Rabobank: A U.S.-EU trade war would result in dairy winners and losers
U.S. specialty dairy manufacturers would be among the winners.
The makings of a trade war between the United States and the European Union (EU) are brewing. On April 12, 2019, the United States Trade Representative (USTR) said it is considering levying additional tariffs on European products included in 317 tariff codes, valued at approximately USD $21 billion.
The recent announcement publicizes a more-than-a-decade-old dispute between the United States and the EU, according to a new report from Rabobank, Utrecht, Netherlands. While butter, cheese, and yogurt imports account for a small percentage of U.S. supply and EU exports to the United States represent a small percentage of European output, additional tariffs on selected European dairy exports to the United States will create winners and losers in the latest trade saga.