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WTO gives EU green light to slap $4bn tariffs on U.S.

Christian Fernsby |
The European Union got permission on Tuesday to impose tariffs on $4bn of United States goods in retaliation against subsidies for Boeing.

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Topics: U.S.   

The decision, delayed by the coronavirus pandemic, follows a World Trade Organization (WTO) ruling last year allowing Washington to impose tariffs on $7.5bn in EU goods over state support for Airbus, which has sites in Britain, France, Germany and Spain.

Combined, the two cases represent the world’s largest corporate trade dispute.

The state of Washington has since moved to repeal tax breaks that benefitted Boeing, while Airbus has announced it will increase loan repayments for the A350 plane to France and Spain in bids to settle the matter.

Airbus, which also claims to be have obeyed WTO rulings, said global trade judges had “spoken” and that the EU could therefore impose tariffs, while calling for an agreed solution.

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