WASHINGTON, D.C. – Today, U.S. Senator Thom Tillis (R-NC) and his colleagues sent a bipartisan letter to United States Trade Representative (USTR) Ambassador Robert Lighthizer calling to end tariffs on imported food and beverages from the European Union (EU) imposed by USTR. Hiked prices on cheese, wine, meat, fruit, olive oil and other food and beverages from the EU have caused an increased financial strain on families trying to put food on their tables and restaurants trying to keep their doors open during the economic crisis caused by the pandemic.

“Restaurants, retailers, grocers, importers and distributors, many of which are small, locally-owned businesses, have experienced severe economic hardship due to the increased cost of goods,” the senators wrote. “We appreciated the Administration’s decision earlier this year to not increase the tariffs; however, the negative economic costs of the remaining 25 percent tariffs continue and the COVID-19 pandemic has only compounded the harm.” 

“Demand for specialty goods has declined, leaving importers and distributors with months’ worth of product, much of it perishable, in storage and in transit with no clear end date for the COVID-19 pandemic,” the letter continued. “Consumers are wary of increased prices during this uncertain time and the tariffs create an additional burden.”

The 25% tariffs imposed in October 2019 are related to a nearly 15-year-long dispute between the U.S. and the EU over subsidies for airplane manufacturers.

A copy of the letter can be found here and below.

Dear Mr. Ambassador: 

We write today to request the removal of the Section 301 tariffs that were placed on food and beverage specialty products from the European Union in October 2019 in relation to the World Trade Organization Large Civil Aircraft dispute. 

Restaurants, retailers, grocers, importers and distributors, many of which are small, locally-owned businesses, have experienced severe economic hardship due to the increased cost of goods. We appreciated the Administration’s decision earlier this year to not increase the tariffs; however, the negative economic costs of the remaining 25 percent tariffs continue and the COVID-19 pandemic has only compounded the harm. Demand for specialty goods has declined, leaving importers and distributors with months’ worth of product, much of it perishable, in storage and in transit with no clear end date for the COVID-19 pandemic. Consumers are wary of increased prices during this uncertain time and the tariffs create an additional burden. Furthermore, tariffs on these products may inflict additional harm on U.S. exports of agricultural products that sustain these industries.

We respect the need for a response to the unfair subsidies provided by the European Union (EU) to Airbus, and appreciate your efforts in the ongoing dispute in a manner that protects American workers and businesses. Though we understand the intricacies of the ongoing trade negotiations with the European Union, the stress that has been placed on businesses in our states is significant. These industries have been hit hard by the pandemic and we encourage you to avoid subjecting workers and businesses that depend on these products from further economic harm.

Thank you for your continued attention to this urgent matter. If you have any questions, please do not hesitate to contact our offices.

Sincerely,

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