20100130 US considers WTO action over Taiwan beef dispute
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US considers WTO action over Taiwan beef dispute

STAFF WRITER, WITH CNA
Saturday, Jan 30, 2010, Page 1
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A customer at the Sherwood Taipei enjoys on a steak yesterday that was part of the first shipment of US bone-in beef that arrived in Taiwan. Due to limited supplies, Sherwood will limit its rib-eye steaks to 30 per night.
PHOTO: CNA


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The US will consider appealing to the WTO to resolve the row with Taiwan over US beef imports, Deputy US Trade Representative Demetrios Marantis said on Thursday in Washington.

Speaking at the Center for Strategic International Studies, Marantis said the Taiwanese legislature¡¦s about-face on imports of US beef had ¡§effaced sound science and effaced the protocol Taiwan and the US had negotiated,¡¨ and that he was very disappointed with the outcome.

He said that US beef was consistent with standards set by the World Organization for Animal Health and that Taiwan¡¦s decision had no scientific basis. He made the same response when asked about the bans on US beef imports in South Korea and Japan.

A report quoted the US trade representative as saying the US was contemplating using all possible means to resolve its differences with Taiwan, including the WTO court.

Marantis was non-committal on when Trade and Investment Framework Agreement (TIFA) talks with Taiwan would be held.

The US has made clear its stance and the ball was in Taiwan¡¦s court on how to approach the issue, he said, adding that Taiwan¡¦s reputation as an international trading partner has been tarnished by the disagreement over beef.

The report said Canada also considered taking Taiwan to the WTO court for refusing to lift a ban on Canadian bone-in beef while giving the US the green light.

Earlier this week, a group of US academics suggest in a Web cast that the US should bring the beef issue to the WTO.

Commenting on Marantis¡¦ remarks, the Bureau of Foreign Trade (BOFT) yesterday reiterated that the beef dispute should not become a barrier to bilateral economic ties, adding that the US¡¦ interests remain secure in the case.

Bureau Director-General Huang Chih-peng (¶À§ÓÄP) said that Taiwan¡¦s decision to ban imports of US ground beef and bovine offal should not become an issue because these products account for only a very small share of the beef trade between the two countries.

The US¡¦ largest interests lie in bone-in beef, which accounts for more than 90 percent of its beef exports to Taiwan by dollar value, Huang said, adding that it has now regained access to Taiwan¡¦s market.

¡§Taiwan has done its best to protect US trade interests,¡¨ he said.

Huang urged Washington to take into account its maximal profit from the beef trade in its decision on whether to resort to the WTO dispute settlement process.

He said the beef trade dispute was an ¡§isolated incident¡¨ that should not be allowed to delay the resumption of talks between the two sides.

BOFT officials said in the event of a WTO arbitration case, Taiwan would be required to provide scientific evidence to back up its decision to ban imports of US ground beef and bovine offal, which could pose difficulties for Taiwan.

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