WILLAGRI
European food exporters are bracing for a potential impact of tariffs imposed by Donald Trump, which are aimed at favouring US agricultural producers. European products, including olive oil, wine and dairy products, are likely to be affected, which could disrupt trade flows between the US and the EU. European companies are considering various strategies to adapt, such as reducing prices or investing in local production in the United States. Trade tensions and tariffs could also redefine the dynamics of global trade.
Trump’s tariffs are aimed at encouraging consumption of U.S. agricultural products, which worries European exporters. European agri-food exports to the US, dominated by high-value products, are crucial for the EU, while the US mainly exports commodities. The imposition of tariffs could lead to lower demand for some price-sensitive European products, such as butter, but less for premium products such as premium cheeses. European companies are considering responses such as maintaining prices, cutting costs, exiting the US market or investing locally. Trump’s tariff strategy could disrupt global trade flows and affect other sectors, such as agricultural machinery.
The Bloomberg: Bloomberg