The European Union has approached the World Trade Organization (WTO) requesting permission to impose countermeasures to compensate for the US tariffs on Spanish olive imports.
The dispute between the EU and the US has been ongoing since 2018, when the administration of then-President Donald Trump imposed additional tariffs on Spanish olives, accusing Madrid of subsidizing them and undermining competition among American producers.
Following the EU’s complaint, a group of experts appointed by the WTO’s Dispute Settlement Body ruled in 2021 that the high import tariffs violated international trade law and called on the US to rectify the situation.
Washington did not appeal the decision but later claimed to have made the necessary changes. However, the EU disagreed and called on the WTO to reassess the situation. In its ruling issued in February 2024, the WTO experts sided with the European Union.
Now, the EU is asking the WTO’s Dispute Settlement Body to allow it to impose countermeasures against the US after they rejected a demand to compensate for the tariff costs—amounting to $35 million annually.
Under WTO rules, if a country is found guilty, it must immediately correct the situation. If not, the complaining country may apply countermeasures.
