The European Dairy Association (EDA) has asked the new U.S. President Joe Biden to lift the recently imposed import tariffs on European cheese. European dairy companies and American cheese importers are complaining about severe economic damage caused by this new levy.
The World Trade Organization (WTO) granted the United States punitive tariffs at the end of last year because the EU excessively subsidized its aircraft manufacturer Airbus. The American importers complained in a letter to Biden that the punitive tariffs on cheese remain unfair.
In addition, the EDA draws attention to the already difficult situation of dairy factories due to the coronavirus pandemic and emphasized the losses for American consumers caused by expensive cheese imports.
The new American president is being asked to remove cheese from the sanction list. The EU expects an amicable resolution to the trade dispute over aircraft subsidies and hopes that after the presidential transition the U.S. will be more willing to find a negotiated solution.
Joe Biden has already stated that he will approach several aspects of his international trade policy differently. As a first step, he wants to rejoin the U.S. to the Paris Climate Agreement. He also wants to collaborate more with the EU in response to the growing Chinese expansion.
European cheese exports grew again over the past year, including to the U.S. The export figures for cheese outside Europe show little impact from the coronavirus crisis. Export volumes in the first three quarters were significantly higher than in previous years.