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Monday, 6 December, 1999, 17:00 GMT
WTO: Who's to blame?
The collapse of talks in Seattle designed to launch a new trade round has led to widespread recriminations around the world, with the United States taking the lion's share of the blame.
They were the main organisers of the Seattle mass protests - and their support will be vital for the Democratic candidate in the next Presidential election in less than a year's time.
A recent opinion poll suggested that 83% of Americans thought the US should insist on other countries meeting environmental and labour standards as part of any future trade accords. Fortress America? Outside observers are worried that the move might signal a retreat by the US from a commitment to free trade.
But US officials insisted this was not the only sticking point which caused the talks to fail. "The labour issue shouldn't be used to mask the fact that certain countries, other than the United States, were unwilling to be reasonable at the negotiating table," a US administration official said. Angry delegates Many delegates blamed the US for poor preparation and an inflexible attitude in chairing the talks. "There is a sense you want to rig the system," a Japanese diplomat said.
India's Prime Minister, Atal Behari Vajpayee, said the setback to the world trading system showed "the need for negotiated settlement of trade issues... not based on dominance and unilateral advantage." Business interests were even more upset by the outcome, which leaves issues like liberalisation of trade in financial services up in the air. One American banker said "it's a real disappointment." And the head of the German industry federation (the BDI) said it was a "severe blow to free world trade" and suggested it might have been a mistake to try to launch the round. "It was perhaps a mistake to have this conference in Seattle when the presidential election campaign is beginning. When electioneering and domestic politics dominate, advocates of free trade have little chance," said Ludolf von Wartenberg. |
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