November 11, 2020
On Monday, the European Union slapped new tariffs on in-shell peanuts, peanut kernels, and peanut oil at a level of 25%. The tariffs went into effect on Tuesday, November 10, 2020.
The tariffs are authorized by the World Trade Organization. This is in retaliation by the European Union against the U.S. over government subsidies of Boeing and Airbus.
Export markets are of tremendous importance to the U.S. Peanut Industry. Unfortunately, we continue to lose market access due to non-tariff trade barriers including inconsistent sampling and testing methods and procedures at destination ports for aflatoxin and pesticide residues. This direct tariff barrier is another example of the EU taking steps to limit the ability of US peanuts and agriculture to compete fairly in this key market. While we firmly believe US peanuts can compete in open, fair, and competitive markets, this action by the EU will make US peanuts 25% more expensive than other origins such as Argentina and Brazil.
On behalf of the U.S. Peanut Industry, the United States Peanut Federation(USPF) has been actively working on trade issues with Capitol Hill as well as key leadership at USDA and USTR. The USPF will continue working to protect European market access for US peanuts against this latest round of tariffs.