The EU and the US will suspend all import duties for at least four months, they announced in a joint statement on Friday evening.
This afternoon there was a meeting between the new US President Joe Biden and the President of the European Commission, Ursula von der Leyen. She speaks on Twitter of ‘a new start’. Moreover, the EU now wants to find a permanent solution to the dispute.
Longest trade dispute
The charges are the result of the longest lasting trade dispute in the history of the World Trade Organization (WTO). In addition, the Americans believe that the European Airbus receives unauthorized state aid through favorable loans, while the EU has almost the same complaint about unfair American aid to Boeing.
That had serious consequences. For example, in 2019 the Trump administration received permission from the WTO to impose levies worth $ 7.5 billion on the EU. It concerned products such as cheese, olives and Scottish whiskey.
Last year, Europe hit back with new import tariffs of about $ 4 billion billion that hit US exports to the EU.
European Commissioner Valdis Dombrovskis (trade) calls Friday’s decision an ‘important breakthrough’ that benefits all European companies exporting goods to the US.