US authorities are considering imposing new tariffs, as well as raising existing tariffs on imports of a number of goods from France, Germany, Spain and the UK for a total of $ 3.1 billion, Bloomberg reported referring to the office of the US top trade official Robert Lighthizer.
The US authorities are preparing to impose new tariffs on European products such as olives, beer, gin and trucks, and also want to increase tariffs on some categories of goods, including aircrafts, cheeses, and yogurts.
According to Bloomberg, tariffs could affect French fashion brands Givenchy and Hermes, while LVMH Moet Hennessy Louis Vuitton would be 'particularly vulnerable.'
"The move is related to Europe and America’s 15-year-old World Trade Organization aircraft subsidy fight. A couple of years ago the Geneva-based trade arbiter said both the U.S. and the EU were guilty of illegally supporting their respective aircraft industries," Bloomberg noted adding: "In October the U.S. gained the upper hand when the WTO authorized President Donald Trump to retaliate against US$7.5 billion worth of EU exports in response to Europe’s illegal subsidies to Airbus SE. Next month the WTO is expected to deliver a retaliation award to the EU in its separate but related case against U.S. subsidies to the Boeing Co."
The US is currently continuing talks with the EU on a trade deal.