Conversations between Brussels and Washington have intensified in recent weeks to formalize the agreement reached in Scotland. And despite settling the most important points that were left in the air, such as the tariff that will be applied to European cars, there are still fringes to close. Both powers will continue to negotiate to Agree a volume of steel and aluminum exports that are exempt from that 50% tax as well as a reduction at the general rate of 15% that will apply to EU distilled wine exports and drinks.
One of the points in negotiation since July is a system that allows you to import A certain amount of a steel and aluminum with a small tariff, compared to that 50% rate that the US executive finally established in July. Through this mechanism, in case that agreed volume would be overcome, a higher tax would be applied, that is, that 50%.
“For steel, the EU and the US intend to work on solutions that guarantee safe supply chains, including tariff installments, while cooperate in measures to protect their economies against excess capacity“, establishes the joint declaration. And both powers afflict the consequences of Chinese overproduction in this segment, which presses downward prices in both markets.
The other point still in negotiation, and of great importance for the community market, is the tariff that will finally apply to wine and distilled drinks. It is one of the claims that France has been doing, which saw a risk in which these products are subjected to the general tax of 15%. “There is a clear commitment of the European Commission to put on the table and expand the number of sectors that are an exception. One is that of distilled wines and drinks. The other is steel and aluminum. They are two sectors in which we are complementary to both sides of the Atlantic “the Commissioner of Commerce, Maros Sefcovic asked about this issue pointed at a press conference.
“I do not say that it will be easy, or that it will be next week. We are working on it since we started the negotiation in February,” added the head of Commerce. This was one of the most important offensive interests of the European Union. “Unfortunately, we fail to include this sector among those that would continue at the most favored nation level. I would like to add an important word, and we have not yet achieved it, “Sefcovic said.
Community sources have explained that both the EU and the US produce and consume spirits and spirits. Therefore, both sides of the Atlantic have specialized companies with an important social value and tradition. The idea of Brussels is to reach the liberalization of this sector, Reaching a greater balance in trade in this segment, clarified the same sources, lowering the tax that is applied to an almost zero tariff.
The same sources have confirmed that there is receptivity by the White House negotiating teams, so that results are produced. The Wine Balance is slightly unbalanced for Washington. The United States is the largest export market for EU alcoholic beverage. Last year, transatlantic exports of wine and spirits amounted to 9,000 million euros, more than half, about 4.9 billion correspond to wine.
