The New Zealand government has taken the first step toward action against the United States over tariffs imposed on steel from New Zealand, officials said today.
Wellington has lodged a request with the World Trade Organization (WTO) for formal talks with the United States on the new tariffs, which take effect from March 20th.
The request comes after similar moves by the European Union and Japan over the steel tariffs. It is the first stage in claiming compensation under the WTO's agreement on trade safeguards.
Tariffs of up to 30 per cent will be imposed on most New Zealand steel imports to the United States under the measures. New Zealand exports about $25 million of finished steel to the United States each year.
Prime Minister Ms Helen Clark has said she will raise the tariff issue at her March 27th meeting with President Mr George W. Bush.
If bilateral talks fail, complaining countries can take retaliatory measures against some imported US products from three months after the US tariffs take effect.
AP