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Friday, 15 September, 2000, 01:02 GMT 02:02 UK
Clinton delays picking new EU sanctions

President Clinton has agreed to delay a decision on widening Washington's trade dispute with the European Union.

Under World Trade Organisation rules, the US is entitled to impose one-hundred-per cent tariffs on luxury goods imported from the EU, in response to the EU's import ban on American hormone-treated beef.

A BBC correspondent in Washington said Mr Clinton had heeded an impassioned plea on behalf of the Scottish cashmere trade eight days ago from Britain's Prime Minister Tony Blair, when the two met on the fringes of the United Nations Millennium summit in New York.

It's thought that the decision could save about a-thousand jobs in the cashmere wool industry in Scotland.

The European Commission has welcomed the announcement.

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