The United States is intensifying its trade fight with the European Union over aircraft subsidies, proposing new tariffs on EU goods worth $4 billion.
The tariffs, announced late Monday by the United States Trade Representative, cover 89 products including meat, cheese, pasta, fruits, coffee and whiskey. They could be added to a list of EU exports worth $21 billion that the USTR said in April would be subject to tariffs.
The threat to target more European goods comes just days after the United States and China agreed to resume talks on a trade deal. President Donald Trump said he would hold off imposing new tariffs on China.
Washington has been locked in a dispute with the European Union for years over two of the world’s biggest airplane manufacturers — Boeing (BA) and Airbus (EADSF).
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The conflict dates back to 2004, when EU authorities said Boeing received $19 billion in unfair subsidies from federal and state governments between 1989 and 2006. The US government filed a similar claim that year over European subsidies to Airbus.
The World Trade Organization has handed down favorable rulings to both sides since then, underscoring the complexity of the dispute.
The tariffs proposed by the Trump administration are subject to public consultation in the United States and arbitration at the WTO, which is expected to deliver its findings this summer.
A spokesman for the European Commission said it had noted the latest move by the United States. The spokesman added that Europe could retaliate in the Boeing case.