Import duties as a consequence of state aid
Future import duties in the VS for European products as a consequence of state aid for Airbus. From 18 Oktober onwards, a 10% tariff on cheese, olives, whiskey and wine among other things will be maintained. A consequence of a measure from the World Trade Organization. Casper de Vries, Professor of Monetary Economics and Professor of Finance, explains what is going on.
The two biggest airplaine producers Airbus and Boing cannot excist without state aid, which is forbidden by the World trade Organization. The sanction of instituting an import tariff is an adverse effect which has little to do with the actual case. To solve the actual problem, a resumption of talks has to take place. For now a set of countermeasures from Europe are ready to strike back. What, according to de Vries, will lead towards escalation.