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U.S. targets 4 bln USD EU goods for potential tariffs over aircraft dispute

Source: Xinhua| 2019-07-02 16:10:17|Editor: Wu Qin
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WASHINGTON, July 1 (Xinhua) -- The U.S. government on Monday proposed punitive tariffs on additional 4 billion U.S. dollars of EU goods amid their dispute over aircraft subsidies.

The U.S. Trade Representative's Office (USTR) released a supplemental list of 89 tariff sub-categories to its initial list, which includes cheese, pork, pastas, fruits, coffee and whiskies, as well as chemicals and metals, among others, the agency said in a statement on Monday.

USTR claimed that it issued the supplemental list "in response to public comments and additional analysis," and to enforce U.S. rights in the World Trade Organization (WTO) dispute against the EU and its member states regarding EU subsidies on large civil aircrafts.

USTR said it would hold a hearing on the proposed additional tariffs on Aug. 5, and will take into account the report of the WTO Arbitrator on the appropriate level of countermeasures to be authorized by the WTO.

Over 40 industry representatives, who mostly oppose the tariff measure, attended a public hearing of the initial list on May 15-16. The list involves some 21 billion dollars in trade value, including aviation-industry related-parts and consumer goods.

Washington and Brussels have been locked in a long-running row over aircraft subsidies, accusing each other at the WTO of engaging in unfair practices. The WTO has found wrongdoings on both sides, with the United States targeting Airbus and the EU against Boeing.

Airbus Chief Commercial Officer Christian Scherer told CNBC in June that the U.S.-proposed tariffs "defy economic logic" and will pass higher costs onto the consumer, according to a report by the news channel.

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