U.S. Wheat Associates (USW) and the National Association of Wheat Growers (NAWG) congratulate the Biden Administration and U.S. Trade Representative Katherine Tai for resolving the long-running World Trade Organization dispute over aircraft subsidies and suspending retaliatory tariffs that were a barrier to U.S. wheat exports to the European Union.
Under the dispute, the EU placed retaliatory tariffs on non-durum U.S. wheat, which effectively blocked average annual imports of more than 538,000 metric tons of mainly U.S. hard red spring and some hard red winter wheat. Three months ago, the United States and the EU agreed to temporarily suspend all retaliatory tariffs and imports resumed almost immediately.
The agreement announced this week suspends the retaliatory tariffs for five years, pending how negotiations on aircraft subsidies go. That is welcome news for wheat farm families in the Northern and Central Plains.