Cause for Optimism On EU/UK Tariff Resolution by late 2021

Since June of 2018, the European Union (EU) has applied retaliatory tariffs of 25% on the import of select U.S. agricultural products, including dry beans. The tariffs were applied in response to a U.S. section 232 case that resulted in the application of tariffs on imports of European steel and aluminum. Almost since the day the tariffs went into effect, USDBC has been advocating for their removal. USDBC made multiple requests to the administration to step in and end the trade dispute. Many USDBC members have reached out to their respective Congressional reps repeatedly. A fresh round of letters asking for the removal of dry beans from the EU’s retaliation list was sent earlier this year. Since last year, coinciding with Brexit, USDBC has run a separate campaign through its European office to have dry beans removed from Britain’s retaliatory list. USDBC has also been present at numerous hearings on the matter in the UK and has submitted formal commentary to the UK Department of Trade during the hearing process.

Earlier this month the UK government announced its determination at the conclusion of the commentary period to remove dry beans from the retaliation list, this is expected to take three to four months. At the same time, during several conferences held between U.S. and EU trade authorities on the sidelines of the recent G-7 meeting in the UK, EU trade authorities also announced their optimism that the U.S./EU 232 tariff dispute will be resolved by years’ end resulting in the removal of 25% tariffs on imports of U.S. dry beans.

While there are still details to confirm and some more work to be done, indications are the by the end of 2021, 25% retaliatory tariffs on imports of U.S. dry beans to the UK and the EU, will be removed. We will continue to monitor and report on this situation as soon as final determinations are issued.