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EU plans to end US tariff war with Biden

President Joe Biden will speak on June 4, 2021 at the Convention Center in Rehovot Beach, Delaware, on his May employment report.

Jim Watson | AFP | Getty Images

London — According to a draft statement seen by CNBC, the European Union wants the United States to promise to withdraw aircraft-related tariffs next week.

EU also has a president Joe BidenAccording to EU documents, he will hold a summit meeting in Brussels early next week and vows to end his steel and aluminum obligations by December this year.

The European Council, the host body of the summit, is responsible for preparing a joint statement that leaders seek approval.Bloomberg first Reported the news.

EU officials, who were reluctant to name because of the delicate nature of the subject, told CNBC that the EU wants to “prompt” the United States to agree to ease trade tariffs. Donald Trump Presidential position.

But so far, the official added, “there are no clear signs that the United States will sign what the EU wants.” When contacted by CNBC on Wednesday morning, the US government was unable to get immediate comment.

Relations between the EU and the US fell to the bottom during the previous US administration, and Trump often criticized Europe for being worse. China With that trade practice.

President Trump has imposed tariffs worth $ 7.5 billion on European products after the World Trade Organization (WTO) ruled that the EU had unfairly subsidized Airbus. Shortly thereafter, the EU also imposed tariffs worth $ 4 billion on US products, behind another WTO ruling that the United States provided illegal aid to Boeing. The conflict first occurred in 2004.

The summit will focus on “this relationship will continue to work.”

Niclas Frederick Poitiers

Bruegel the Elder

Separately, President Trump has decided to impose a 25% tariff on European steel and a 10% tariff on European aluminum in 2018 for national security reasons. The EU strongly opposes this and retaliates. The EU has imposed tariffs worth € 2.8 billion ($ 3.4 billion) in the first round, with another round worth € 3.6 billion scheduled to begin later this month.

However, the EU last month decided to withhold these metal-related obligations.

“Symbolic” meetings

Next week’s summit will be the first EU-US high-level meeting since 2014.

“Engagement has many symbolic values,” Niclas Frederick Poitiers, a researcher at Brussels-based think tank Bruegel, told CNBC last week.

“At the summit, the focus will be on’this relationship will continue to work,'” he added.

Since the election of Biden in 2020, the tone between EU and US officials has changed.

However, experts say it is still uncertain how much joint cooperation will be between the Biden administration and the EU.

“There is little doubt that President Biden will work with an American partner in Europe, but at no cost,” Leslie Binjamli, director of the American and American programs at Chatham House, told CNBC. Told.

“President Biden has made a very clear conclusion that these policies must work for Americans, and the general policy is the political situation in his country, especially. When it comes to trade and technology, it’s pretty clear that we have to adapt, and China, “she added.

EU plans to end US tariff war with Biden

Source link EU plans to end US tariff war with Biden

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