US says trade deal still possible

Ms Schwab says the US still thinks a deal can be achieved

US trade representative Susan Schwab says America remains committed to finding a breakthrough in world trade talks despite their apparent collapse.

Her comments come after talks to secure a new global trade framework broke down in acrimony in Geneva on Monday.

Ms Schwab told the BBC's World Business Report that the US still considered that the Doha Round of negotiations could end in a successful agreement.

"From the US perspective it is too early to give up," she said.

'No finger pointing'

Despite the US and the European Union blaming each other on Monday for the collapse of the talks, Ms Schwab said she would not add to the blame game.

"Well I think there is enough blame to go around and won't indulge in finger pointing," she said.

Yet Ms Schwab added that if a breakthrough was to be achieved, the leading developing nations such as Brazil and China would also have to offer significant concessions.

World Trade Organization head Pascal Lamy has rejected the idea that the Doha talks have collapsed, insisting instead they were merely in "suspension".

EU trade commissioner Peter Mandelson has said he will "push hard" to restart the Doha Round of negotiations.

But Mr Lamy rejected calls for the development isuses to be separated from other parts of the trade deal, as Mr Mandelson wanted.

He said that the trade talks had to be conducted as a single undertaking, where everyone has to be approved together.

After more than four years of talks, disagreement over agricultural subsidies and tariffs continue to be the main stumbling bock, with both the US and EU accusing the other of not making enough concessions.

Pressure to reach a deal is mounting, as US President George W Bush's special "fast-track" authority to negotiate trade deals expires next year.

After 30 June 2007, the US Congress will once more have the right to change or veto any agreement that Mr Bush signs.