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USTR Should Drop Tariffs on Imported Food, Beverages From EU, Senators Say

U.S. Trade Representative Robert Lighthizer should end the Section 301 tariffs on food and drink from the European Union, more than a dozen senators said in an Aug. 7 letter. “Hiked prices on cheese, wine, meat, fruit, olive oil and other food and beverages from the EU have caused an increased financial strain on families trying to put food on their tables and restaurants trying to keep their doors open during the economic crisis caused by the pandemic,” said Sen. Thom Tillis, R-N.C., in an Aug. 10 news release about the letter.

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The 25% tariffs continue to add a financial burden “and the COVID-19 pandemic has only compounded the harm,” they said. “Demand for these goods has declined, leaving importers and distributors with months’ worth of product, much of it perishable, in storage and in transit with no clear end date for the COVID-19 pandemic.” Also, the “tariffs on these products may inflict additional harm on U.S. exports of agricultural products that sustain these industries,” the lawmakers said. “Similarly, the EU is imposing retaliatory tariffs on U.S. food and beverage products and threatening to impose more tariffs in its parallel case against U.S.” at the World Trade Organization.

The request comes as the Lighthizer may be nearing a decision on whether to increase tariffs on the products already targeted in the Airbus dispute or add other EU products to the list (see 2006240017). The agency previously went through a similar process but made only minimal changes to the existing list of products subject to the tariffs (see 2002180040).