Chile coordinates response to new U.S. tariffs, seeks exemptions for key exports

SANTIAGO, July 27 (Xinhua) -- Officials at Chile's Foreign Ministry on Monday met with representatives of business groups and exporters to coordinate a response to a new 12.5-percent U.S. tariff imposed on certain Chilean products.

Foreign Minister Francisco Perez Mackenna led the meeting, which was also attended by Chilean Ambassador to the United States Andres Ergas-Heymann, to assess possible steps in negotiations with Washington and seek further exemptions.

"We have a free trade agreement with the United States that remains fully in force, and what we are going to do is sit down and negotiate," Perez Mackenna told reporters.

He said Chile would raise concerns over the tariff rates and seek exemptions for key exports now subject to the additional duties, including agro-industrial, forestry and fishery products.

Perez Mackenna stressed that exports and foreign trade are essential to generating quality jobs in Chile.

According to official figures, around 60 percent of Chile's exports to the United States by value are exempt from the new surcharge. Exempted products include copper, Chile's top export, as well as lithium, avocados, oranges and kiwis.

The United States imposed the additional tariff following a Section 301 investigation, citing what it described as Chile's failure to impose and effectively enforce a prohibition on imports of goods produced with forced labor. Chile has rejected the claim, saying it has strong labor regulations and complies with international standards on decent work. ■