Expert Chaslau Koniukh
  • Companies
  • Global investment
  • Investors
  • Terminology
  • Economy
  • Stock Market
  • World exchanges
  • Tech and Marketing
Airplane duties
Stock Market

The US imposes duties on aircraft from Europe

09.11.2020
2 min read

Why did the U.S. decide to impose duties on aircraft from Europe

The U.S. has long been talking about raising tariffs on the import of a number of products from the EU, and has now taken decisive action. Washington announced the introduction of duties on aircraft from the European Union.
This Order was made under section 301 of the United States Trade Act, which was enacted in 1974. Last autumn, the United States triumphed in a process considered by the World Trade Organization, which was the largest for this community. According to its result, Washington has the right to impose duties on European products in the amount of 7.5 billion dollars, which was the result of unfair trade transactions by the EU. Appeal of Washington to the WTO related to claims against the EU, which has not fulfilled the requirements for the corporation Airbus. The EU should have subsidized the producer, but did not do so in the required amount. After such a step, aircraft owned by France, Germany, Spain and the UK began to be taxed at 10%. Duties did not apply only to military equipment. However, after a while, the US decided to change the tariffs and revise their terms. In this regard, the White House introduced duties in the amount of 10-15% for European aircraft. The new tariffs came into force in March.
It should be noted that recently the European airline industry has been experiencing significant losses. As a result of the Coronavirus pandemic, flights had to be reduced to a minimum, and Washington closed all borders and suspended communication with the EU countries and the UK. Therefore, European airlines have to deal with extremely heavy losses, especially since the overall picture of losses is not yet clear.

Airplane duties

Unlike the EU, the US supports the airline industry. The White House said it will fully help local companies to minimize the negative effects of the coronavirus. According to The Wall Street Journal, U.S. carriers have asked the government for $50 billion in financial support. This amount will be used to compensate for losses caused by coronavirus.
Negotiations between the U.S. and Europe are in progress, but it is too early to talk about a trade agreement. Washington is very determined, and if the EU does not agree to the agreed terms, the White House threatens to impose duties not only on aircraft, but also on cars.
The European Union and local airlines recommend the U.S. to review tariffs and their feasibility. In the form of arguments they cite the fact that the duties will also harm American carriers, but will primarily affect the end consumer.

Tags: Stock Market
0
Previous Post The collapse of the US economy is inevitable: expert opinion Next Post VanEck investment company: shares of gold mining companies are becoming more expensive

You Might Also Like

technology company stocks
Stock Market
Economist: technology company stocks are rising in value
17.11.2023
Talkspace
Stock Market
The Talkspace app has struck a deal with Hudson Executive Investment Corp.
25.10.2021
Instant noodle maker
Stock Market
Instant noodle maker Monde Nissin is preparing for an IPO
04.12.2021
Development of the financial sector-1
Stock Market
Development of the financial sector in terms of DeFi potential
23.05.2022
British startup
Stock Market
British startup Revolut is now available for users from Japan
08.05.2021
co-working network Wework
Stock Market
The co-working network WeWork plans to become a public company through SPAC
14.12.2021

Popular Posts

  • Li Ka Shing: How can success be achieved without money and education?
  • Skolkovo analysts: the Russian energy market is suffering losses
  • Ingeborg Mootz: a woman who became a stock player at the age of 75
  • Analysts: Egypt’s economy to continue falling in 2023

Editor's Picks

Chaslau Koniukh
Analytics

American bankers from JPMorgan and Goldman Sachs advise to invest in gold: review by Chaslau Koniukh.

Spokesperson
17.08.2020
Expert Chaslau Koniukh
Analytics

Chaslau Koniukh on the analysts’ opinion on the key stake size change soon

Spokesperson
18.06.2020
expert Chaslau Koniukh
Analytics

Chaslau Koniukh: Internet trade market in Russia may reach 2.78 trillion rubles.

Spokesperson
30.05.2020
Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh
Analytics

Will the U.S. oil shale industry be able to quickly recover from the crisis: A Review by Chaslau Koniukh

Spokesperson
16.05.2020

Popular Posts

  • Li Ka Shing: How can success be achieved without money and education?
  • Skolkovo analysts: the Russian energy market is suffering losses
  • Ingeborg Mootz: a woman who became a stock player at the age of 75
  • Analysts: Egypt’s economy to continue falling in 2023
  • Businessman Chuck Feeney: the man who gave the world Duty Free
Expert Chaslau Koniukh
  • Facebook
  • Twitter
  • Instagram

© 2024 CHASLAU KONIUKH. ALL RIGHTS RESERVED. Expert in marketing and project management, international investments, financial analyst.

Menu

  • Biography
  • Companies and corporations
  • Global investment
  • Investors and Entrepreneurs
  • Economy
  • Market terminology
  • Stock Market
  • World exchanges
  • Tech and Marketing
  • Analytics