EU buoyed as US tariffs on Spanish olives could be lowered
Spain’s olive oil association Asemesa has claimed a US court ruling could help lift some of the duties imposed by Donald Trump’s administration.
Spain – the world’s largest producer of olives and olive oil – has been hard hit by import duties of around 35% imposed in 2018.
In January 2019, the EU launched a case before the World Trade Organization (WTO) against the US challenging duties on imports of Spanish olives.
The EU opened legal action against the duties at the World Trade Organization a year ago.
US authorities have now said that some of the Commerce Department’s interpretations of the U.S. Tariff Act were arbitrary.
“The ruling is a very important endorsement of the EU’s legal action at the WTO,” said Asemesa, adding that duties could be lowered to 20% from 35% as a result of the U.S. court decision.
The EU added the decision could have far-reaching consequences for other agricultural sectors.
“US authorities have concluded that certain EU support measures for Spanish olive producers under the common agricultural policy (CAP) are contrary to WTO rules and can be countervailed. Given the importance of such support for EU farmers, the US measures could have far-reaching consequences for the EU's agricultural model and set precedents in the WTO,” it said.
Image: iStock/Crédits Dutodom
