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Delegates from 37 steel-producing countries are to meet here Monday and Tuesday to decide if talks on cutting steel subsidies, which are currently deadlocked, should continue.
The meeting is to be held under the auspices of the Organisation for Economic Co-operation and Development.
The OECD has acknowledged that plans - adopted at a meeting here in December 2003 - to reach an agreement in principle on the future of subsidies before the end of the summer are not likely to fulfilled.
That agreement was then to have been presented to the World Trade Organisation.
While steel producers concur that subsidies have to go, differences remain on exceptions to the rule that should be respected.
Certain countries argue that governments should be able to continue to assist steel-makers with research and development and in their implementation of environmental protection measures.
There are also disagreements on special treatment for developing countries that want to subsidise their steel sectors.
In addition some countries want to be able impose countervailing duties on steel imports when their domestic steel industry gets in trouble.
A source close to the negotiations said the United States and Europe are ranged on one side of the issue with China, India and Egypt on the other.
Initially planned for early May, the meeting here this week was postponed in light of differences among the parties, and delegates will have to decide if the process can be saved.

Copyright Agence France-Presse, 2004

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