The US has put an end to its dispute with the EU over diplomatic protocol and praised the bloc as "one of America's most valuable partners." The perceived snub had caused friction earlier in the year.
Image: EU
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The US ambassador to the European Union announced on Monday that Washington's decision to demote the EU's embassy in Washington, D.C. would be ended "effective immediately."
Gordon Sondland said that the US Department of State "will again recognize the European Union's representation in Washington as equivalent to that of a bilateral mission in the Diplomatic Corps Order of Precedence."
"The EU is a uniquely important organization, and one of America's most valuable partners in ensuring global security and prosperity," Sondland said.
US Ambassador Gordon Sondland with European Council President Donald Tusk Image: U.S. Mission to the EU
"Europe's security and success are inextricably linked to that of the United States, and this level of engagement and cooperation should be recognized appropriately in all settings," he said.
The downgrading, which was first reported by DW, is believed to have been implemented in late October or early November.
It gave the EU a lower status for occasions such as invitations and seating at events — protocols that can have great significance in diplomatic affairs.
The European Union and the United States are each other's largest export markets. Here's a look at what the two regions export and import — and which industries could be affected in a trade war.
Image: Imago/Hoch Zwei Stock/Angerer
More than a trillion euros in trade
The European Union is the US' largest export market, accounting for about one-fifth of all US exports. Similarly, one-fifth of EU exports go to the United States. EU-US trade in goods and services was €1,069.3 billion in 2017. The EU imported €256.2 billion in goods from the US, and exported €375.8 billion.
Image: Imago/Hoch Zwei Stock/Angerer
EU trade surplus
The main exports and imports between the EU and US fall into the categories of machinery and vehicles, chemicals and other manufactured goods. Combined, they accounted for 89 percent of EU exports and imports with the US in 2017. In all three categories, as well as food and drink, the EU had a trade surplus. The US had a trade surplus in raw materials and energy.
Image: Reuters
Cars, machinery top exports
At €167 billion, machinery and vehicles were the largest EU export category to the US, accounting for 44.4 percent of goods exports. The €111.5 billion in machinery and transport equipment was the largest EU import from the US, accounting for 43.6 percent of imports.
Image: picture-alliance/U. Baumgarten
Small part of trade pie
At the end of May 2018, the Trump administration imposed a 25 percent tariff on EU steel and 10 percent tariff on aluminum. Steel and aluminum exports to the United States were worth €3.58 billion in 2017.
Image: Reuters/Y. Herman
Retaliatory tariffs
In response, the European Union developed a list of products it may subject to retaliatory tariffs. These include typical American products like peanut butter, bourbon whiskey, Harley Davidson motorcycles, jeans and orange juice. The exports targeted by the EU are worth about €2.8 billion annually, according to EU officials.
Image: Shaun Dunphy / CC BY-SA 2.0
Services include travel, education
For services, the EU imports amounted to €219.3 billion and exports €218 billion. The top services were in professional and management services, intellectual property, travel and education. About a third of EU-US trade consists of intra-company transfers.
Image: picture-alliance/dpa
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Despite the soothing in terms of protocol, there remain issues for the EU and US to resolve.
EU trade chief Cecilia Malmstrom is in Washington this week to meet her counterpart Robert Lighthizer for talks on car tariffs. She said "there is full support" from EU member states to respond if the Trump administration imposes tariffs on cars and car parts.
Washington's reversal of that decision comes as Stavros Lambrinidis, the EU's former human rights representative, takes up his post as the bloc's ambassador to the US.
