GENEVA — Brazil put the U.S. on notice at a special World Trade Organization session that unless Washington "fully and immediately" complies with dispute rulings calling on it to amend cotton policies found in breach of global subsidy rules, the South American nation will seek authorization to impose punitive trade sanctions.
Brazilian diplomats told WWD they did not rule out that the potential punitive tariffs to be slapped on various products might include U.S. textiles and apparel items. Trade diplomats say the amount of punitive tariffs is likely to be less than the initial $4 billion a year demanded in 2005, as the U.S. has scrapped some of the offending programs.
Brazilian officials said decisions regarding when to seek the authorization and which products will be included have not yet been made. Brazil's chief trade negotiator, Roberto Azevedo, talking to reporters after the WTO dispute settlement body session, said his country was "holding internal consultations" on the retaliation issue.
Asked when it might activate the request, he said it would be in "months, for sure — weeks, I don't know how many," adding that a WTO arbitrator "will determine" the retaliation figure and method.
During the WTO session that confirmed Brazil's right to impose sanctions for the U.S.' failure to abide by WTO rulings against its cotton industry subsidies, the Brazilian delegation lashed out at the new American farm bill and its treatment of cotton. Citing a recent study by the International Cotton Advisory Committee, Brazil said the farm bill "introduces few modifications to the U.S. cotton program. The structure of subsidies will remain the same...loan rates will be unchanged...and the upland target price, currently 72.40 cents per pound, will be reduced to 71.25 cents per pound."
The 2008 bill, it said, is little different from the program established by the 2002 farm bill.
"This is a cause for great concern, not only for Brazilian cotton growers, but also for other producers around the world, who may have to continue to suffer the adverse effects of subsidized U.S. cotton," said a statement from the Brazilian delegation.
In response to the Brazilian onslaught, a legal adviser to the U.S. delegation said the "findings of serious prejudice being considered today are outdated." The U.S. noted that American cotton acreage has declined by more than 38.5 percent in the last two years."Despite the alleged price-suppressing effects of U.S. payments, cotton prices have risen sharply and futures prices indicate the market prices will remain high for the foreseeable future," the U.S. delegation said, adding that America has "not made any marketing loan payments since September 2007," and "is making only minimal countercyclical payments."
There'll be no rest for those headed to Europe for men's, as Paris just closed the gap with Milan. According to a provisional calendar released by the Chambre Syndicale, Paris Men's Week will now open a day earlier on January 16. See new highlights on the official lineup on WWD.com. #wwdnews #wwdfashion (📷: @kukukuba)
BREAKING: Jonathan Saunders is leaving @DVF. The designer has resigned from his position as chief creative officer of Diane von Furstenberg, the company said in a statement on Friday. At the time of his hire, von Furstenberg said Saunders’ arrival symbolized and facilitated her stepping back from the day-to-day duties that occupy the work of a full-time creative director. The British designer joined DVF in May 2016 and was in charge of all product categories. #wwdnews
For @versace_official’s spring ad campaign, the brand emphasized the archival prints from the spring tribute collection dedicated to the late Gianni Versace. Closing out the show were five of Gianni’s favorite models: Cindy, Naomi, Carla, Helena, and Claudia. Bowing on December 18, the new campaign is yet another tribute to supermodel-dom as the images by Steven Meisel are fronted by @iamnaomicampbell, @cturlington, @gisele and more. #wwdfashion
Four-time Oscar-nominated actress Annette Bening has been waiting 20 years to play Gloria Graham in "Film Stars Don't Die in Liverpool," which will be released on December 29. The movie about Graham – a Hollywood star known for her controversial relationship with a younger Englishman named Peter Turner – is based off a memoir Turned wrote. "She felt vulnerable to him, because she loved him, she really did love him. And anyone that we really truly are in love with, we re vulnerable to in a very deep way," said Bening. Read our full interview with the modern icon of an actress on WWD.com. #wwdeye (📷: @ninebagatelles; Styled by @cristinaehrlich)
The crisp white button down: a staple that can be dressed up or down and accessorized throughout the decades. Here, on a Art Basel-goer in 2017 on the left and on the iconic Audrey Hepburn in “Roman Holiday” in 1953 on the right. #tbt #wwdfashion (📷: Andrew Morales)
Known for her work with @victoriassecret, 25-year-old model @georgiafowler is raising her profile in Hollywood. Fowler stars in @vincecamuto’s holiday campaign, which launched in partnership with “Pitch Perfect 3.” “Almost every shoot with Vince Camuto, I’ve had to face a fear…It was definitely a challenge. I’m so grateful for it, though. I’ve always wanted to be a pop star, so that was the perfect chance,” Fowler said. Head to WWD.com to read about Fowler’s experience modeling, including at the #VSFashionShow, and her relationship with Nick Jonas. #wwdeye (📷: @jilliansollazzo)
EXCLUSIVE: Huda Kattan just became the first beauty influencer to land a major beauty deal. Kattan's business, @hudabeauty, has received a minority investment from private equity firm TSG Consumer Partners. The brand, which industry sources say is on track to do $200 million in retail sales for 2017, will receive support on product, retail and geographic expansion through the deal. Get all the details on the deal and read @_a_collins' interview with Kattan on WWD.com. Link in bio. (📷: @jgreenery) #wwdbeauty #wwdnews
Peruvian model @juanaburga_official – who is known for walking the runways of @rodarte, @viviennewestwood and @torybuch – is making the move to the big screen with drama “Los Últimos.” The film premiered in Argentina in November and arrives in the U.S. and Europe in 2018. On making the switch from modeling to acting, Burga told WWD: “It’s a completely different thing – a lot of people think it’s similar or try to connect things, especially like getting used to the camera or being looked at all the time or playing these different characrers, but film is a completely different story.” #wwdeye (📷: @jgreenery)
London’s newly opened @designmuseum will look back on the life and work of Azzedine Alaïa in a show that the designer helped to curate before he died of heart failure last month. The retrospective, which Alaïa had worked on with Mark Wilson, chief curator of the @groningermuseum, will look at the impact of his work worldwide. The show, “Azzedine Alaïa: The Couturier,” will run from May 10 to October 7. Read more about the exhibit on WWD.com #wwdnews #wwdfashion (📷: @zefashioninsider)