Airbus-Boeing dispute: Trump wants to tax European products for 4 billion more

This new Trump administration announcement comes just two days after the truce between Washington and Beijing in their fierce trade war, following a meeting between Presidents Donald Trump and Xi Jinping on the sidelines of the G20 in Osaka, Japan.

No sooner is a truce negotiated between Washington and Beijing than the United States reopens hostilities with the European Union in this 15-year-old conflict over state aids to aeronautical champions, while Boeing is in deep trouble with its 737 MAX. This new list of about 90 products subject to punitive taxes includes many varieties of cheese, as well as Irish whiskeys and some pork products.
The United States announced on Monday the launch of consultations to impose new taxes on the European Union, particularly on European cheeses and whiskeys, in retaliation for what they consider to be abusive subsidies to aircraft manufacturers on the part of the United States. of the EU.

A list of products that reaches 25 billion dollars
This new list includes about 90 products subject to punitive taxes. There are many varieties of cheese, such as blue and gouda, as well as Irish whiskeys and some pork products.

All of these products represent a commercial value of $ 4 billion and is in addition to a previous list published on April 12, which totaled $ 21 billion, said a statement from the Office of the US Trade Representative. (USTR), Robert Lighthizer.

A 15-year old conflict
This approach aims to “enforce the rights of the United States in the conflict with the European Union and some member states before the World Trade Organization (WTO), regarding European subsidies” in the aviation sector said the USTR.

This reproach is aimed particularly at Airbus in the face of 15-year-old American Boeing. The United States and Europe accuse each other in the WTO of paying unlawful aid to their respective aeronautical champions.

Just after the truce between Washington and Beijing
The American position is supported by Boeing, weakened by the problems of its flagship aircraft, the 737 MAX, grounded for an indefinite period after two fatal accidents.

The potential punitive tariffs ultimately imposed by Washington on this explosive issue are, however, subject to the decision of an arbitrator appointed by the WTO.

This new Trump administration announcement comes just two days after the truce between Washington and Beijing in their fierce trade war, following a meeting between Presidents Donald Trump and Xi Jinping on the sidelines of the G20 in Osaka, Japan.

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