Background

The Office of the U.S. Trade Representative has announced that a four-month suspension of tariffs imposed on goods imported from the European Union in a long-running aircraft subsidy dispute took effect March 11. The EU suspended its related tariffs on U.S. goods the same day.

EU products for which U.S. tariffs are being suspended include, among many others: cheese, oranges, mandarins, clementines, and lemons; new aircraft from France, Germany, and Spain; axes, tweezers, pliers, metal cutting shears, pipe cutters, screwdrivers, knives, hand tools, and welding equipment from Germany; printed books, lithographs, and pictures from Germany; self-propelled machinery from Germany; and olives and wine from France, Germany, and Spain.

USTR has said the tariff suspensions will allow time to negotiate a settlement to the aircraft subsidy dispute that includes “disciplines on future support in this sector, outstanding support measures, monitoring and enforcement, and addressing the trade distortive practices of and challenges posed by new entrants to the sector from non-market economies, such as China.”

For more information on these tariffs and how to mitigate their impact, please contact Nicole Bivens Collinson (at (202) 730-4956 or via email) or attorney Kristen Smith (at (202) 730-4965 or via email).

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