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Brazil to ask WTO to impose trade sanctions on US
www.chinaview.cn 2005-09-23 10:16:46

    BRASILIA, Sept. 22 (Xinhuanet) -- Brazil will ask the World Trade Organization (WTO) to impose sanctions on the United States due to its failure in meeting a trade resolution, the Foreign Ministry said Thursday.

    A WTO resolution in March asked the US government to eliminate subsidies on cotton producers and exporters, saying they caused a grave damage to Brazil because of their negative effect on the international price of cotton.

    The resolution said the US authorities should take appropriate measures in six months to withdraw the subsidies.

    The deadline came on Wednesday, but the United States had failed to take any measure to meet the resolution. According to the Brazilian Foreign Ministry, three programs subsidizing the US cotton sector are still in effect.

    The US assistance programs "isolate the US producer from marketsigns and lead to the artificial production of surplus, which, instead of being placed in the world market, produce a downfall ofpricing or prevent prices to go up as much as they should," said the Foreign Ministry.

    Therefore, the ministry said, Brazil will request authorizationfrom the WTO within the next 30 days to adopt "countermeasures" inthe case. Enditem

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