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The European Union has proposed a $20 billion tax on the United States

Apr 22, 2019

After the us threatened to impose tariffs on about $11 billion worth of eu goods on August 8, the eu also issued a list of about $20 billion worth of us goods on November 17, threatening to impose tariffs.


The European Union must defend a level playing field for the European aircraft industry, but it does not want to go toe-to-toe with the United States, Cecilia malmstrom, the European commission's trade commissioner, said in a statement.

The statement also clearly expresses the willingness to resolve the issue through negotiation.


"If there is no other way, we need to be prepared to respond," malmstrom said.

But I still believe that dialogue should be the ultimate way out for important partners like the European Union and the United States, especially when it comes to resolving this long-running dispute.

The eu remains open to discussion with the us as long as there are no preconditions and the aim is to achieve a fair outcome.


The European Union released a list of products ranging from aircraft to chemicals and agricultural products.

The eu will hold a public consultation on the list.

The European Union says a final decision on how much to impose tariffs on American goods will also take into account the wto's arbitration case over Boeing's subsidies.


The United States and the European Union have a long history of anti-subsidy disputes between the two aviation giants, Boeing and airbus.

In 2004, the us filed a wto complaint accusing the eu of providing illegal subsidies to airbus in various forms.

The European Union has since filed a complaint with the world trade organization against the United States for illegally subsidizing Boeing.

In response, the wto ruled that both the us and the eu were guilty of providing illegal subsidies to their airlines.


The us government has accused the European Union of unfairly subsidising airbus.

The U.S. trade representative's office Monday initiated section 301 of the 1974 trade act to impose tariffs on about $11 billion worth of imports from the European Union.

Commission officials then said the eu could retaliate against the us for illegal subsidies to Boeing.