| US
and EU Steel Safeguards |
| |
US Measures |
EU Measures |
| Change in
steel imports |
Down 33% since 1998
|
Up 18% since 1998
|
| Change in
prices |
US prices already 30% higher
than in EU - showing existing protectionism
|
EU prices fallen 35% in last
two years
|
| Reference
period used to assess whether imports have increased |
Pick and mix over five years,
hard to spot any consistent definition
|
Last three years - in conformity
with WTO rules
|
| Definition
of steel products |
Products aggregated into tailor
made "product categories" to get desired result
|
Categories defined at start of
investigation as WTO rules require
|
| Country exclusions |
Favourable treatment for selected
friends - far from the equal treatment required by WTO
|
All developing countries whose
imports account for less than 3%, as WTO rules require
|
| Reason for
the safeguard |
Political pressure from the Rust
Belt
|
Response to US measure
|
| Nature of
safeguard measures |
Increased tariffs (30% for most
products) apply, from the first tonne
|
No change in tariffs until imports
reach quota levels
|
| Quota level,
within which safeguard has no effect |
None for finished steel products
|
Average of the last three years
plus 10% to give roughly 2001 import level
|
| Duration |
3 years with a mid point review
|
Not one day longer than US measures.
Provisional measures will be in place for six months
|
| Objective |
Provide yet more protectionism
for the struggling sectors of the US steel industry
|
Avoid Europe becoming the destination
for all the steel shut out of the US market
|
| Conformity
with WTO |
Read the book - the US have lost
four safeguard cases over the last two years
|
Rules complied scrupulously with
the requirements
|
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