ERJ staff report (RD)
Brazil -- The Brazilian Government will raise tariffs on passenger tyre exports from the US from 16-32 percent by 7 Apr 2010.
The move is part of a series of raised import duties on a list of goods in response to alleged US non-compliance with World Trade Organisation (WTO) rulings on US subsidies to Brazilian cotton producers, a recent statement from Brazil's Chamber of External Trade (CAMEX) said.
The tariff increases come following a ruling from Geneva-based WTO that Brazil may impose annual sanctions on US imports as the cotton subsidies violate trade sanctions.
The total value of retaliatory hit with the list of goods is $591 million, CAMEX said, adding that the remainder of retaliation entitled to Brazil - $238 million (totaling authorised $829 million) - will be implemented in the areas of intellectual property and services.
CAMEX said in its statement:
â€œThe Brazilian Government regrets having to take these measures, since it believes that trade retaliation does not constitute the most appropriate means to attain international trade on a fairer basis. However, after almost 8 years of litigation and over 4 years of continuing non-compliance with the rulings of the Dispute Settlement Body on the part of the United States, and in the absence of the offering of concrete and realistic options that could allow for the negotiation of a satisfactory solution to the dispute, it remains for Brazil to exercise its right, as authorized by the WTO.â€
The resolution will take effect in around 30 days.
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Press release from Camex (Brazil)
Camex today announced the list of trade retaliation to the United StatesÂ Above page auto-translated into English (from Portuguese)