US takes EU tariffs on technology before WTO

wtoWashington - The United States on Wednesday asked the World Trade Organization to intervene in a dispute with the European Union over tariffs on high-tech products that it says should be duty-free.

US Trade Representative Susan Schwab requested WTO dispute settlement consultation on tariffs the EU has applied to cable and satellite boxes, flat-screen computer monitors and computer printers that also scan, fax and copy.

The US said the products should be included under a 1996 WTO agreement that eliminated tariffs on information technology products.

"The EU should be working with the United States to promote new technologies, not finding protectionist gimmicks to apply new duties to these products," Schwab said.

The EU's representatives in Washington said it "strongly rejects US claims ... that the EU is not fulfilling its obligations" under the trade deal.

It argued that the products do not fall under the deal and that to include them the treaty must be reassessed by all signatories, not just the US and EU.

The US said the issues had already been raised in four rounds of informal talks, with no deal reached.

Under WTO intervention, the US and EU would hold formal consultations, but if the dispute is not resolved within 60 days a panel would be created to determine if the EU is meeting its WTO obligations.

The Information Technology Industry Council, a US industry group, welcomed the move, saying the EU's tariffs had hurt US firms. (dpa)

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