International

EU unveils tariffs over U.S. subsidies to Boeing

The EU on Wednesday unveiled a wide-ranging list of U.S.-made goods, from beeswax to car parts, subject to tariffs in retaliation for subsidies to Boeing as a transatlantic trade war risked re-erupting.

“European companies must be able to compete on fair and equal terms… We must continue to defend a level-playing field for our industry,” said EU Trade Commissioner Cecilia Malmstrom in a statement.

Europe’s $12 billion claim against Boeing comes on the trail of a similar demand by the U.S. for $11 billion in compensation for EU subsidies towards Airbus. The ultimate amount to be won by both sides will be determined by the World Trade Organization.

14-year row

The Boeing-Airbus trade row has rumbled on for 14 years with the EU and U.S. mutually accusing each other at the WTO of doling out illegal state aid since the 1990s to their respective aeronautical champions. The feud has been caught in the protectionist wave launched by U.S. President Donald Trump against Europe.

Source: thehindu.com

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