Tuesday 2 July 2019 5:05 pm

Trump threatens tariffs on $4bn of EU products

US president Donald Trump has threatened to slap extra tariffs on $4bn of EU products as a spat over aircraft subsidies escalates. 

The US trade representative’s office released a list of 89 products that could be hit with tariffs, including ham, olives, coffee, pasta and Irish and Scotch whiskies. 

Read more: Trump threatens trade war after motorcycle producer Harley Davidson hit with EU tariffs

The latest announcement builds on an initial threat made in April that warned the US could impose tariffs on $21bn of products including wine, champagne and olive oil. 


The proposed hike in tariffs comes days after the US and China reached a truce in their trade war. 

Washington and Brussels are involved in a nearly 15-year dispute at the World Trade Organisation over aircraft subsidies given to U.S. plane manufacturer Boeing and its European rival, Airbus.

Read more: EU threatens $20bn tariffs on US goods

The World Trade Organisation found that Boeing and Airbus received billions of dollars of harmful subsidies in a pair of cases marking the world’s largest ever trade dispute. 

It is expected to rule on the US sanctions request over the summer.

During the Paris Airshow it was reported that the US could be open to an “enforceable mechanism” that could allow Airbus to receive government funding on commercial terms, potentially paving the way to resolve the dispute. 

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