The European Union plans to impose retaliation on duties on US imports, including Boeing aircraft, if President Donald Trump imposes a levy on block products, according to Bloomberg.

EU officials expect the US to maintain some duties, even after the completion of trade negotiations. So far, the European Commission, which is handling commercial issues for the EU, has not stated whether this would cause retaliation from the block.

European retaliation

“We will need to retaliate and restore the balances to some basic areas if the US insists on an asymmetric deal,” EU industry leader Stephane Sejourne told Bloomberg News, including “the result of the negotiations is 10%”.

The EU is rushing to close an agreement with Washington before duties for almost all its exports to the US rise to 50% on July 9. The EU estimates that US duties now cover 380 billion euros ($ 439 billion), or about 70% of its exports to the US.

The negotiations have been accelerated and the Commission is making every effort to achieve a solution that will be beneficial to both sides, according to an EU official, who spoke on the condition of anonymity. The committee told Member States last week that the US insisted on demands that would lead to an unfair deal, Bloomberg said earlier.

The Commission, which seeks a mutually beneficial agreement, will evaluate any end result and at this stage will decide which level of asymmetry – if any – is ready to accept, Bloomberg said earlier. Any retaliation decision should be coordinated and agreed with the Member States.

US demands include measures involving quotes for fish exports, which EU officials argue that they may be incompatible with the rules of the World Trade Organization, tariff -related movements and are not reciprocal, as well as a number of financial security requirements, which are described by Bloom.

Many in the EU expect that most of the US duties will remain in force even if an agreement is reached, including a 10%basic duty. The United Kingdom has signed an agreement with the US this month, which leaves 10% duties on almost all British exports.

“I understand that the US is working largely with 10% as a basic limit,” said EU Commercial Head Maros Shefsovic in Berlin on Monday. “We are also working on balancing measures that will protect European businesses and European workers in case” we do not end up in a fair, negotiating solution, “he said.

The air transport industry

One of the areas that will be exposed to a trade war will be the Civil Aviation industry. Sejourne said Airbus based in Toulouse, France, cannot be subject to “unfair competition” by Boeing, which is based in Arlington, Virginia, because the European aircraft manufacturer faces an additional 10%duty.

“If we do not reset the balance we will leave some top areas unprotected, so there is a financial interest to act so,” he said.