US to impose tariffs on EU products after WTO victory

The U.S. will impose tariffs on European Union products following a victory at the World Trade Organization, according to senior officials from the Office of the U.S. Trade Representative.The USTR plans to release a product list as early as Wednesday night, and the duties would take effect Oct. 18. The U.S. plans to add a 10% tariff on EU aircraft and a 25% duty on agricultural and other products, according to the officials. Earlier, the WTO gave the Trump administration the right to put tariffs on $7.5 billion in European goods. The U.S. had lodged complaints over what it called illegal subsidies for aircraft maker Airbus by several European governments.Eric Cabanis | AFP | Getty ImagesU.S. officials argue the EU has “no basis” to retaliate against the planned duties. The two sides plan to meet for trade talks on Oct. 14. The action escalates conflicts the Trump administration has waged around the globe as it tries to get major trade partners to change their practices. The U.S. is locked in a trade war with China as it struggles to strike a new agreement with the world’s second largest economy.The news of a widening trade conflict follows a day of trading when major U.S. stock indexes fell more than 1.5% amid fears of a slowing economy. Investors have worried about sustained trade wars dragging on global growth and potentially pulling the U.S. into a recession. Trump has long decried what he calls unfair trade practices by the EU. He has threatened duties on cars and auto imports from Europe. In May, the administration delayed those tariffs for up to six months. This story is developing. Please check back for updates.Subscribe to CNBC on YouTube.

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