Euro MP expresses delight ahead of expected US climbdown on steel duties (Diana Wallis MEP)

Diana Wallis MEP <info@dianawallismep.org.uk>

Euro MP expresses delight ahead of expected US climbdown on steel duties

December 2, 2003 12:00 AM

Local Euro MP Diana Wallis has expressed her delight on the news that US President George W Bush is heading for the steel town of Pittsburgh to raise election funds on Monday ahead of an expected climbdown on steel duties.

The US enacted tariffs on foreign steel in March 2002 to protect the industry at home. But the duties were ruled illegal by the World Trade Organisation, and the European Union threatened sanctions.

Now, US newspapers report, Mr Bush is ready to ditch the tariffs to avoid a trade war. The sanctions would have hit US exports to Europe worth as much as $2.2bn a year, risking damage to the nascent economic recovery.

Liberal Democrat Diana Wallis MEP said, "I am delighted to read these reports in the American press. Whilst President Bush thought he was supporting the steel makers, those companies that use steel in the USA such as car makers were very angry about the duties on imports he imposed. Along with the steel producers in Europe they seem to have won the important battle to reinstate free trade."

The BBC reports that the decision is expected to come later this week, the Washington Post reported. The paper said industry and White House sources said the move was "all but set in stone", since the sanctions were targeted at electorally important industries such as Florida's citrus farmers.