In a statement, World Trade Organization said the European Union (EU) can impose tariffs on $4 billion of U.S. Goods for Boeing annually, heightening the 16-year legal aircraft dispute.
Attention in the U.S. is made on the EU retaliatory tariffs, which includes aircraft. The trade talk is significant for Boeing as the company wants to have its 737 Max corrected after the aircraft crashes and safety investigation.
On Tuesday, the ruling made way for the EU to acknowledge the tariffs imposed on $7.5 billion Airbus by the trade body last year. Both the parties- US and EU have hinted in the settlement of the dispute over aircraft subsidies.
The aircraft dispute is the longest since the inception of World Trade Organization (WTO). Since 2004, the jetline battle has tested the resolve of WTO, having consumed over $100 million in costs.
In a tweet, EU Trade Commissioner Valdis Dombrovskis mentioned that he’d re-engage with the US immediately to favor a just settlement.
According to Airbus Chief Executive, Guillaume Faury, support towards any action of EU is made as the company is ready to support a fair negotiation process leading to a fair settlement.