US, EU Trade Dispute

Published: 1 October 2000 y., Sunday
The United States and the European Union reached an agreement on Saturday that lifts the immediate threat of a trade war over a multibillion dollar U.S.tax break scheme for exporters. The agreement, hammered out in several days of talks between EU and U.S. officials in Brussels, postpones - possibly until the middle of next year -- threatened EU sanctions in a dispute which could hit at least $4 billion of U.S. exports. EU Trade Commissioner Pascal Lamy said the agreement showed the wish of both sides to handle trade disputes ``in a pragmatic and non-confrontational manner.'' The agreement does not resolve the transatlantic dispute over the U.S. Foreign Sales Corporation (FSC) scheme. But it should put the politically sensitive issue on the backburner during the campaign for the U.S. presidential election on November 7. Under the FSC scheme, the United States gives billions of dollars a year in tax breaks to big exporters like Boeing Co.and Microsoft Corp. through offshore subsidiaries in tax havens such as the Virgin Islands, Barbados or Guam.The World Trade Organization ruled earlier this year that the program, which covers hundreds of billions of dollars of exports, was an illegal export subsidy and gave Washington until October 1 to change it.
Šaltinis: dailynews.netscape.com
Copying, publishing, announcing any information from the News.lt portal without written permission of News.lt editorial office is prohibited.

Facebook Comments

New comment


Captcha

Associated articles

The most popular articles

MEPs secure overhaul of EU financial regulation

The financial and economic crisis has shown that reckless behaviour of banks and other financial institutions can have serious and costly consequences for Europe's economy and its people. more »

MEPs back unspent money for local energy & transport investment

Local services that create jobs and improve energy efficiency received a boost Thursday (2 September) when MEPs on the Industry, Research and Energy Committee approved plans for more investment. more »

The European Union approves EUR 264 million to help 19 African, Caribbean and Pacific States face the consequences of the economic crisis

The European Commission approved the first financing decisions under the EUR 264 million 2010 allocation for the so-called Vulnerability FLEX mechanism to help the most vulnerable African, Caribbean and Pacific countries cope with the impact of the global financial crisis and economic downturn. more »

Commission adds two Ghanaian airlines to the EU list of air carriers subject to an operating ban

The European Commission has today updated the list of airlines banned in the European Union to impose an operating ban on one air carrier from Ghana and to place operating restrictions on another air carrier from that country. more »

€7.5 million of EU funds to help 951 former workers in marine manufacturing in Denmark find new jobs

The European Commission today approved an application from Denmark for assistance under the European Globalisation adjustment Fund (EGF). more »

Commissioner Šemeta visits China to boost cooperation in custom controls and tackling counterfeit goods

Algirdas Šemeta, EU Commissioner for Taxation, Customs Union, Anti-Fraud and Audit, will open tomorrow an international conference at the Shanghai World Expo 2010 on building bridges to facilitate trade between China and the EU. more »

€90 million EU grant to crisis-hit Moldova approved by EP Trade Committee

Moldova is set to receive an EU grant of up to €90 million to help it through the financial crisis, following a vote at Parliament's Committee on International Trade on Monday. more »

August 2010: Business Climate Indicator for the euro area remains broadly unchanged

Important notice: since May 2010 business surveys data are classified in accordance with an updated version of the Nomenclature of Economic Activities (NACE rev. 2) causing a potential break in series at this date. more »

Spring 2010 Eurobarometer: EU citizens favour stronger European economic governance

75% of Europeans think that stronger coordination of economic and financial policies among EU Member States would be effective in fighting the economic crisis, according to the Spring 2010 Eurobarometer, the bi-annual opinion poll organised by the EU. more »

State aid: Commission extends the Slovenian bank liquidity support scheme

The European Commission has extended until the end of the year the liquidity support scheme for banks in Slovenia. more »