Carousel Delay Raises Agriculture’s Doubts

September 26, 2000

A prolonged delay in listing new European Union agricultural products subject to carousel trade retaliation raises doubts about the government’s seriousness of enforcing international trade agreements, says American Farm Bureau Federation President Bob Stallman.

In a letter to President Clinton, Stallman said September is the third month the government has failed to list EU products subject to rotating trade retaliation to counter the EU’s refusal to change its banana import regime and accept imports of U>S. hormone-treated beef. If properly implemented, AFBF notes, carousel retaliation would impose 100% tariffs on a rotating list of European products every six months.

"Failure to rotate these lists ... (raises questions) as to whose interests are being served by not rotating the lists – those of the United States or Europe?" Stallman said. "It is clear that the Europeans view the U.S. carousel law as a threat, yet our government is choosing not to implement this valuable trade enforcement tool."