LONDON — The U.K. has matched the deal reached by Brussels and Washington for a five-year cease-fire on the 17 year-long trade war over subsidies for the plane makers Airbus and Boeing.
The agreement was determined after two days of meetings between Liz Truss, the British trade secretary, and her U.S. counterpart Katherine Tai.
“The United States and the United Kingdom today reached an understanding to resolve a long-standing trade irritant relating to large civil aircraft. This development strengthens our special relationship and builds on the revitalized Atlantic Charter, which affirms our ongoing commitment to sustaining and defending our enduring values against new and old challenges,” a joint statement read.
As with the EU-U.S. arrangement, there will be a Working Group on large civil aircraft which will require regular meetings for the two sides’ trade ministers.
“This deal will support jobs across the country and is fantastic news for major employers like Scotch whisky and sectors like aerospace. We took the decision to de-escalate the dispute at the start of the year when we became a sovereign trading nation, which was crucial to breaking the deadlock and bringing the U.S. to the table,” Truss said in a statement. She added that the step will allow both sides to concentrate on “unfair practices by nations like China.”
The fight has cost hundreds of millions of pounds for British producers of products such as cashmere, machinery, and single-malt Scotch whisky in lost revenues as a result of the U.S. tariffs.
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