US agricultural imports

EU Reinstates Ukrainian Grain Quotas, Sparking Farm Protests

The EU will reinstate pre-war trade restrictions on Ukrainian agricultural imports in June, reverting to 2017 tariff rate quotas (TRQs) instead of the temporary measures implemented after Russia’s invasion. This decision, impacting key exports like poultry, maize, and eggs, is projected to cost Ukraine’s agri-food sector €3-3.5 billion annually, a figure disputed by the Commission. The move has drawn sharp criticism from Ukrainian officials and EU agricultural organizations, who argue the transition back to TRQs undermines the support offered to Ukraine. The European Commission maintains the temporary solution prevents trade disruptions and denies abandoning Ukraine.

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Mexico Prepares Retaliatory Tariffs Targeting US Agriculture

Mexican President Claudia Sheinbaum stated that while she doubts the U.S. will impose tariffs on February 1st, Mexico has prepared retaliatory tariffs targeting specific U.S. goods, primarily from regions that strongly supported President Trump. These retaliatory tariffs would initially exclude the automotive sector but could include products like pork, cheese, and alcoholic beverages. However, Commerce Department nominee Howard Lutnick suggested that the threatened tariffs on Mexico and Canada could be avoided if border security measures are improved, indicating a possible link between trade and immigration concerns. Lutnick also advocated for broader, country-by-country tariffs to achieve reciprocal trade practices.

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