Biden looks to ease EU trade tensions ahead of Putin summit

U.S. President Joe Biden arrives for a NATO summit at NATO headquarters in Brussels, Monday, June 14, 2021. U.S. President Joe Biden is taking part in his first NATO summit, where the 30-nation alliance hopes to reaffirm its unity and discuss increasingly tense relations with China and Russia, as the organization pulls its troops out after 18 years in Afghanistan. (Kenzo Tribouillard, Pool via AP)

U.S. President Joe Biden leaves the podium after a media conference at a NATO summit in Brussels, Monday, June 14, 2021. U.S. President Joe Biden is taking part in his first NATO summit, where the 30-nation alliance hopes to reaffirm its unity and discuss increasingly tense relations with China and Russia, as the organization pulls its troops out after 18 years in Afghanistan. (Olivier Hoslet, Pool via AP)

U.S. President Joe Biden speaks during a media conference during a NATO summit in Brussels, Monday, June 14, 2021. U.S. President Joe Biden is taking part in his first NATO summit, where the 30-nation alliance hopes to reaffirm its unity and discuss increasingly tense relations with China and Russia, as the organization pulls its troops out after 18 years in Afghanistan. (Olivier Hoslet, Pool via AP)

President Joe Biden touches a piece of steel from the North Tower of the World Trade Center while visiting a memorial to the September 11 terrorist attacks at NATO headquarters in Brussels, Monday, June 14, 2021. (AP Photo/Patrick Semansky)

BRUSSELS (AP) — President Joe Biden appeared to be on the cusp of ending a long-running dispute with the European Union over airline subsidies, a major breakthrough in the U.S-EU relationship could come on the eve of his highly anticipated meeting with Russian President Vladimir Putin.

After a pair of summits with Group of Seven world leaders in the U.K. and then NATO allies in Brussels, Biden meets Tuesday with European Council President Charles Michel and European Commission President Ursula von der Leyen, where he was expected to discuss U.S.-EU relations and his meeting with Putin.

Early Tuesday, there were signs the two allies were moving to resolve a 17-year dispute over how much of a government subsidy each can provide for its aircraft manufacturing giant — Boeing in the United States and Airbus in the EU.

“I’m very positive and convinced that together we will deliver today,” von der Leyen told reporters hours before the Biden meeting in Brussels.

A person familiar with the discussions said the U.S. and EU officials have reached principles of an agreement on airlines subsidies. The person was not authorized to discuss the matter and spoke on the condition of anonymity.

The Financial Times was first to report that the sides are ready to secure a deal after two days of intensive negotiations and that it could be announced at the EU-U.S. summit.

The president has sought to marshal widespread European support for his efforts to counter Russia prior to his Wednesday meeting in Geneva with Putin. But the U.S.-EU relationship is not without its own tensions. The continent’s leaders are becoming impatient that Biden has not yet addressed Donald Trump’s 2018 decision to impose import taxes on foreign steel and aluminum.

Even without action on tariffs, White House officials expressed confidence that they can build more goodwill with Europe ahead of the face-to-face meeting with Putin.

The White House on Tuesday announced the creation of a joint U.S.-EU trade and technology council. The trans-Atlantic council will work on coordinating standards for artificial intelligence, quantum computing and bio-technologies, as well as coordinating efforts on bolstering supply chain resilience. Biden is appointing Secretary of State Antony Blinken, Commerce Secretary Gina Raimondo and U.S. Trade Representative Katherine Tai to co-chair the U.S. side of the effort.

The White House said the two sides will also discuss efforts to stem climate change and launch an expert group to determine how best to reopen travel safely as the coronavirus pandemic ebbs.

Biden started his day by meeting with Belgian King Philippe and Belgian Prime Minister Alexander De Croo.

The U.S.-EU summit is also expected to include a communique that will address concerns about China’s provocative behavior.

That statement would follow a NATO summit communique on Monday that declared China a constant security challenge and said the Chinese are working to undermine the global rules-based order. On Sunday, the G-7 called out what it said were China's forced labor practices and other human rights violations against Uyghur Muslims and other ethnic minorities in the western Xinjiang province.

Since taking office in January, Biden has repeatedly pressed Putin to take action to stop Russian-originated cyberattacks on companies and governments in the U.S. and around the globe and decried the imprisonment of Russian opposition leader Alexei Navalny. Biden also has publicly aired intelligence that suggests — albeit with low to moderate confidence — that Moscow offered bounties to the Taliban to target U.S. troops stationed in Afghanistan.

Both Biden and Putin have described the U.S.-Russia relationship as being at an all-time low.

The Europeans are keen to set up a “high-level dialogue” on Russia with the United States to counter what they say is Moscow’s drift into authoritarianism and anti-Western sentiment.

At the same time, the 27-nation bloc is deeply divided in its approach to Moscow. Russia is the EU’s biggest natural gas supplier, and plays a key role in international conflicts and key issues, including the Iran nuclear deal and conflicts in Syria and Libya.

The hope is that Biden’s meeting with Putin might pay dividends, and no one in Brussels wants to undermine the show of international unity that has been on display at the G-7 and NATO summits, according to EU officials.

In addition to scolding China, NATO leaders in their communique on Monday took a big swipe at Russia, deploring its aggressive military activities and snap wargames near the borders of NATO countries as well as the repeated violation of the 30-nations’ airspace by Russian planes.

They said Russia has ramped up “hybrid” actions against NATO countries by attempting to interfere in elections, political and economic intimidation, disinformation campaigns and “malicious cyber activities.”

“Until Russia demonstrates compliance with international law and its international obligations and responsibilities, there can be no return to ‘business as usual,'" the NATO leaders wrote. “We will continue to respond to the deteriorating security environment by enhancing our deterrence and defense posture.”

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Associated Press writer Paul Wiseman contributed to this report.