European Council Approves EU-US Tariff Package, Awaits Parliament Approval

The European Council approved a tariff package that would eliminate customs duties on U.S. lobster imports in exchange for reduced U.S. duties on several European Union products, including prepared meals, crystal glassware, surface preparations, propellant powders and lighters (see 2008210028). The package, which the European Union said would be the first EU-U.S. tariff reduction in two decades, could increase market access for both EU and U.S. traders by about $240 million per year, the council said in a Nov. 18 news release. The package needs European Parliament approval. If enacted, it would take effect retroactively from Aug. 1 for five years.

“This tariff package entails benefits for both sides and reduces the cost of imports during the critical period of the COVID-19 pandemic,” Trade Council President Peter Altmaier, of Germany, said in a statement. “It is time to move forward, deepen our transatlantic cooperation and solve our outstanding disputes.” The Office of the U.S. Trade Representative did not comment.