USTR Announces Revised Trade Action Involving the E.U. Beef Hormone Dispute

Issue 15, February 2, 2009

The U.S. Trade Representative (USTR) has published in the U.S. Federal Register a notice that it is modifying the list of European Union (EU) products subject to additional duties in connection with World Trade Organization (WTO) dispute settlement rulings in the EU- Beef Hormones dispute.

These modifications, which also help respond to a court-ordered review, does the following-

  1. Removes some products from the list of products currently subject to 100% ad valorem duties;
  2. Imposes 100% ad valorem duties on some new products from certain EU member States;
  3. Modifies the coverage with respect to particular EU member States; and,
  4. Raises the level of duties on one of the products (Roquefort cheese as outlined under HTS 9903.02.62) that is being maintained on the product list.

Examples of some of the products to be no longer subject to the above referenced 100% duties include- onions (0703.10.40), dried carrots (0712.90.10), prepared mustard (2103.30.40), and roasted chicory (2101.310.00).

Examples of some of the products, of certain EU origin, which will now be subject to assessment of the above referenced 100% duties include- chewing gum (1704.10), chestnuts (0802.40), certain juices (2009), truffles (0709.59.10), and a variety of meat and meat products.

In 1999, the WTO Dispute Settlement Body authorized the United States to impose increased tariffs on EU products with a total annual value of $116.8 million. On Oct. 16, 2008, the WTO Appellate Body confirmed that the U.S. has a continuing right to impose trade measures until the EU-Beef Hormones dispute is resolved. These newly modified duties remain within the level authorized by the WTO.

The modifications shall be effective, with respect to products that are entered, or withdrawn from warehouse, for consumption on or after March 23, 2009.

Details of the modifications (including a complete list of the products affected) to the duties imposed are outlined in the Federal Register notice, a copy of which is posted on the USTR website at-
http://www.ustr.gov/assets/Document_Library/Federal_Register_Notices/2009/ January/asset_upload_file748_15288.pdf

Regards,

Paul Vroman
Regulatory & Compliance Consultant
DHL Global Forwarding