The EU and the US failed in their attempt to resolve important trade disputes at a high-level meeting in Washington. US President Joe Biden’s consultations with European Commission President Ursula von der Leyen and EU Council President Charles Michel ended yesterday (local time) without the two sides achieving progress on two issues urgent commercials.
There has been a dispute in recent months over, among other things, a US law that provides billions in investment in climate protection and subsidies for US industry. This has raised concerns in the EU about competitive disadvantages. At a meeting in Washington in March, Biden and von der Leyen came closer and agreed to negotiate a deal on minerals for car batteries. The aim is to make electric vehicles made in Europe eligible for US tax credits.
Various controversial issues
However, a joint statement after yesterday’s meeting said only that the two sides had made progress towards such an agreement and expected to make further progress in the coming weeks.
The other dispute concerns special tariffs on steel and aluminum imports introduced by then-US President Donald Trump in 2018. Their impact was severely limited in 2021 by a preliminary agreement between Brussels and Washington. However, this also stipulates that a long-term solution must be found by the end of the year.