This latest development revives tensions reminiscent of the 2020–2021 tariff dispute between the U.S. and EU, largely centered on subsidies for Boeing

The European Union will propose tariffs on Boeing Co. aircraft and US-made cars if talks with President Donald Trump’s administration fail to de-escalate a brewing trade conflict, according to people familiar with the deliberations.

The European Commission did not comment officially. Aircraft imports to the U.S. are currently subject to 10% tariffs as part of President Donald Trump’s across-the-board introduction of levies. Before temporarily reducing them, he had proposed 20% for most goods and 25% for aluminum, steel and cars.