ROME, (Reuters) – The United States of America and the European Union have ended a dispute about steel and aluminium prices and agreed to work together on a global deal on steel or aluminium. This would help combat overproduction and “dirty” production in the sector.

U.S. President Joe Biden declared that the United States of America and the European Union had made “a great breakthrough” to address climate change, while simultaneously protecting American workers and industry.

Biden, speaking at a news event jointly with Ursula von der Leyen (head of European Commission), stated that the EU-US deal immediately lifted tariffs on EU aluminium and steel which had been imposed by Donald Trump in 2018.

The EU responded by removing tariffs from U.S. goods like powerboats and whiskey (NYSE:), motorcycles. This was in response to the steel- and aluminium tariffs.

The United States and European Union are not content with merely returning to 2018’s status quo, but will also work together to address climate change and overcapacity in steel production. This industry is one of the largest CO2 emitters worldwide.

Von der Leyen stated that the global agreement would be a new tool for us in our pursuit of sustainability and climate neutrality. It will also ensure a level playing ground for our steel- and aluminum industries.

This global agreement is expected to be reached over the next 2 years in order to promote “green” steel and aluminium production. All countries interested will be allowed to join.

Biden stated that the international agreement would limit access to U.S. market for steel “dirty,” from China, and prevent steel dumping from other countries.

In a statement, the EU Commission explained that “The Global Arrangement will attempt to ensure long-term viability our industries, encourage low carbon intensity steel and aluminium manufacturing and trade, restore market-oriented circumstances,”.