17 June 2021 - 12:47Washington/London — The US and the UK reached a truce in a trade dispute involving Airbus and Boeing, agreeing to a five-year suspension on tariffs affecting various goods.
While the US reached a framework in the long-standing aircraft-subsidy dispute with the EU earlier this week, it needed to negotiate a separate resolution with London after the UK left the EU last year. The US-EU deal, announced in Brussels on Tuesday, includes a five-year EU commitment not to reinstate its duties on $4bn worth of US goods such as tractors, video games and rum. In return, Washington withdrew its tariffs for five years on $7.5bn worth of European food and luxury items, including Champagne, cognac and leather goods.
The US suspended tariffs with the UK and then the EU for four months in March — a period that would have ended in early July — to create space to negotiate a long-lasting solution.
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