Letter to the Hon. Maria Pagan, Acting United States Trade Representative - Soto, Bipartisan Florida Members Raise Concerns Over the Eu's Tariffs on State's Grapefruit Industry

Letter

Date: Feb. 5, 2021
Location: Kissimmee, FL

Dear Acting Ambassador Pagan,
We write today to express our continued concern over retaliatory tariffs placed by the European
Union (EU) on a host of U.S. agriculture products, specifically the citrus industry, late last year
in the wake of the ongoing Boeing/Airbus trade dispute between the United States and the EU.
These tariffs have had a devastating impact on citrus, particularly Florida grapefruit, worsening
the already difficult market conditions resulting from the COVID-19 pandemic. Because fresh
citrus and citrus juices are subject to the retaliatory tariff, fresh Florida grapefruit is among the
most adversely impacted. Typically, 40% of Florida's fresh grapefruit production is destined for
EU markets. With the addition of a 25% retaliatory tariff on top of the existing 1.5% tariff (a
1700% increase) exports of Florida grapefruit to one of their biggest markets has shrunk
significantly.
Without immediate relief there is a real possibility that the United States could lose the fresh
grapefruit market in the EU to other countries that are not subject to this tariff. This would be
devastating to Florida growers already hit hard by market conditions and disease pressure.
Additionally, because of the drastic decline in US grapefruit exports this season, there is a glut of
fresh grapefruit in the domestic market causing a decline in prices to an already struggling
industry. We believe it is critical the incoming administration work quickly to resolve this
World Trade Organization dispute leading to the EU retaliatory tariffs and restore this important
export market to Florida growers.
As delegation members of the largest citrus producing state in the country, we urge your full and
fair consideration on this most important matter. The loss of this industry would be devastating
to Florida growers and our nation.


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