Threats of a trade war from across the Atlantic have awakened the EU trade people. In contrast to the inflexible EU environmental bureaucrats they now signal that the announced EU ban on fur imports from countries that do not ban the leghold trap, may be transformed into something less trade restrictive - and they admit that the ban is likely to be in violation of the GATT.

Controversial
In a letter to the German Fur Federation, dated April 24, the EU Directorate for External Economic Relations writes that the Commission is aware that the import prohibition ... is indeed controversial because of its likely problems in terms of GATT/WTO rules and because of the possible effects on the fur trade in Europe. It concludes by saying that negotiations seem to be the appropriate way to follow in order to consider less trade restrictive rules, but at the same time keep the spirit of the Regulation unchanged, to the benefit of more humane treatment of animals.

All Available Retaliatory Measures
According to our Washington sources, the US trade authorities have begun to look into the possibility of retaliation to an EU ban on fur imports by way of embargoes on EU products. Signals of a more prudent EU approach do not seem to have been registered in all circles on Capitol Hill. In a letter to Sir Leon Brittan, the EU Trade Commissioner, a group of 14 influential congressmen and senators write that they understand that the EU has abandoned the negotiation process and simply become resigned to allow the regulation take effect as currently drafted. They warn that this unfortunate decision would leave the United States with little choice but to exercise all available retaliatory measures. The same group has been promised by US trade representative, Mikey Kantor, that the US will challenge the EU under the GATT/WTO rules if negotiations fail. Kantor and Brittan met during the second week of May, but Kantor’s spokesman will not say anything other than that negotiations are still in progress. Kantor is also being pressurised by the other side. At the beginning of May, 21 US environmental and animal welfare groups urged Kantor not to make efforts to weaken or to delay the implementation of the EU regulation.

Amendments
Time is working against the fur exporting countries. The ban will come into effect on January 1st. Should the US or Canada choose to summons the EU pursuant to the GATT/WTO, the time limit for a ruling will be 9 months. An appeal will bring the figure up to 12 months. The process of bringing amendments through the red tape of the Commission, the EU Parliament and finally the Council, will probably not be achievable before the end of the year even if it was begun now - and it may not even succeed at all. Several animal welfare groups are putting pressure on the parliamentarians to not accept any amendments.

The US and Canada had hoped that the Danish environment Commissioner, Ritt Bjerregaard, would take the initiative to amend the Regulation. Because of her relationship to Greenland, she was believed to be sympathetic towards the cause of the indigenous trapping communities that are suffering under the trade ban. But at a meeting between Ms. Bjerregaard and Mr. Eizenstat, the US Ambassador to the EU, it was made clear that she was not prepared to take any initiatives. Her position towards the EU Parliament has been weakened after a number of conflicts.

Interim Standard
The EU fur regulation will ban the import of the furs of 13 different species from countries that do not ban the leghold trap. The EU is not willing to wait for the outcome of the ISO-process (ISO = International Standardisation Organisation) that is to come up with standards for humane trapping. The group of US congressmen and senators is proposing to establish an interim international standard to serve as a basis for a solution to the EU / US conflict until a more comprehensive standard can be established.