Handbags, Ketchup and consoles among US imports facing tariffs

Handbags, Ketchup and consoles among US imports facing tariffs

Handbags, tomato ketchup and video game consoles are among the US import products which face EU tariffs, as the European bloc hit back in the latest twist in the transatlantic dispute over aircraft subsidies.

The European commission has threatened to impose tariffs on US imports worth $20bn (£15.3bn) on Wednesday. It published an 11-page catalogue of items at risk, which also included tractors and aircrafts, following a World Trade Organization ruling against Washington last month.

The EU has responded after President Trump issued a seven page list of European products to target for tariffs last week. The products range from large aircraft to dairy products and wine, to counteract $11bn of harm the US government claims subsidies for plane manufacturer Airbus have caused. This also has followed a WTO ruling against Airbus subsidies.

Trump tweeted last week that the EU has taken advantage of the US on trade for many years and it will soon stop.

The EU counter claimed that tax breaks to Boeing, along with the unfair procurement practices, have caused $12bn worth of damage to Airbus. Both the sides have been battling for almost 15 years at the WTO over the subsidies given to Airbus and Boeing.

The commission’s list is now open to consultation, to allow the impacted to make their pitch for a rethink.


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