The United States and the European Union (EU) on Friday (August 2) signed a new agreement that will increase US beef exports to Europe over the next seven years.

"We've been under negotiation for quite a while," US President Donald Trump said at a signing ceremony at the White House. "The agreement we sign today will lower trade barriers in Europe and expand access for American farmers and ranchers."

The new agreement, which was approved by the European Council in July, will establish a duty-free tariff rate quota (TRQ) for American beef in the EU, according to the Office of the US Trade Representative (USTR).

Under the agreement, American ranchers will have an initial TRQ of 18,500 metric tons annually, valued at approximately US$220 million. Over seven years, the TRQ will grow to 35,000 metric tons annually, valued at approximately US$420 million.

"The establishment of this 35,000 metric ton duty-free quota sends the signal to America's cattle industry that Europe is ready for US beef," Jennifer Houston, president of the National Cattlemen's Beef Association, said in a statement.

Currently, US duty-free beef exports to the EU are only approximately 13,000 metric tons annually, valued at approximately US$150 million, according to the USTR's Office.

The beef deal came as the United States and the EU are working on a limited trade agreement that would cut tariffs for industrial goods. But the transatlantic trade talks have reached an impasse over whether to include agriculture in the negotiations.

Analysts said the prospect of a US-EU trade deal remains slim in the short term, as the two sides are fighting over subsidies on their respective aerospace companies, Boeing and Airbus, the threat of tariffs on European cars imported to the United States, as well as US tariffs on European steel and aluminum.

Trump has also threatened to impose tariffs on French wine after that country recently passed legislation to impose a new digital services tax that will particularly impact American technology companies.

It remains to be seen whether the digital tax dispute would overshadow US-EU trade talks before a multilateral agreement is reached.

 

                                                                     Source: NDO

Related Topics


Novel coronavirus may exist for a long time: expert

It is possible that the novel coronavirus disease (COVID-19) may exist for a long time like the flu, said a Chinese respiratory specialist.

ROK to push for inter-Korean railway, road reconnection project

The Republic of Korea (ROK) Unification Minister Kim Yeon-chul said Tuesday that the country will push for the project with the Democratic People's Republic of Korea (DPRK) to reconnect railways and roads across the inter-Korean border as well as other joint projects.

Hungary's Orban announces new climate action plan

Hungarian Prime Minister Viktor Orban on February 16 announced a new climate action plan and spoke about future challenges in his annual state-of-the-nation speech.

China reports 2,048 new confirmed cases of coronavirus infection, 105 new deaths

Chinese health authority Monday (February 17) said it received reports of 2,048 new confirmed cases of novel coronavirus infection and 105 deaths on Sunday (February 16) from 31 provincial-level regions and the Xinjiang Production and Construction Corps.

Indonesia to offer incentives to tourism to counter Covid-19 impact

The Indonesian Government is formulating incentives for tourism industry stakeholders such as hotels or airlines to counter negative impacts of the novel coronavirus (Covid-19), said Indonesian Minister of Finance Sri Mulyani Indrawati.

Damaging storms cause flash flooding, power outages, traffic chaos on Australia''''s east coast

Around 100,000 homes remain without power in Sydney on Monday (February 10), after the heaviest storm in 30 years lashed Australia's east coast.