Source: Oleoscope (Russia)
The European Commission has presented a strategy for the development of EU agriculture until 2040. Among other things, the roadmap announces measures to restrict or completely ban the import of agricultural products containing pesticides banned in the Union. Control over compliance with EU standards will be tightened already this year.
Although the draft does not contain a specific list of banned pesticides, the new restrictions, according to analysts of the Financial Times, may primarily affect imports of U.S. soybeans.
The Trump administration has criticized the move. The White House said that the US President will defend the interests of American farmers, and in response Washington plans to impose reciprocal tariffs on imports of goods from the EU. Earlier, on February 13, Trump called Europe a very difficult trading partner for the US because the EU enjoys many advantages and imposes high taxes against US companies to benefit.
Morgan Stanley analysts, meanwhile, expect the restrictions to cost not only the EU, but also a number of other countries, including Japan, Thailand and South Korea. On average, duties for them will increase by 4-6%.
