Agreement on Harley-Davidson punitive tariffs now in sight!
Since Saturday we have heard from the USA that there will be an agreement on punitive tariffs.
This Sunday, confirmation comes from Brussels! Ursula von der Leyen has announced that the EU Commission supports a suspension of punitive tariffs on US goods. Below is the official announcement from Brussels, from EU President Ursula von der Leyen.
"The spoken word is valid!"
I am pleased to announce that President Biden and I agreed today to suspend tariffs on steel and aluminum and to begin work on a new Global Agreement on Sustainable Steel. This is a new cornerstone in our renewed EU-US partnership. And it is a first step in our efforts to decarbonize global steel production and trade. A milestone in the fight against climate change. All like-minded partners can join the agreement.
Steel production is responsible for the highest CO2 emissions worldwide. For steel consumption and trade to become sustainable, we must address the carbon intensity of the industry. The same applies to the problems of overcapacity. That is the goal of the Global Agreement on Sustainable Steel. We will work with the United States to ensure the long-term sustainability of our industry and stimulate the production and trade of low-carbon steel.
This new global initiative represents another important tool in our sustainability efforts. It will be a significant step towards achieving climate neutrality. It will also ensure a level playing field for our industries. This key initiative fits into our renewed forward-looking transatlantic agenda with the US.
Since the beginning of the year, we have restored trust and communication. At our summit in June we decided to resolve the dispute over subsidies for the aircraft industry; we established the EU-US Trade and Technology Council; We have reached an agreement on a global minimum tax and now we have found a solution for trade in steel and aluminum between the EU and the USA.
Thank you, President Biden, dear Joe, for your announcement that the United States will lift US tariffs on steel and aluminum from the EU on an unprecedented scale of trade. This will eliminate much of the existing trading problems. This means that transatlantic trade in steel and aluminum between the EU and the USA should return to the volume it had before the tariffs were introduced. As a result of this decision on the part of the USA, I am pleased to announce that the Commission will also propose a suspension of the tariffs imposed by us.
Together with President Biden, I will convey this good news of the resolution of our related trade disputes to the World Trade Organization. I would also like to thank Secretary of Commerce Gina Raimondo, United States Trade Representative Katherine Tai, and Executive Vice President and Trade Commissioner Valdis Dombrovskis for their tireless efforts and their teams over the past few months.
Text: EU Commission/Brussels October 31, 2021
