US Tariff Hike Threatens Spanish Olive Oil Dominance in American Market

The Spanish association of the olive oil industry and trade (Asoliva) has expressed the fear of producers in the face of the imposition by the United States of customs duties of 15% on all products from the European Union. The American market is the main destination for Spanish olive oil. The country imports some 430,000 tons per year, of which about 300,000 tons are of Spanish origin, directly and indirectly," explains the association cited by El Debate.

This 15% rate will lead to a loss of competitiveness for EU exporters who will be forced to raise prices. "It is true that American consumers have always had a preference for Spanish olive oil, but the increase in the price of this product could encourage them to opt for olive oils such as those from Morocco or Turkey, which are in principle subject to a 10% tax," fear the Spanish producers.

The imposition of the 15% US customs duties is "very bad news for a sector that, in recent years, has invested a lot in infrastructure, marketing and promotion of Spanish olive oils on a leading market for our country," adds the association, noting that this measure "could lead to the economic deterioration of the entire chain of a sector that has an economic value of 6 billion euros and represents 12% of Spain’s food exports".