The EU and US has agreed to the suspension of all tariffs on exports imposed due to the Airbus-Boeing aircraft dispute for an initial period of 4 months, beginning on 11th March.
While the dispute concerns the aviation industry, tariffs were applied to a number of other sectors, with agri-foods exports being significantly targeted with punitive measures. Irish dairy exports of butter and cheddar in particular were collateral damage in this dispute and were subject to an additional tariff of 25% since October 2019, amounting to a cost approximately €50 million in the last year alone.
This positive development is the result of consistent engagement by EU and Irish officials and businesses with the US trade administration and is a very welcome sign of the beginning of a more constructive and beneficial relationship with the US going forward. It is now necessary to continue this positive momentum and for both sides to work towards a permanent solution before the next review, scheduled for summer 2021.
Alison Graham – European Affairs Executive
28 May 2021