U.S. WARNS OF TRADE BILL, EC ATTACKS JAPAN
The U.S. warned its major
trade partners that its trade deficit must fall by September or
a protectionist trade bill from Congress would be highly
likely.
    Meanwhile, European Community (EC) external trade chief
Willy de Clercq said that if Japan's trade surplus, which hit
almost 90 billion dlrs last year, continued so high, there
would be stormy weather ahead.
    U.S. Trade representative Clayton Yeutter told trade
leaders from Japan, the EC and Canada that there was at least a
50-50 chance that a protectionist bill reaching the House of
Representatives this week would pass the Senate in September.
    The U.S. economy badly needed better trade figures by then,
or President Ronald Reagan would have a difficult time vetoing
such a bill, he said, according to a series of briefings to
reporters by official delegates at the weekend meeting.
    A 15 billion dlr U.S. Trade deficit in March had only
incensed Congress further, he said.
 Reuter
