James O'Brien 10am - 1pm
Trump Threatens $11bn Tariffs On EU Goods
9 April 2019, 15:52 | Updated: 9 April 2019, 15:59
The US president says EU subsidies to aircraft manufacturer Airbus impacted American rival Boeing.
The World Trade Organisation has found that the subsidies have had an adverse impact on the US.
Washington and Brussels have been accusing one another of unfairly subsiding Boeing and Airbus, for 14 years.
US Trade Representative Robert Lighthizer said that the case had been in litigation for 14 years, and “the time has come for action.”
Trump took to Twitter following the news from the WTO, saying he’ll slap tariffs on EU goods valued at almost £8.5bn ($11bn).
The World Trade Organization finds that the European Union subsidies to Airbus has adversely impacted the United States, which will now put Tariffs on $11 Billion of EU products! The EU has taken advantage of the U.S. on trade for many years. It will soon stop!— Donald J. Trump (@realDonaldTrump) April 9, 2019
Swordfish, stilton cheese, wine and motorcycles are all products that could face extra taxes.
Bloomberg reported that European officials had hoped to reach a negotiated solution with the US that would avoid an escalation of tit-for-tat tariffs.
A spokesperson for the European Commission said that the bloc could issue reciprocal tariffs against US goods.
"The EU remains open for discussions with the US, provided these are without preconditions and aim at a fair outcome," the spokesperson said.