EU tariffs on US goods to be lifted

The EU is to lift millions of euro in punitive tariffs on US goods after Washington repealed corporate tax breaks that were ruled illegal by the World Trade Organisation.

“We shall be putting an end to our sanctions,” said EU Trade Commissioner Pascal Lamy.

But the two-decade transatlantic fight will continue because of EU concerns about loopholes in the bill signed into law by President George Bush last week. That allows big exporters to benefit from the breaks beyond the two year transition period agreed to by the EU.