Document: US_tariffs_on_EU_products_18.10.2019.pdf

Agricultural machinery excluded from the extensive list of targeted products

The United States has set up tariffs on $7.5 / €6.8 billion of European Union goods, following the WTO ruling on Airbus where the list of goods primarily targets imports from France, Germany, Spain and the United Kingdom which were the countries providing subsidies to the Airbus initiative. Unfortunately, this situation has heavily impacted the agricultural sector. A 25% tariff has been applied to goods ranging from oil olive to cheese, pork meat, Scotch whiskey among other 125 products. Capital goods have been also affected and construction equipment from Germany and the United Kingdom are part of the list.

On 18 October, the tariffs entered into force. In response to the US decision, Cecilia Malstrom, European Commissioner for Trade stated we regret the choice of the U.S. to move ahead with tariffs. This step leaves us no alternative but to follow through in due course with our own tariffs in the Boeing case, where the U.S. has been found in breach of WTO rules.(…) The Commission will monitor the impact of the announced U.S. countermeasures on the European products concerned, notably in the agricultural sector. The European Commission is committed to defending European companies, farmers and consumers.”

CEMA deeply regrets the sanctions that collaterally affect the agricultural sector not having any relation with aircraft industries. This situation will trigger losing markets for producers and investors trust as well as an increase of consumer prices. This regretable situation undermines a long established trade tradition between both sides of the Atlantic.