The EU has published a legislative proposal to implement its commitments to reduce tariffs on U.S. industrial goods and certain seafood and agricultural goods. Tariffs on lobster imports are addressed in a separate proposal.
U.S. industrial goods and certain seafood and agricultural goods
The listed U.S. industrial goods should not be subject to any tariffs. The items listed in Annex I include various items across multiple chapters of the EU Customs Tariffs. This tariff elimination should extend the tariff-free treatment to the remaining 34% of goods that were subject to EU tariffs in 2024.
For some agricultural goods in Annex II, the EU proposes to eliminate the ad valorem component but to keep the specific tariff, which depends on import prices. For instance, fresh table grapes under 0806 10 10 are subject to a tariff of 17.6% and EUR 1.1 per 100 kg net if the entry price from July 21 to October 31 is between EUR 53.5 and EUR 54.6. The 17.6% tariff should be eliminated, but the EUR 1.1 tariff is maintained.
The U.S. goods listed in Annex III will be subject to EU quotas. Pigmeat, bison, dairy products, cheese, nuts, soybean oil, some animal feed preparations, Alaska pollock, squid, unprocessed and processed salmon, prepared shrimp, hake, dogfish, mannitol, sorbitol, some non-alcoholic beverages, odoriferous substances, and dextrin should be subject to no tariff. Some other goods, including cocoa powder and chocolates and some food preparations of Chapter 19 and 21, except for a few products with no tariff, should be subject to ad valorem tariff from 1% to 3.9% and/or specific tariff.
The EU will suspend the above measures in whole or in part if the U.S. fails to implement its commitments under the Framework Agreement, or there are sufficient indications that it will happen in the future; if there are changes of objective circumstances from those that existed at the time of issuing the Framework Agreement; and if imports volume cause or threaten to cause serious injury to EU's domestic industries.
Once the proposal is adopted, it enters into force on the first day after its publication in the EU's Official Journal.
Imports of Lobster
With regard to imports of lobster, the EU proposes to continue the non-application of tariffs on certain types of lobster and to additionally exclude processed lobster from any tariff.
The proposal also provides for the suspension provision, which is worded in a similar way to that found in the proposal on industrial goods and certain seafood and agricultural goods. However, it excludes injury to the EU's domestic industry as a suspension ground.
Unlike the proposal on industrial goods and certain seafood and agricultural goods, the tariff elimination will be applicable with a retroactive effect. For that reason, importers may request a refund of the paid tariffs from August 1, 2025, until the entry into force of the proposal.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
