U.S. farmers predict big financial losses from EU import sanctions
The American Farm Bureau Federation has stepped up its lobbying on Capitol Hill to urge lawmakers to quickly bring the U.S. export tax program into World Trade Organization compliance.
Starting March 1, the European Union imposed higher tariffs on U.S. exports, including numerous American agricultural products. The U.S. export tax program, known as the Extraterritorial Income Exclusion, was ruled an illegal subsidy by the WTO in 2000.
“The EU sanctions could result in heavy losses to U.S. farmers and ranchers if Congress doesn’t act soon,” warned American Farm Bureau Federation president Bob Stallman in a statement. “Not only is the U.S. agriculture industry facing higher tariffs on soybean meal and other commodities that only apply to U.S. products, we are competing with products from other countries with lower tariffs.”