The key blow to freer trade was the US decision to unilaterally impose tariffs of up to 30 per cent on imported steel. The White House claimed other countries were “dumping” steel at below the cost of production, damaging its domestic industry.Yesterday, the European Commission took the formal step of notifying the WTO of the list of US goods it mayhit. It has drawn up two lists of goods, a longer one worth $583m and a shorter one worth $342m, which proposes doubling tariffs on goods including fruit juices, textiles, steel products and rice. The shorter list could be imposed by 18 June if the US fails to offer compensation in the form of lower tariffs on other goods.”This is a necessary procedural step required by the WTO if the EU wishes to exercise its rights to counter measures in the future,” Brussels said.The OECD has hosted a series of meetings between the US and countries that complain their steel industries will suffer from the US tariffs.

But an OECD spokesman said it was doubtful today’s meetings would lead to a deal, especially as the US trade representative, Robert Zoellick, was sending a deputy in his place. Mr Johnston said: “I am sure it will be discussed and there will be time in the meetings to make progress in this high level group.”The meeting will also be overshadowed by the decision by the US President George Bush to sign off a farm bill that would increase subsidies for farmers by $51.7bn (£36bn). The move angered agricultural exporters, including the EU, Brazil, Australia and Canada, and dismayed aid groups that have called for the West to open up their markets to developing countries’ imports. Ministers will undoubtedly use the OECD meetings to lobby the US to roll back its subsidies.On the wider economic debate, ministers and central bankers are expected to reinforce the confidence expressed by the G10 on Monday that the world is enjoying a non-inflationary recovery.Paul Boateng, the Treasury financial secretary, is expected to use the meeting to call for tougher action on countries such as Switzerland to comply with rules on baking secrecy and harmful tax practices. He is also expected to call for reforms of the OECD’s decision-making structures, which currently require consensus decisions, allowing a single member to veto agreements.. Retail giant Kingfisher today announced plans to launch a £2 billion rights issue in the City to help fund a radical overhaul of its business. Kingfisher confirmed it had now begun to look for a successor and expected an announcement in six months’ time.Sir Geoffrey recently moved from a two-year contract to a rolling 12-month deal and this is due to shrink to a rolling six-month contract in September..

Lattice, the gas pipeline operator which is merging with National Grid, yesterday paid the price for its ill-fated foray into telecoms by putting the fledgling business up for sale and announcing a £250m write-off. Lattice has invested £350m to £400m in 186k but it is now valued at just £100m to £150m in its books.The decision to sell 186k follows what Sir John described as a further “marked deterioration” in the market in the first three months of the year. However he maintains that Lattice had no regrets about having entered the telecoms market in the first place, saying that hindsight was a wonderful thing.The write-down contributed to a sharp drop in profits for the 12 months to 31 March. Lattice also suffered from the mild weather, higher pension payments and increased corporate costs.Profits at the pipeline business Transco fell by £115m after a £92m increase in its main replacement costs and a £45m increase in pension charges. The exceptionally mild winter also cost Transco £78m in reduced revenues from gas shippers. In the three-month period to the end of March Transco’s profit fell by £233m.There was better news for shareholders in the shape of a £400m surplus in the Lattice pension fund based on the latest accounting standards FRS70. The pension fund had assets of £11.7bn at 31 March against estimated liabilities of £11.3bn.