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.



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