Mar 12, 2010Brazil Imposes Sanctions on U.S. Growers
In a move that will affect U.S. fruit and vegetable growers, Brazil announced $829.3 million in trade sanctions on a range of American goods in retaliation for the United States’ failure to eliminate billions in anti-competitive cotton subsidies.
A ruling from the World Trade Organization (WTO) allows $238 million worth of penalties on U.S. trademarks, patents and commercial services. The first part deals with $591 million in penalties on goods, which will remain in place as long as the United States continues to break international trade rules, according to a press release from the Brazilian government.
The list of goods affected by the sanctions was delivered to WTO in March, with a notice that the sanctions would go into effect in April. On the list are fresh fruits such as cherries, pears and plums, as well as potatoes and some nuts. Growers will face a tariff of 30 percent, instead of the previous 10 percent.
