Rising meat prices due to customs conflict: EU and USA in trade dispute!

Rising meat prices due to customs conflict: EU and USA in trade dispute!

The trade conflict between the EU and the USA is gaining momentum again and could have a significant impact on food prices in Europe. The background is the new tariffs on aluminum and steel products that were put into effect by US President Trump on Friday night. These tariffs also affect the German market and could drastically increase meat prices. According to Hermann-Josef Baaken, managing director of the German Animal Food Association, it is conceivable that meat prices will rise significantly due to increased procurement costs for soy, since the USA is the largest soybean supplier to Europe. Soybean meal, an important animal feed, is central to animal production in Germany, and tariffs on soy could have a devastating impact on livestock farmers' costs, Handelsblatt also reported.

Counter tariffs from the EU are on the way

In response to the US tariffs, the EU Commission has already announced counter-tariffs. Commission President Ursula von der Leyen emphasized that they were “well prepared” and would “react cleverly”. Tariffs on American products such as whiskey, jeans and motorcycles are planned to come into force in April. In addition, further tariffs on agricultural products, including soy products, could follow, which is likely to further exacerbate the consequences for consumers. “It is currently impossible to estimate how high price increases could be,” says Steffen Reiter, managing director of the German Meat Industry Association.

The 25 percent tariffs on steel and aluminum imports implemented by the Trump administration represent an unprecedented challenge for the European economy. The EU wants to ensure that the negative impact of these trade measures on consumers and industry in Europe is minimized. In this context, the new tariffs apply not only to US imports but also to domestic products, sparking a broader debate about the reliability of the US as a trading partner. These developments are of great importance as they could fundamentally change the trade structure between Europe and the USA, as ZDF reported.