in Retaliation Against the Byrd Amendment
On November 10, 2004, the European Communities (EC) requested authorization from the World Trade Organization's (WTO's) Dispute Settlement Body (DSB) to retaliate against the U.S. regarding the Continued Dumping and Subsidy Offset Act (CDSOA, also referred to as the Byrd Amendment) by imposing additional import duties on U.S.-origin products to be drawn from a list of 8-digit EC Combined Nomenclature (CN) codes.
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(In August 2004, WTO arbitrators authorized the EC, Canada, Mexico, Brazil, Chile, India, Japan, and Korea to retaliate against the U.S. with up to more than $150 million in sanctions. See ITT's Online Archives or 09/02/04 news, 04090205, for BP summary on this award amount for all eight.)
EC to Notify DSB of List of U.S. Products Every Year
In its request for authorization to retaliate, the EC states that in accordance with the August 2004 arbitration award, every year it will notify the DSB of the list of U.S. origin products on which the additional import duties will apply, prior to their entry into force.
(The annually adjusted additional import duties that would be imposed by the EC would be set at 72% of the amount of disbursements under the CDSOA for the most recent year for which data are available relating to antidumping or countervailing duties paid on imports from the EC at that time.)
According to the EC, the WTO's DSB will consider its request for authorization to retaliate at its November 24, 2004 meeting.
Affected U.S. Origin Products to be Drawn from EC List
The EC states that the products that will be subject to increased duties, if of U.S. origin, will be drawn from those described in the following 8-digit EC Combined Nomenclature (CN) codes:
| 07104000 | 48183000 |
| 48185000 | 48203000 |
| 48205000 | 61013090 |
| 61023010 | 61044300 |
| 61046300 | 61052090 |
| 61061000 | 61101190 |
| 61101210 | 61101990 |
| 61102010 | 61103010 |
| 61103091 | 61109090 |
| 62011210 | 62011390 |
| 62019200 | 62029300 |
| 62034231 | 62034390 |
| 62044200 | 62044910 |
| 62046231 | 62046390 |
| 62046918 | 62052000 |
| 62053000 | 62064000 |
| 63013010 | 63014090 |
| 64021900 | 84672199 |
| 87051000 | 90091200 |
| 94037090 | 96081010 |
USTR Says U.S. Intends to Comply with its WTO Obligations
In response to the EU's request for WTO authorization to retaliate, the USTR states that the U.S. has already notified the WTO that it intends to comply with its ruling against the CDSOA. The USTR notes that the U.S. is working with Congress to bring the U.S. into compliance and that trading partners will continue to be consulted on these efforts.
EU request for authorization to retaliate, including Annex of CN Codes, available at
http://trade-info.cec.eu.int/doclib/docs/2004/november/tradoc_120028.pdf.
USTR spokesman's statement regarding request for WTO authorization to retaliate against the U.S. (dated 11/10/04) available at http://www.ustr.gov/Document_Library/Spokesperson_Statements/Statement_from_USTR_Spokesman_Richard_Mills_Regarding_requests_for_WTO_authorization_to_retaliate_against_the_United_States_on_t.html.
BP Note
It should be noted that the countries of Canada, Mexico, Brazil, Chile, India, Japan, and Korea have also been authorized by the WTO arbitrators to retaliate against the U.S., and may take similar actions.