Source: Ukragroconsult (Ukraine)
On March 12, the European Union implemented tariffs on American goods valued at $28 billion, which include several important agricultural products, notably soybeans and almonds, as reported by UkrAgroConsult and referenced by Progressive Farmer.
This measure from Europe was a reaction to the 25% tariffs that U.S. President Donald Trump placed on all imports of steel and aluminum. Ursula von der Leyen, the president of the EU, noted that these U.S. tariffs would affect European exports totaling approximately $28 billion. The European Union’s tariffs are set to come into effect on April 1.
“We are profoundly disappointed by this situation. Tariffs act as taxes. They negatively impact businesses and have an even more detrimental effect on consumers. Such tariffs interfere with supply chains, create economic uncertainty, jeopardize jobs, and lead to rising prices in both Europe and the United States. The European Union has to take measures to safeguard consumers and businesses. The actions we are undertaking today are significant but measured,” von der Leyen articulated.
The five most valuable U.S. agricultural products exported to the EU include soybeans ($3 billion), almonds ($1.2 billion), pistachios ($689 million), whiskey ($533 million), and cooking products ($521 million).
Included in the tariff list are soybeans, almonds, spirits, cooking products, dairy items, and pork products.
The EU imports around 6.5 million tons of soybeans and soybean meal from the U.S., which is valued at approximately $3 billion.
In the marketing year 2024/25, which commenced on September 1, 2024, European nations have imported 4.5 million tons of soybeans, marking an increase of 710,000 tons compared to the same timeframe in MY 2023/24. Data from the USDA indicates that Spain, the Netherlands, and Germany are the top purchasers.
The European Union represents a significant market for almonds, particularly benefiting countries such as Germany, the Netherlands, and Italy.
Wine is also noteworthy, with U.S. exports to the EU valued at approximately $170 million.
Regarding dairy products, the U.S. exports roughly $115 million worth to the EU while importing about $3 billion worth of dairy.
In summary, there exists a substantial agricultural trade deficit for the U.S. with the EU, as it imports an estimated $36 billion in agricultural goods while exporting around $13 billion.