Gathering in Brussels on 15th June, the EU and the US announced an agreement towards a 5-years suspension of mutual retaliatory tariffs. The duties, imposed in October 2019 and November 2020 on € 11 billion of overall trade value, originated from the longstanding dispute over illegal subsidies to Airbus and Boeing.
The agreement was saluted with relief and satisfaction by CECE and the European construction equipment industry, which had been unfairly hit by these tariffs. Indeed, the US had included several categories of construction machinery in their list of products and the EU had reciprocated, imposing duties on certain equipment imported from the US.
Commenting on the announcement, CECE Secretary General Riccardo Viaggi said: “After a first 4-months suspension announced in March, this is exactly the positive result we have all been working towards. Indeed, in the last two years, we have been engaging with our industry partners in the EU and in the US, so we are now glad to see it has paid off. These retaliatory tariffs were causing serious economic harm on both sides of the Atlantic, increasing tensions and decreasing economic opportunities. This 5-years suspension can boost trade, accelerate economic recovery and reinstate the transatlantic relationship for even further progress towards a stronger trading partnership.”
The US market is of vital importance for European construction equipment manufacturers. As both the United States and European Union are centers of technological development, transatlantic trade has helped create a strong path to sustained manufacturing competitiveness.