The Latest on U.S. President Joe Biden’s trip to Europe:
BRUSSELS — The United States and the European Union appear close to reaching a deal to end a damaging dispute over subsidies to rival plane makers Boeing and Airbus and lift billions of dollars in punitive tariffs.
A person familiar with the discussions said U.S. and EU officials have reached principles of an agreement to end their 17-year dispute over the aircraft subsidies. The person was not authorized to discuss the matter and spoke on the condition of anonymity.
The trade dispute skyrocketed under the Trump administration, and saw tit-for-tat duties slapped on a range of companies that have nothing to do with aircraft production, from French winemakers to U.S. spirits producers.
The U.S. imposed $7.5 billion in tariffs on European exports in 2019 after the World Trade Organization ruled that the EU had not complied with its rulings on subsidies for Airbus, which is based in France. The EU retaliated last November with $4 billion in punitive duties after the WTO ruled that the U.S. had provided illegal subsidies to Boeing.
In March, weeks after Biden had taken office, the two sides agreed to suspend the tariffs.
— By Aamer Madhani
BRUSSELS — President Joe Biden is seeking to tamp down trade tensions with European allies as he spends one last day consulting with Western democracies ahead of his highly anticipated meeting with Russian President Vladimir Putin.
After a pair of summits with Group of Seven world leaders in the U.K. and then NATO allies in Brussels, Biden meets Tuesday with European Council President Charles Michel and European Commission President Ursula von der Leyen.
The president has sought to marshal widespread European support for his efforts to counter Russia prior to his Wednesday meeting in Geneva with Putin. But the U.S.-EU relationship is not without some tensions.
Biden will meet with the top EU officials as the continent’s leaders are becoming impatient that the American president has not yet addressed Donald Trump’s 2018 decision to impose import taxes on foreign steel and aluminum.
There’s also a longstanding dispute over how much of a government subsidy each side unfairly provides for its aircraft manufacturing giant — Boeing in the United States and Airbus in the EU.