EEC Opposes US Protectionist Measures

The European Economic Community, in a meeting held in Geneva within the framework of the Council of the General Agreement on Tariffs and Trade (GATT) organization, declares its opposition to the US protectionist measures (10% surcharge on imports, 10% tax credit on the cost of new investments, with the benefit of this tax exemption directed towards machinery and equipment manufactured in the US, the DISC tax arrangement, i.e., the deferral of direct taxes on exports of DISC companies which essentially functions as a subsidy), as they affect the smooth operation of international trade and are incompatible with GATT.