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Old 04-11-2003, 01:40 AM   #1
zenbabe
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and they said it would end soon...

Brussels to investigate US contracts in Iraq
By Tobias Buck in Brussels Apr 10 2003 19:19

The European Commission is examining contracts awarded by the US for reconstruction work in Iraq to find out whether they breach World Trade Organisation rules and discriminate unfairly against European companies.

The move could throw up a new irritant at a time when relations between Washington and Brussels are already severely strained by the highly critical stance adopted by many European Union members towards the war in Iraq.

It also comes as trade negotiators on both sides of the Atlantic struggle to overcome their differences over further trade liberalisation in the current WTO round as well as a growing number of bilateral trade disputes.

The EU insists that the US abide by the WTO Agreement on Government Procurement, which states that, in principle, contracts awarded by national governments or their agencies must be open to businesses from abroad.

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