Beautiful Virgin Islands

Monday, Jun 23, 2025

US, EU Commit to Ending $18 Billion Tariff War Before End of Year

US, EU Commit to Ending $18 Billion Tariff War Before End of Year

The decision by Washington and Brussels to resolve all outstanding trade disputes before the end of the year comes after the European Union decided in May to waive automatic increases in tariffs on some US-made goods.

The US and EU will commit to ending their trade disputes and removing tariffs on aluminum and steel before the end of 2021, according to Bloomberg News, which viewed a document about the upcoming June 15 EU summit US President Joe Biden will attend.

According to the report, the topics set to be resolved include a dispute over state support for aircraft maker Airbus by the governments of Spain, France, Italy, and the UK. The World Trade Organization authorized US tariffs against $7.5 billion in EU exports in 2019, and the EU in turn was authorized to impose $4 billion of its own tariffs on US goods. In March, the US and EU reached an agreement to suspend tariffs on Airbus and Boeing for four months.

As early as December 2020, UE officials reached out to US President-elect Joe Biden about a change in trade policy between the US and the 27-member bloc. The dispute dates to 2018, when then-US President Donald Trump imposed a 10% trade penalty on aluminum and a 25% penalty on steel imported from the EU, calling them a threat to national security.

However, in response to the tariffs, the EU imposed its own on US goods in retaliation, including peanut butter, bourbon, denim, orange juice, and motorcycles, among other goods.

Trump imposed similar tariffs on China, not all of which were resolved by the Phase 1 trade deal agreed to in January 2020. The tariffs were part of his same populist appeal to sections of the US manufacturing sector, to whom he said he was saving American jobs by protecting US industries from foreign competition, which he called "unfair."

Biden Continues Pressure on Nord Stream 2


In May, the Biden administration also decided to drop sanctions imposed by Trump against Swiss pipelaying firm Allseas for its work on the Nord Stream 2 pipeline that caused the company to withdraw from the project. The 745-mile-long pipeline will carry up to 55 billion cubic meters of Russian natural gas to Germany annually. Washington has claimed the pipeline is a tool for Russia to apply political leverage over Western Europe and a deliberate bypassing of another pipeline through Ukraine, but Moscow has said the venture is purely economic in scope.

Russia is the world's second-largest producer of natural gas after the US and the largest provider of European gas. In 2018, Trump successfully pressured Berlin into building a liquified natural gas (LNG) facility and accepting US exports, and in December 2019 imposed sanctions on companies working with Russian state-owned firm Gazprom on Nord Stream 2.

However, while Biden dropped the Trump-imposed sanctions, he also imposed blacklisted 13 Russian ships and three Russian firms working on the project. US Secretary of State Antony Blinken said on Monday the US could also rescind a waiver given to Nord Stream AG, the company overseeing construction of the pipeline, if Russia were to "use gas as a coercive tool or weapon against Ukraine or anyone else."

On Friday, Russian President Vladimir Putin revealed the first leg of the $11 billion pipeline had been completed, in spite of pressure from Washington.

Newsletter

Related Articles

Beautiful Virgin Islands
0:00
0:00
Close
Starmer Invites Innovators to Join Government Talent Scheme
UK Economy’s Strong Opening Quarter Shows Signs of Cooling
Harrods Seeks Court Order to Secure Al Fayed Estate for Victims
BA and Singapore Airlines Cancel Dubai Flights Amid Middle East Tensions
Trump Faces Backlash from MAGA Base Over Iran Strikes
Meta Bets $14 B on Alexandr Wang to Drive AI Ambitions
WATCH: Israeli forces show the aftermath of a massive airstrike at Iran's Isfahan nuclear site
FedEx Founder Fred Smith, ‘Heart and Soul’ of the Company, Dies at 80
Chinese Factories Shift Away from U.S. Amid Trump‑Era Tariffs
Pimco Seizes Opportunity in Japan’s Dislocated Bond Market
Labubu Doll Drives Pop Mart to Status as China’s Most Valuable Toy Maker
Global Coal Demand Defies Paris Accord Goals
We have new information and breaking details to share about what is shaping up to be a historic air campaign tonight
Six Massive Bombs Dropped on Fordow; Trump: 'A Historic Moment for the U.S., Israel, and the World'
Fordow: Deeply Buried Iranian Enrichment Site in U.S.–Israel Crosshairs
United States Conducts Precision Strikes on Iran’s Nuclear Sites
US strikes Iran nuclear sites, Trump says
Pakistan to nominate Trump for Nobel Peace Prize.
BBC Demands Perplexity AI Immediately Stop Using Its Content
Telegram Founder: I Will Leave My Fortune to Over 100 of My Children
Political Turmoil Resurfaces in Belgium Amid Economic Concerns
Fed policymakers divided on timing of interest rate cuts
Trump signals imminent agreement with Harvard University
Inheritance tax referendum alarms Swiss billionaire community
Japan cancels bilateral security meeting amid US defence demands
AI skeptic Emily Bender warns that ‘the emperor has no clothes’
Israel Confirms Assassination of Quds Force Commander in Tehran
16 Billion Login Credentials Leaked in Unprecedented Cybersecurity Breach
Senate hearing on who was 'really running' Biden White House kicks off
Iranian Military Officers Reportedly Seek Contact with Reza Pahlavi, Signal Intent to Defect
FBI and Senate Investigate Allegations of Chinese Plot to Influence the 2020 Election in Biden’s Favor Using Fake U.S. Driver’s Licenses
Vietnam Emerges as Luxury Yacht Destination for Ultra‑Rich
Plans to Sell Dutch Embassy in Bangkok Face Local Opposition
China's Iranian Oil Imports Face Disruption Amid Escalating Middle East Tensions
Trump's $5 Million 'Trump Card' Visa Program Draws Nearly 70,000 Applicants
DGCA Finds No Major Safety Concerns in Air India's Boeing 787 Fleet
Airlines Reroute Flights Amid Expanding Middle East Conflict Zones
Elon Musk's xAI Seeks $9.3 Billion in Funding Amid AI Expansion
Trump Demands Iran's Unconditional Surrender Amid Escalating Conflict
Israeli Airstrike Targets Iranian State TV in Central Tehran
President Trump is leaving the G7 summit early and has ordered the National Security Council to the Situation Room
Taiwan Imposes Export Ban on Chips to Huawei and SMIC
Israel has just announced plans to strike Tehran again, and in response, Trump has urged people to evacuate
Netanyahu Signals Potential Regime Change in Iran
Juncker Criticizes EU Inaction on Trump Tariffs
EU Proposes Ban on New Russian Gas Contracts
Analysts Warn Iran May Resort to Unconventional Warfare
Iranian Regime Faces Existential Threat Amid Conflict
Energy Infrastructure Becomes War Zone in Middle East
UK Home Secretary Apologizes Over Child Grooming Failures
×