EU Suspends Plans to Raise Tariffs on U.S. Whiskey, Other Goods
On Monday, the EU agreed to postpone plans to raise tariffs on American goods, including whiskeys, motorcycles, boats, and other items. The plan was set to take effect on June 1 but has now been pushed back due to the start of negotiation talks with the Biden administration that seek to lift US steel tariffs. The US and EU released a joint statement pledging to address problems plaguing the global steel and aluminum industry, agreeing to settle the dispute that initially led to the tariffs. These talks will likely include discussions as to how the overproduction of steel in China depresses prices and harms domestic metal producers.
The tariffs pending for June would have impacted roughly $4 billion in US exports to the EU. They were first announced three years ago when the Trump administration imposed global tariffs on steel and aluminum. The subsequent EU tariff elevation on American goods was created in retaliation. Distillers across the US are relieved at the announcement after preparing for a 50% tariff on American Whiskeys that would have forced many craft distillers out of the EU market.