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The US and the EU have resolved a long-running trade dispute over subsidies to Airbus and Boeing, as both sides put more emphasis on countering China's rising economic influence.
Both sides will each release statements expressing "acceptable support" for aircraft manufacturers.
US Trade Representative Katherine Tai described the settlement as resolving a lingering "trade irritant" in the US-EU relationship, and that they are coming together to confront a common threat.
Tai said the US may reapply the tariffs if the EU doesn't uphold its side of the deal.
In March, the US, the EU, and the UK suspended related tariffs worth billions of dollars for four months, which marked the first step toward repairing trade relations that had been strained for 17 years due to complaints about government support for Airbus and Boeing.
The EU claimed in 2004 that Boeing had received $19 billion in unfair subsidies from federal and state governments, with the US countering by filing a similar claim that year over EU subsidies to Airbus.
The Trump administration's imposition of tariffs on European goods including French wine and Scotch and Irish whiskies, and Parmesan cheese, worsen the situation as it prompted the EU to slap tariffs on US cheese, wine, and suitcases.
The US and EU still have to resolve how to tax big tech companies and a dispute over Trump-era tariffs on steel and aluminum.
The US joined Germany, France, Italy, the UK, Canada, and Japan over the weekend to deliver the Group of Seven's condemnation of China over allegations of human rights abuses and political disputes over Taiwan, Hong Kong, and South China Sea.
The group also pushed anew for an independent investigation into the Covid-19 origins and showcased an alternative to China's Belt and Road plan to boost its trading influence.
The US and the EU will also announce a joint council meant to address questions of trade and technology.
Biden is hoping to hold a summit with Russian President Vladimir Putin on Wednesday appearing united with its allies.
