U.S. Wheat Associates and the National Association of Wheat Growers welcomed the announcement that the United Kingdom and the U.S. dropped competing tariffs. The two sides agreed to a five-year moratorium on retaliatory tariffs for large civil aircraft subsidies.
This break suspends retaliatory tariffs the UK had in place on non-durum U.S. wheat imports. The long-running dispute at the World Trade Organization allowed the UK and the EU the right to impose tariffs on non-durum U.S. wheat imports, which mainly impacted hard red spring and some hard red winter wheat.
“The wheat industry is thankful to President Biden and Ambassador Tai’s commitment to prioritize the trade relationships between the United States, European Union, and now the United Kingdom,” says Wheat Growers CEO Chandler Goule.
“Each five-year truce with the U.K. and the European Union removes a significant trade barrier on wheat exports and provides long-term certainty for wheat growers in the Upper Midwest.”
Wheat Associates President Vince Peterson is hopeful that this agreement provides the basis for an open dialogue on trade that will pre-empt the use of retaliatory tariffs in the still unresolved steel and aluminum dispute between the U.S. and the UK.