US goods to be sanctioned by EU

THE European Union yesterday announced it had started imposing millions of euro in sanctions on US goods because of Washington’s failure to end export tax breaks.

"We have been left with no other choice than imposing those measures," said EU Commission spokeswoman Arancha Gonzalez in Brussels.

Although the World Trade Organisation (WTO) has authorised €2.1 billion in sanctions the biggest amount ever the EU is taking a graduated approach, hoping to pressure the US Congress to change the legislation while limiting the impact on European companies and consumers.