The export survived the disaster of Coronavirus, it’s at risk of explosion because of President Trump.
In the US blacklist of products under consideration for new duties, there are Italian wines, oils, pasta but also some (made in Italy) cookies and our coffee: the estimated value is a loss of three billion euros.
Duties from 25 to 100% would declare the death of the Italian exports: last year the export value of our agri-food products was 4.7 billion, with a + 10% registred in full pandemic at the beginning of the Covid emergency.
After the entry into force on October 18th 2019 of additional tariffs of 25% to products that are symbols of Made in Italy which hit a value of half a billion euros for Italian specialities such as Parmigiano Reggiano, Grana Padano, Gorgonzola, Asiago, Fontina, Provolone but also salami, mortadella, crustaceans, molluscs citrus fruits, juices and liqueurs such as Amari and Lemoncello, Trump threatened to increase tariffs up to 100%.
A hard whack on made in Italy
The blacklist, fresh of updates with the list of products and countries that risk an increase of duties, it’s a clear retaliation who following the European Union’s decision to close the borders, among the others, to the United States, Russia and Brazil from July 1st.
In this context, Italy risks losses of around 35% of the export turnover.
Would be penalized the Italian products most loved by Americans, such as wine which alone represents 1.5 billion euro of the Italian exports, olive oil, the second best-selling tricolour agri-food product in the States, for a value of 420 million euros last year then the pasta with 349 million.
At this point would be essential to use all diplomatic synergies in order to overcome unnecessary conflicts that risk compromising the recovery of the world economy, hard hit by the emergency, protecting the importance of a strategic sector for the EU that is paying a very high cost for commercial disputes that have nothing to do with the agricultural sector.
The hot front of tourism
Limiting the accesses, from which Italy has a lot to lose, not only for the potential American retaliation, it’s a pain but necessary decision: the United States is currently the country most affected by the pandemic, just because of the too high risk of a contagion, the European Union was forced to forbids the access to almost one and a half million American tourists, and this is another serious economic loss.
The loss of US tourists is particularly heavy because they have a high budget, with a total summer expenditure of 1.8 billion in Italy, equal to almost 29% of the total expenditure of non-EU citizens in the Peninsula during the months of July, August and September.
The preferred destinations are the cities of art that will suffer most notably from their absence, but also because the Americans pay particular attention to the quality of the food for which they assign a high part of their spending during the holiday.