EU puts tariffs on US but hopes for change with Biden

European Union said Monday it would impose tariffs on up to USD 4 billion worth of US goods and services over illegal aid for plane maker Boeing - but expressed hope that tre ties would improve once President Donald Trump leaves office.

European tre ministers agreed on move a few weeks after international arbitrators gave EU green light for such punitive action.

World Tre Organization h deemed illegal some U.S. support for Boeing - which is a bitter rival to Europe's Airbus - and said EU could make up for that with a limited amount of penalties on US tre.

“Regrettably, in spite of our best efforts due to lack of progress from () US side, we can confirm that European Union will later today exercise our rights and impose counter-measures awarded to us by WTO,” EU Commission Executive Vice-President Valdis Dombrovskis said. tariffs will enter force on Tuesday.

A year ago, WTO ruled in a similar fashion in favor of United States, allowing it to slap penalties on EU goods worth up to $7.5 billion - including Gouda cheese, single-malt whiskey and French wine - over European support for Boeing rival Airbus.

After Trump also imposed tariffs on EU steel and aluminum and threatened punitive duties on cars, Europeans h hoped that he would hold fire on tariffs related to Airbus-Boeing dispute. But having repeatedly failed to achieve a negotiated solution, EU decided to anunce punishment of its own.

“We call on US to agree that both sides drop existing counter-measures with immediate effect so that we can quickly put this issue behind us,” Dombrovskis said. He declined to provide precise details of tariffs, which were to be me public in official EU journal later Monday, but said y would hit agricultural and industrial products, among ors.

“We are t escalating anything, we are exercising our rights,” Dombrovskis said, ding that EU is “mirroring U.S. approach” in kinds of duties it is imposing.

German Ecomy Minister Peter Altmaier said “this step was logical," and that most of 27 EU member countries agree.

Asked why EU didn’t wait until Trump leaves office, Altmaier said: “ U.S. tariffs have alrey been valid for over a year. We won’t kw until about February or March exactly who in new ministration has power to speak for this important area, so a solution h to be found w in hope that it can prevent a furr escalation.”