EU Introduces Tariffs on US Products in Subsidy Dispute | Free Press

In the dispute over illegal subsidies to aircraft manufacturers, the EU hoped for a negotiated solution to the end. Since there is no sign from the United States in this direction, there should now be punitive European tariffs, even before the change of power in the White House.

Brussels (dpa) – The EU will impose punitive tariffs on US imports due to illegal subsidies for aircraft maker Boeing.

This was announced by the vice president of the EU, Valdis Dombrovskis, on Monday in a videoconference of EU trade ministers. Therefore, the EU will not wait to see if the future president of the United States, Joe Biden, initiates a change of course in American trade policy.

The World Trade Organization (WTO) now has a decision allowing the EU to impose punitive tariffs, Dombrovskis said. That is what you do now.

At the same time, Dombrovskis stressed that the EU is still ready for negotiations. If the US withdraws or suspends its tariffs due to subsidies for European aircraft manufacturer Airbus, the EU will follow suit.

Independent mediators recently decided that the EU could impose punitive tariffs on US imports worth nearly four billion dollars (3.4 billion euros) a year due to illegal subsidies for US aircraft maker Boeing.

In a similar case, US arbitrators had already approved punitive tariffs on EU products worth $ 7.5 billion due to illegal subsidies to Airbus. The United States had already introduced excise duties on EU products that are still valid today.

In the immediate aftermath of the WTO decision in mid-October, the EU announced that it would first re-explore the possibilities of a negotiated solution with the administration of US President Donald Trump. However, this was obviously not successful.