(CNBC) Shares of motorcycle maker Harley-Davidson rose as much as 9.4% in premarket on Monday after the US and European authorities agreed to ease aluminum and steel tariffs. The EU also agreed to suspend related tariffs on US goods.
EU’s trade chief Valdis Dombrovskis says the bloc agreed with Washington on ending the trade dispute and cooperating on a Global Arrangement on Sustainable Steel & Aluminum.
Both sides are still targeting to tame trade in the high-carbon aluminum and steel industry.
US President Joe Biden says the eradication of tariffs lowers costs on American consumers while also strengthening the competitiveness of the US in the steel industry.
The deal comes after failed attempts by EU to coerce the Trump’s administration to remove the tariffs which prompted retaliatory measures, with about 6.4 billion euros or $7.78 billion targeted on US goods.
The US under the administration of Donald Trump imposed 25% of tariffs on steel from the EU and 10% tariffs on Aluminum in 2018 on national security concerns.
HOG: NYSE is up +8.04% on premarket.
