Trade Wars

AP News | |

The deal the United States and the European Union reached Tuesday to end their long-running rift over subsidies to Boeing and Airbus will suspend billions in punitive tariffs. It will ease trans-Atlantic tensions. And it will let the two sides focus on a common economic threat: China.

But the breakthrough still leaves some trade friction between the U.S. and the EU unresolved. Most prominently, President Biden kept in place import taxes that President Donald Trump imposed on European steel and aluminum, a move that infuriated some of America’s closet allies three years ago.

Kimberly Redmond | |

The European Union and U.S. both said they looking to resolve a conflict over aircraft manufacturing that has lasted nearly two decades, according to reports.

The U.S. Trade Representative’s office plans to refrain from revising existing tariffs on European goods right now, a change that would have been possible during periodic reviews, and wants to settle a 17-year-long battle over government subsidies provided to Europe’s Airbus SE and U.S.-based Boeing Company, Reuters reported.