London: EU Trade Commissioner Pascal Lamy called on the World Trade Organisation on
March 8 to condemn the United States for imposing tariffs on steel imports, warning
of retaliatory action if it failed to comply.
If Washington failed to obey a ruling, the European Union hopes the WTO will impose
in the row, "we would be entitled to sanctions", he told BBC radio.
"All we want is the World Trade Organisation to state clearly that this US steel
protection is not compliant with international disciplines, and we want them to be
condemned," he said.
"They will have to remove this steel protection, and if they do not remove it, then
Europe will be entitled to trade sanctions," Lamy said, stressing the point
repeatedly in the interview.
He condemned the decision announced earlier this week as "pure politics" on the part
of US President Bush, saying it "is not a sign of strength, it is a sign of
weakness."
Bush's move on March 5 to impose tariffs of up to 30 per cent on most imported steel
is a bid to shield the ailing US steel industry from foreign competition.
The EU has officially lodged a complaint with the WTO seeking the start of
consultations with Washington on a settlement to the dispute.
It has also filed a second complaint demanding talks on compensation, which the 15-
nation European bloc would seek from the United States to cover for the cost of the
tariffs.