The World Trade Organization (WTO) has authorized the European Union (EU) to impose tariffs on US goods worth $ 4 billion in response to a subsidy given to American aircraft manufacturer Boeing Co.
As a result of this WTO action, it will inevitably create new tensions in relations between the EU and the US, where Washington has previously imposed tariffs on $ 7.5 billion of EU goods.
In fact, it will also pose a risk to US President Donald Trump ahead of this November's presidential election.
The two sides have been involved in a 16-year dispute over assistance to their aircraft industry in several cases that together represent the world's largest corporate trade dispute.
According to sources, the tariff that needs to be formally applied by the WTO is unlikely to be imposed before the presidential election on November 3 as Brussels does not want to disrupt the election campaign process.
In addition, the tariff does not include some tariffs worth $ 4.2 billion from previous cases. This means that the total tariff that will be imposed by the EU is $ 8.2 billion.
