PANAMA’S TRADE  war with Colombia  edged up a notch this week with a Cabinet move  to raise tariff rates on four categories to the maximum allowed by international regulations.

The move came in  response to Colombia’s decision to extend a tariff on imports of textiles and footwear,

The Cabinet Council on Tuesday, August 2, approved the increase on flowers, clothing, coal and material for cement.

The decree is valid from Aug. 16 to Dec. 31.

Colombia has refused to follow a ruling by the World Trade Organization (WTO) that said its duties on products from Panama are a violation of international standards.

On WEdnesdayb, Colombian Minister of Trade Maria Claudia Lacouture defended the country's decision, saying it was an action taken against money laundering and smuggling, a view not supported by the WTO.