EU threatens retaliation against the US if it puts tariffs on EU goods (Boeing - Airbus)
The US has threatened to impose tariff duties on EU goods such as beer, gin and olives.
This is part of the 15 year trade ware the two have been engaged in on subsidies for Airbus.
Europe's trade commissioner Phil Hogan spoke on Monday, saying sai Washington had rejected moves to settle the dispute
- "I want to reassure people that we are ready to act decisively and strongly on the European Union side if we don't get the type of outcome that we expect from the United States in relationship to finalising this 15-year-old dispute"
Background to this is that the World Trade Organization ruled that subsidies given by the EU to Airbus in 2004 were illegal.
- But, there is a parallel case running on whether the US propping up Boeing also contravenes trade rules
Last year the US imposed tariffs of 15-25% on $7.5bn (£6bn) worth of European goods
- Then last month the US said it was considering new taxes on additional EU trade worth $3.1bn annually