Business Briefly
Published 9:00 pm Wednesday, November 26, 2003
Japan has put the United States on notice that it will slap $85 million in retaliatory tariffs on American imports unless Washington abandons steel tariffs ruled unfair by the World Trade Organization. The threat Wednesday was the latest salvo in an escalating trade dispute involving the world’s biggest economic powers. Earlier this month, the European Union threatened $2.2 billion in retaliatory sanctions against U.S. imports ranging from orange juice to pajamas. Japan’s warning intensifies pressure on President Bush to scrap the steel import duties. South Korea said Wednesday that it, too, is considering similar countermeasures.
An appeals panel of the World Trade Organization on Wednesday upheld a ruling that Japanese health rules on imported U.S. apples are illegal under international trade law. The panel rejected all parts of Japan’s appeal against the July 15 ruling that struck down measures the Asian country said were needed to protect its own apple trees from fire blight. It ordered Tokyo to change its policies to meet WTO requirements. The original panel, acting on a complaint by the United States, found that the Japanese rules are not based on scientific evidence.
Federal regulators asked an appeals court Wednesday to uphold a new rule that lets people switch their home phone numbers to cell phones. The Federal Communications Commission, responding to a lawsuit filed by the U.S. Telecom Association, which represents local phone companies, said the new rule was a response to consumer demand and does not treat the landline industry unfairly. The telecom association asked the appeals court on Friday to block the new rule allowing consumers to transfer home phone numbers to cell phones. The court declined to stop the rule from taking effect as scheduled Monday, but agreed to consider the case. The trade group must respond in court to the FCC by Tuesday.
The Subway sandwich chain has named the Coca-Cola Co. as its exclusive beverage provider for its restaurants worldwide. The agreement announced Wednesday, which covers all of Coke’s products and package forms, includes all 20,000 Subway outlets in 72 countries. Subway is based in Milford, Conn. Financial terms of the deal, which is a blow to Coke rival Pepsi-Cola were not disclosed. Previously, Atlanta-based Coke’s share of Subway’s beverage business was only 15 percent and Pepsi-Cola of Purchase, N.Y., had the remaining 85 percent.
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