EU threatens escalation in tariff fight over Boeing and Airbus subsidies – BBC


The BBC relies on European Trade Commissioner Phil Hogan’s comments to the European Parliament's trade committee, published late-Monday, to signal the latest threat to global trade.

Key quotes

The EU says it will act ‘decisively’ if the US goes ahead with a threat to put new tariffs on its goods.

On Monday, Europe's trade commissioner Phil Hogan said Washington had rejected moves to settle the dispute.

‘I want to reassure people that we are ready to act decisively and strongly on the European Union side if we don't get the type of outcome that we expect from the United States in relationship to finalizing this 15-year-old dispute,’ he told the European Parliament's trade committee.

The World Trade Organization (WTO) has already ruled that subsidies given by the EU to Airbus in 2004 were illegal.

On Monday, Mr. Hogan also criticized recent national security investigations launched by the US against EU goods, suggesting they may also be a form of retaliation.

The investigations, known as 232 investigations, cover products from transformers and mobile cranes to steel nails.

Before last year's tariffs over Airbus, the Trump administration had imposed duties on EU steel and aluminum - spurring Brussels to tax iconic US products such as denim jeans and motorcycles.

Mr. Trump has also threatened duties on European cars, a particular concern to Germany.

FX implications

Given the news suggesting further hardships for global trade watchers, S&P 500 Futures catch a breather around 3,175 after Wall Street marked another upbeat performance. Even so, the EUR/USD pair recovered to 1.1315 following the announcement.

Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

AUD/USD battles 0.7700 amid covid, stimulus woes-led risk-aversion

AUD/USD holds the lower ground, testing the 0.7700 level amid broad risk-aversion that has triggered a bounce in the safe-haven US dollar. Uncertainty over the US stimulus, worries over new covid strain and lockdowns weigh on the risk appetite. 

AUD/USD News

GBP/USD pressured towards 1.3650 amid risk-off, ahead of UK jobs

GBP/USD remains depressed, heading towards 1.3650. The cable responds to the fresh risk-off mood after flashing a two-day losing streak. UK virus data suggests an improvement in covid conditions, Health Secretary Matt Hancock gives credits to activity restriction measures.

GBP/USD News

Gold rises 0.3%, but the market still looks indecisive

Gold still locked in Monday's indecisive price range. The yellow metal is still stuck in the indecisive price range of $1,847 to $1,868, marked by Monday's Doji candle. Worsening of risk aversion may yield a range breakdown.

Gold news

Ripple is South Korea’s most popular cryptocurrency, but XRP price stays pressured

XRP/USD bounces off intraday low of 0.2647, stays below 21-day SMA for fifth day. As per the latest report from Messari, Bitcoin and Ripple are the most popular cryptocurrencies in South Korea.

Read more

US Dollar Index: A breach of 90.00 exposes 2021 lows at 89.20

The inability of USD-bulls to push further north of recent tops in the 91.00 region in past sessions prompted sellers to return to the markts and shifted the attention to the potential continuation of the downtrend.

US Dollar Index News

Forex MAJORS

Cryptocurrencies

Signatures