US Holds Off On Extra Tariffs In EU Airbus Dispute

Washington, (UrduPoint / Pakistan Point News - 13th Aug, 2020 ) :Washington has said that it would hold off on its threat to impose higher tariffs on $7.5 billion worth of EU goods in its long-running dispute over subsidies to European aircraft maker Airbus.

Last year the World Trade Organization authorized the US to impose tariffs of up to 100 percent on $7.5 billion in European goods.

Washington then slapped 25 percent taxes on a number of EU products including wine, cheese and olives. A 10 percent tariff on Airbus planes was increased to 15 percent in March.

The European Union last month said it had brought itself into compliance with WTO rulings and called for the tariffs to be lifted.

Washington said Wednesday the bloc had not done enough but signaled it was willing to seek a solution.

"The EU and member states have not taken the actions necessary to come into compliance with WTO decisions," US trade representative Robert Lighthizer said in a statement.

"The United States, however, is committed to obtaining a long-term resolution to this dispute.

"Accordingly, the United States will begin a new process with the EU in an effort to reach an agreement that will remedy the conduct that harmed the US aviation industry and workers and will ensure a level playing field for US companies."In June it had threatened to levy tariffs on another $3.1 billion in EU goods as it has been authorized to do under a WTO ruling.

Washington made minor modifications to its list of goods on Wednesday but left the amount of products subject to tariffs at $7.5 billion, and rates were unchanged at 15 percent for aircraft and 25 percent for other products.