U.S. CALLS FOR GREATER GATT CHECKS ON TRADE

  The United States has appealed for
  stronger powers for the General Agreement on Tariffs and Trade
  (GATT) to enforce world trade rules.
      The call by U.S. Deputy Trade Representative Michael Smith
  at a special committee meeting into the future of GATT follows
  a series of bilateral trade rows which have clouded efforts by
  the 93-nation body to promote fair trade.
      Today's meeting was part of the Uruguay trade round
  launched by ministers last September. The round, which covers
  13 areas of trade in agriculture, manufactured goods and
  services will take four years to negotiate.
      Smith called for boosting GATT's links with financial
  institutions such as the International Monetary Fund and World
  Bank. He also urged greater involvement of trade ministers to
  ensure the success of the Uruguay Round.
      "The GATT as an institution needs to be strengthened to
  assure that the GATT plays its proper role in management of the
  world trading system and the global economy," Smith said.
      "Rules can and will be ignored if the institution is weak,
  or perceived as unable to adapt to the changing world economy."
      He also also urged that member states be accountable to
  each other for their trade policies.
      Smith, who flies to Brussels today for talks with European
  Community (EC) officials, told Reuters the committee wanted to
  stress GATT's importance and did not discuss specifics.
      "We are interested in more periodic ministerial
  involvement...Whether in formal or informal meetings," he said.
      GATT's ruling council is due to hear a complaint from the
  12-nation EC on April 15 about the U.S.-Japanese accord on
  semiconductors. The EC charges the accord breached GATT trade
  rules by allowing Tokyo to set minimum prices for Japanese
  chips sold in third countries and is requesting a GATT dispute
  panel be set up to review the agreement.
      President Reagan, who strongly supported the Uruguay trade
  round to promote freer trade, has said Washington will impose
  tariffs against Japanese electronic goods.
      He said Tokyo had not shown willingness to open its markets
  to U.S. Exports.
  

