Argentina Slams US Decision On Sanctions

Argentine President Carlos Menem has described as "unjust" the USdecision to withdraw 50% of Argentina's duty-free privileges in the US market, in a move aimed at pressuring Argentina into modifying its patent laws (Marketletter January 20).

Speaking on television, Pres Menem said acting US Trade Representative Charlene Barshefsky's announcement of the US decision to place higher tariffs on $260 million worth of imports from Argentina under the Generalized System of Preferences was "a completely unfair sanction which does not agree with reality." Implementation is suspended until March 1, to give time for negotiation. Pres Menem said the move will not damage bilateral regulations, and Argentina will seek to settle through dialogue.

The Argentine industry association Cilfa said the move was "an unwarranted attack" brought on by the US Administration "bowing to the heavy-handed lobbying by the Pharmaceutical Research and Manufacturers of America." This is the second time since the Uruguay Round of the General Agreement on Tariffs and Trade that drug multinationals have "dictated US trade policy to line their own pockets at the expense of consumers," it says.