MEP urges against proposed new US animal feed tariffs

MEP Ciaran Mullooly
MEP Ciaran Mullooly

MEP Ciaran Mullooly has pressed European Commissioner for Agriculture and Rural Development, Christophe Hansen, on the proposed new European Union (EU) tariffs of 25% on animal feed product imports from the United States (US).

These tariffs are part of a larger suite of countermeasures proposed by the EU, in response to the newly imposed US tariffs of up to 25% on imports of steel, aluminium, and certain products containing steel and aluminium from the EU.

According to the European Commission, the proposed list of imported commodities are under stakeholder consultation until March 26, with finalisation expected sometime after April 2.

The US measures implemented on March 12, consist of three key elements:

  • Reinstating the 2018 tariffs on steel and aluminium products, such as steel pipes, wire and tin foil, initially introduced during President Donald Trump's first administration;
  • Increasing the tariffs imposed on aluminium from the original 10% to 25%;
  • Extending the tariffs to other products, including cooking ware, window frames, machinery, gym equipment, certain electrical appliances and furniture.

In addition, the US secretary of commerce outlined his intention to establish a more comprehensive list of steel and aluminium derivative products subject to additional duties of up to 25% by May 12, 2025.

According to the EU commission, the new US tariffs will affect a total of €26 billion of EU exports, which corresponds to approximately 5% of total EU goods exports to the US.

Based on current import flows, this will result in US importers having to pay up to €6 billion in additional import tariffs.

According to MEP for the Midlands North West, Ciaran Mullooly, the prospective new EU tariff on animal feed imports will have a disproportionate impact on European farmers.

Addressing Commissioner Hansen, Mullooly said: "You speak very well of trying to create a predictable and a fair income for agri-food and for other key sectors, yet I have to bring to your attention to the very unfair and disproportionate impact that the recently announced EU tariffs will have on Ireland's livestock sector."

The MEP also noted that distillers' grains and corn gluten feed are reportedly "essential components of Irish animal feeds", accounting for 30% of all animal feed used in Ireland.

According to Mullooly, the tariffs will increase the price of animal feed at the farm gate by approximately €15/t and with imports of over 5.7 million tonnes of animal feed annually, this rise will equate to an extra Irish farming burden of approximately €85 million per year.

Ireland's vulnerability is particularly pronounced due to its reliance on US imports, the MEP stated, before appealing to Hansen to remove the aforementioned commodities from the proposed list.

"We import 60% of the EU's total distillers' grain imports and 98% of the corn gluten feed imports from the US.

"Crucially, there's no alternative supply source for corn gluten feed outside the United States and there's no surplus of distillers' grain within the EU to offset the suppliers' perception. What are we to do, commissioner? Take it off the list, I appeal to you, take it off the list," he said.

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Commissioner Hansen acknowledged the provisional nature of the tariff list, stating: "This list that is out there is a provisional list and now stakeholders have the opportunity to reply to that and to make their comments on what is necessary and what is not necessary."

He indicated his preference for the removal of some of the products from the proposed list as a means of potentially encouraging US negotiations.

MEP Mullooly reiterated the need for urgent action to protect Irish farmers, emphasising the importance of a fair income for the agri-food sector.

He called on Commissioner Hansen to prioritise European farmers' interests in upcoming trade negotiations.

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