Beginning on Friday, June 22, 2018, US exports to the European Union will face an extra duty at their border. These products include U.S. steel and aluminum products, agricultural goods, and a combination of various other products. The full list is available here. The various products include the following fashion and apparel articles, which will each be assessed an additional 25% ad valorem tariff penalty:

  • 61091000        T-shirts, singlets and other vests of cotton, knitted or crocheted
  • 61099020        T-shirts, singlets and other vests of wool or fine animal hair or man-made fibres, knitted or crocheted
  • 61099090        T-shirts, singlets and other vests of textile materials, knitted or crocheted (excl. of wool, fine animal hair, cotton or man-made fibres)
  • 62034231        Men’s or boys’ trousers and breeches of cotton denim (excl. knitted or crocheted, industrial and occupational, bib and brace overalls and underpants)
  • 62034290        Men’s or boys’ shorts of cotton (excl. knitted or crocheted, swimwear and underpants)
  • 62034311        Men’s or boys’ trousers and breeches of synthetic fibres, industrial and occupational (excl. knitted or crocheted and bib and brace overalls)
  • 62046231        Women’s or girls’ cotton denim trousers and breeches (excl. industrial and occupational, bib and brace overalls and panties)
  • 62046290        Women’s or girls’ cotton shorts (excl. knitted or crocheted, panties and swimwear)
  • 63023100        Bed linen of cotton (excl. printed, knitted or crocheted)
  • 64035995        Men’s footwear with outer soles and uppers of leather, with in-soles of >= 24 cm in length (excl. covering the ankle, incorporating a protective metal toecap, made on a base or platform of wood, without in-soles, with a vamp or upper made of straps, indoor footwear, sports footwear, and orthopedic footwear)

In a press release, the EU indicated it will rebalance bilateral trade with the US taking as a basis the value of its steel and aluminum exports affected by the US measures. Those are worth €6.4 billion. Of this amount, the EU will rebalance on €2.8 billion worth of exports immediately. The remaining rebalancing on trade valued at €3.6 billion will take place at a later stage – in three years’ time or after a positive finding in WTO dispute settlement if that should come sooner.

The EU indicated that its rebalancing measures will be effective for as long as the US measures are in place, in line with the WTO Safeguards Agreement and EU legislation.

The Implementing Regulation, will be published by the EU tomorrow and entering into force on Friday. It will set out the products and level of duties to be applied, both now and (if necessary) in the future.