The EU said today it was ready to take the US before the world's trade body if co-operation failed to resolve a number of EU concerns over trade barriers imposed by Washington.
Presenting its annual report on obstacles faced by European exporters and investors in the US, the EU's executive Commission said it would go to the World Trade Organisation (WTO) to protect the rights of companies.
Among the main concerns highlighted by the Commission were tough new US security measures imposed after last year's September 11th attacks as well as Washington's failure to comply with a number of WTO rulings.
"The European Commission believes that the best way to address the remaining barriers is by deepening bilateral co-operation with US authorities," it said in a statement.
"(But) the European Commission will resort to more formal dispute settlement procedures should this prove necessary."
The 15-nation EU along with other states has contested steel tariffs imposed in March by the United States, which remain in place.
Washington also still has to change its Foreign Sales Corporation laws, which the WTO in August ruled had broken trade rules by giving export aid to US firms.