Tuesday, April 9, 2019

Trump Moves to Impose Tariffs on $11 Billion of EU Goods

The Trump administration moved on Monday toward imposing tariffs on about $11 billion in imports from the European Union, saying the move was justified by the bloc’s subsidies for aircraft manufacturer Airbus, reports The Wall Street Journal.

Fighting economic policies of other countries never make sense and they are especially destructive when they come in the form of tariffs which only place a barrier in front of goods that can enter a country. This type of barrier results in higher prices domestically and a reduction in the inflow of goods.

Though the tariffs are in response to the WTO case, the move is sure to ratchet up tensions between Washington and Brussels, notes The Journal.

As the first step in the tariff process, Monday’s announcement from the USTR contains a list of items that could be subjected to tariffs after a period for public comment and time for the two sides to negotiate.

The proposed list contains a number of civil aviation products, including Airbus aircrafts, the USTR said. It also includes a wide range of non-aviation items, from cheese to bicycles to kitchen knives to artists’ brushes.


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