The World Trade Organization (WTO) has authorized the United States to impose $7.5 billion of punitive tariffs on imports from European Union countries, the Financial Times reports.
The announcement wraps up a 15-year dispute between the world’s two largest free markets over illegal European aid to airplane manufacturer Airbus, which the U.S. said had significantly damaged Boeing.
The U.S. originally petitioned the WTO asking for $11 billion of punitive tariffs (then revised that up to $15 billion) on a range of goods, including olive oil and table olives.
Olive oil producers, importers and exporters on both sides of the Atlantic have warned that the imposition of tariffs would hurt farmers, raise prices in America and be difficult to undo.
Officials from the U.S. have not yet decided on a final list of goods, which will likely face a 100 percent tariff. Once U.S. officials decide which goods will be on the list then it will have to be re-submitted to the WTO for final approval before the tariffs can be implemented.
This is a developing story last updated on ET.