London Daily

Focus on the big picture.
Monday, Feb 16, 2026

US, EU Commit to Ending $18 Billion Tariff War Before End of Year

US, EU Commit to Ending $18 Billion Tariff War Before End of Year

The decision by Washington and Brussels to resolve all outstanding trade disputes before the end of the year comes after the European Union decided in May to waive automatic increases in tariffs on some US-made goods.

The US and EU will commit to ending their trade disputes and removing tariffs on aluminum and steel before the end of 2021, according to Bloomberg News, which viewed a document about the upcoming June 15 EU summit US President Joe Biden will attend.

According to the report, the topics set to be resolved include a dispute over state support for aircraft maker Airbus by the governments of Spain, France, Italy, and the UK. The World Trade Organization authorized US tariffs against $7.5 billion in EU exports in 2019, and the EU in turn was authorized to impose $4 billion of its own tariffs on US goods. In March, the US and EU reached an agreement to suspend tariffs on Airbus and Boeing for four months.

As early as December 2020, UE officials reached out to US President-elect Joe Biden about a change in trade policy between the US and the 27-member bloc. The dispute dates to 2018, when then-US President Donald Trump imposed a 10% trade penalty on aluminum and a 25% penalty on steel imported from the EU, calling them a threat to national security.

However, in response to the tariffs, the EU imposed its own on US goods in retaliation, including peanut butter, bourbon, denim, orange juice, and motorcycles, among other goods.

Trump imposed similar tariffs on China, not all of which were resolved by the Phase 1 trade deal agreed to in January 2020. The tariffs were part of his same populist appeal to sections of the US manufacturing sector, to whom he said he was saving American jobs by protecting US industries from foreign competition, which he called "unfair."

Biden Continues Pressure on Nord Stream 2


In May, the Biden administration also decided to drop sanctions imposed by Trump against Swiss pipelaying firm Allseas for its work on the Nord Stream 2 pipeline that caused the company to withdraw from the project. The 745-mile-long pipeline will carry up to 55 billion cubic meters of Russian natural gas to Germany annually. Washington has claimed the pipeline is a tool for Russia to apply political leverage over Western Europe and a deliberate bypassing of another pipeline through Ukraine, but Moscow has said the venture is purely economic in scope.

Russia is the world's second-largest producer of natural gas after the US and the largest provider of European gas. In 2018, Trump successfully pressured Berlin into building a liquified natural gas (LNG) facility and accepting US exports, and in December 2019 imposed sanctions on companies working with Russian state-owned firm Gazprom on Nord Stream 2.

However, while Biden dropped the Trump-imposed sanctions, he also imposed blacklisted 13 Russian ships and three Russian firms working on the project. US Secretary of State Antony Blinken said on Monday the US could also rescind a waiver given to Nord Stream AG, the company overseeing construction of the pipeline, if Russia were to "use gas as a coercive tool or weapon against Ukraine or anyone else."

On Friday, Russian President Vladimir Putin revealed the first leg of the $11 billion pipeline had been completed, in spite of pressure from Washington.

Newsletter

Related Articles

0:00
0:00
Close
UK’s Top Prosecutor Says ‘No One Is Above the Law’ as Police Review Claims Against Ex-Prince Andrew
Businessman Adam Brooks weighs in on the reports that the US is set to help Hamit Coskun flee the UK, over free speech concerns
U.S. Attorney General Pam Bondi Releases 3.5 Million Pages of Jeffrey Epstein Case Files
US Secretary of State Marco Rubio Comment on European allies report blaming Russia for killing late Kremlin critic Alexei Navalny using toxin from poison dart frogs
Eighty-Year-Old Lottery Winner Sentenced to 16.5 Years for Drug Trafficking
UK Quran Burner May Receive Asylum in the US Amid Legal Challenges
Rubio Calls for Sweeping U.N. Reform, Saying It Has Failed to End Wars in Gaza and Ukraine
10,000 Condoms Distributed at Winter Olympics 2026 Athlete Village Depleted Within 72 Hours
Poland's President Advocates for Evaluating Independent Nuclear Weapons Development
Prince William Meets Saudi Crown Prince as Epstein-Andrew Fallout Casts Shadow
Starmer Calls for Renewed ‘Hard Power’ Investment at European Security Summit
UK Police Establish National Taskforce to Handle Domestic Epstein-Linked Allegations
UK Court Rules Ban on Palestine Action Unlawful in Major Free Speech Test
UK Faces Prospect of Net Migration Turning Negative as Economic Impact Looms
Mayor of Serdobsk in Russia’s Penza Region Resigns After Housing Certificates Granted to Migrant Family Trigger Public Outcry
Pentagon Reviews Anthropic Partnership After Claude AI Reportedly Used in Operation Targeting Nicolás Maduro
President Donald Trump and Hip-Hop’s Political Realignment: Pardons, Public Endorsements, and the Struggle Over Cultural Influence
China’s EV Makers Face Mandatory Return to Physical Buttons and Door Handles in Driver-Distraction Safety Overhaul
Goldman Sachs and DP World Executive Resignations: Elite-Reputation Risk and Corporate Governance Fallout From the Epstein Disclosures
‘Amelia’: The UK Government’s Anti-Extremism Game Villain Who Became a Protest Symbol
Peter Mandelson Asked to Testify Before US Congress Over Jeffrey Epstein Links
Walmart's Earnings and UK Economic Data Highlight Upcoming Financial Trends
UK Green Party Considering Proposal to Legalize Heroin for an Inclusive Society
SpaceX's New Vision: Lunar City Takes Precedence Over Mars Colonization
OpenAI and DeepCent Superintelligence Race: Artificial General Intelligence and AI Agents as a National Security Arms Race
Document Suggests Prince Andrew Shared UK Briefing on Afghan Investment Opportunities with Jeffrey Epstein
We will protect them from the digital Wild West.’ Another country will ban social media for under-16s
McDonald's Shortens Breakfast Hours in Australia Due to Egg Shortage
Heineken announces cut of 6,000 jobs due to declining beer demand
Beijing Brands UK Hong Kong Visa Expansion ‘Despicable and Reprehensible’ After Jimmy Lai Sentencing
Tesco Chief Warns UK Is ‘Sleepwalking’ Toward a Joblessness Crisis
Trump’s ‘Act of Great Stupidity’ Comment on UK Chagos Deal Reverberates Through Diplomacy and Strategy
New U.S. filings say Jeffrey Epstein repaid Les Wexner one hundred million dollars after theft allegation
Commerce Secretary Howard Lutnick acknowledges 2012 visit to Jeffrey Epstein’s private island as lawmakers scrutinise past ties
Helsing and Stark Defence loitering-munition drones and Germany’s race to industrialise battlefield autonomy
UK orders deletion of Courtsdesk court-data archive, reigniting the fight over who controls public justice records
UK Police Review Fresh Claims Involving Prince Andrew as Senior Royals Respond to Epstein Files
Keir Starmer’s Premiership Faces Unprecedented Strain as Epstein Fallout Deepens
Starmer Vows to Stay in Office as UK Government Faces Turmoil After Epstein Fallout
China and UK Signal Tentative Reset with Commitment to Steadier, Professionally Managed Relations
UK Confirms Imminent Increase in ETA Fee to £20 as Entry Rules Tighten
UK Signals Possible Seizure of Russia-Linked ‘Shadow Fleet’ Tanker in Escalation of Sanctions Enforcement
Epstein Scandal Piles Unprecedented Pressure on UK Prime Minister Keir Starmer’s Leadership
UK’s ‘Most Romantic Village’ Celebrates Valentine’s Day and Explores the Festival’s Rich History
The Implications of Expanding Voting Rights to Non-EU Foreign Residents in France
Ghislaine Maxwell to Testify Before US Congress on February 9
Al.com Acquired by Crypto.com Founder for $70 Million
Apple iPhone Lockdown Mode blocks FBI data access in journalist device seizure
Belgium: Man Charged with Rape After Faking Payment to Sex Worker
KPMG Urges Auditor to Relay AI Cost Savings
×