The European Union is expected to announce new tariff counter-measures on Thursday targeting U.S. aerospace exports, including Boeing jets, in response to escalating trade tensions with Washington.
The move comes after the U.S. imposed sweeping tariffs on European goods, including a 10% levy on Airbus aircraft.
Industry and diplomatic sources say this is the most serious threat of a transatlantic trade conflict in the $150 billion global aerospace market since 2021. According to the Financial Times, the EU plans to target roughly $100 billion in annual U.S. imports, a list that will now include civil aircraft—potentially raising costs for European carriers with large Boeing orders.
The tariff threat follows a wave of new U.S. trade actions introduced under President Donald Trump, including 25% tariffs on EU steel, aluminum, and autos, and reciprocal 10% tariffs on most other imports. The temporary 90-day pause on these tariffs is set to expire on July 8, adding urgency to ongoing talks.
Speaking in Singapore, European Trade Commissioner Maros Sefcovic confirmed the EU will proceed with counter-measures if negotiations fail, calling for a “level playing field” in transatlantic aviation trade.
While the European Commission and Boeing have declined comment, industry leaders on both sides of the Atlantic have expressed concern. In a rare show of unity, Airbus and Boeing have jointly called for a return to duty-free trade in aerospace, underscoring that further escalation could hurt the entire sector.
“Only losers will emerge from a tariff war in aerospace,” said Airbus CEO Guillaume Faury, who urged a return to the 1979 Aircraft Trade Agreement, which previously shielded aircraft and parts from such trade measures.
Boeing CEO Kelly Ortberg echoed that message in recent Congressional testimony, emphasizing the need for free trade to protect jobs and industry competitiveness.
Despite the shared stance from manufacturers, airlines are growing increasingly anxious. Ryanair, Europe’s largest low-cost carrier and one of Boeing’s biggest clients, has threatened to cancel hundreds of aircraft orders if U.S. tariffs result in higher costs. The airline is reportedly seeking contractual assurances from Boeing against such price hikes.
However, industry experts note that alternatives are limited. With Airbus production slots fully booked until the end of the decade and strict aerospace contract terms, carriers like Ryanair and Delta Air Lines—which has threatened to delay Airbus deliveries—may find little flexibility to alter long-term fleet plans.
As both sides weigh economic and political costs, the looming threat of aerospace tariff escalation is testing fragile cooperation in one of the world's most globally integrated industries. The coming days may prove pivotal for whether diplomacy or retaliation shapes the next phase of U.S.-EU trade relations.
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