U.S., UK Suspend Tariffs in Bid to Settle Aircraft Row

The United States on Thursday agreed to a four-month suspension of retaliatory tariffs imposed on British goods such as Scotch whisky over a long-running aircraft subsidy row, with both sides pledging to use the time to resolve the dispute, Reuters reported. The U.S. administration under former President Donald Trump imposed tariffs on Scotch whisky and other European Union food, wine and spirits, which the industry says have put its future at risk. The multi-billion dollar tit-for-tat tariff battle involving the United States, the European Union and Britain relates to a long-running row over state subsidies for planemakers Airbus and Boeing. Britain is party to the dispute as a former member of the EU and maker of key Airbus components. “The United Kingdom and the United States are undertaking a four-month tariff suspension to ease the burden on industry and take a bold, joint step towards resolving the longest running disputes at the World Trade Organization,” a joint statement said. “This will allow time to focus on negotiating a balanced settlement to the disputes, and begin seriously addressing the challenges posed by new entrants to the civil aviation market from non-market economies, such as China.” White House Press Secretary Jen Psaki said the decision would give both sides time to work out a solution. Read more.