WASHINGTON (thehill): President Biden and European Union (EU) leaders reached an agreement Tuesday to end the 17-year trade dispute over subsidies to Boeing and Airbus, officials said.
The development, which was announced as Biden participated in a U.S.-EU summit in Brussels as part of his first trip overseas as president, is likely to improve relations between the U.S. and Europe at a time when they are collectively trying to counter China’s rise.
“Today’s announcement resolves a longstanding trade irritant in the U.S.-Europe relationship,” U.S. Trade Representative Katherine Tai told reporters on a call.
“Instead of fighting with one of our closest allies, we are finally coming together against a common threat,” she continued. “We agreed to work together to challenge and counter China’s non-market practices in this sector in specific ways that reflect our standards for fair competition. This includes collaboration on inward and outbound investment and technology transfer.”
As part of the deal, both sides agreed to suspend tariffs related to the dispute for five years.