The Association of Exporters (ADEX) highlighted the recent Executive Order issued on Friday, November 14 by the Government of Donald Trumpwhich excludes a set of Peruvian agricultural products from the reciprocal tariff applied by the United States. The measure, according to the union, improves access conditions and directly benefits a significant part of national exports.
According to an analysis by the Research Center for Global Economy and Business (CIEN-ADEX), The new provision eliminates the application of the reciprocal tariff to 237 agricultural subheadings of the Harmonized System of the USA (HTSUS). Of these, 79 subheadings correspond to products that Peru sends to that market.
According to figures from the United States International Trade Commission (USITC), the Peruvian products included in this exclusion reached an export value of US$ 1,126 millionwhich represents the 11.7% of the total Peruvian shipments to the United States (US$ 9,605 million).
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From when does the exclusion of the reciprocal tariff apply?
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Gabriel Arrieta Padilla, Head of Economic Studies and Trade Intelligence at CIEN-ADEX, pointed out that the 79 products included in the list will stop paying the additional tariff that President Donald Trump had imposed in April, that is, the tariffs that were in effect before the change will now be applied to them.
“We will have to review product by product, and see if there is a rate or if it is already liberalized at 0%,” He indicated to Management.
Padilla explained that although the measure was published on November 14, it applies to products that entered since November 13.
“In the rule presented by President Trump on the 14th, it is indicated that it will be backdated until November 13. There is only one day difference between the application and the declaration,” noted.
The three top products that have not been included
The head of Economic Studies and Commercial Intelligence at CIEN-ADEX explained that three top products have not been included in the list.
“When we analyze this bilateral relationship between Peru and the United States, we have products such as, for example, blueberries, grapes and asparagus, (which have not been considered in the list). That is, they will continue paying the additional tariff that was stipulated since April,” he referred.
He recalled that in September an annex was published indicating which products the United States would not consider for future negotiations to eliminate the additional tariff. Among them are: blueberries, grapes and asparagus.
Main benefited products
The union explained that the measure especially favors the country’s emblematic agricultural products. The top 5 excluded subheadings concentrate the 72% of the total value benefited. Among them are:
- Unroasted, undecaffeinated coffee
- Fresh or dried avocados
- Cocoa butter, fat and oil
- Fresh mangoes and mangosteens
- Ginger without crushing or grinding
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The president of ADEX, César Tello Ramírezstated that the decision “It constitutes an important step in improving access conditions” and “reinforces the predictability for Peruvian products in the US market”, the main destination for non-traditional exports.
Likewise, he called on the Peruvian Executive to continue managing the elimination of the reciprocal tariff for other subheadings, particularly those of the textile-clothing chainwhich could face disadvantages compared to exporters from Central American countries such as El Salvador and Guatemalacurrently in bilateral negotiations with the United States.
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The list of excluded products released by Washington includes, in addition to fruits and vegetables, livestock products, bakery supplies, juices and certain chemical-fertilizers of chapters 31 and 33 of the Harmonized System.
ADEX stressed that this flexibility of the reciprocal tariff strengthens Peruvian competitiveness in a key market and opens a window of opportunity to continue expanding the exportable supply.
