U.S. Tariffs Threaten Italian Cheese Exports with Significant Impacts
New tariffs on European imports may elevate costs for certified Italian cheeses, leading to extensive economic repercussions.
The recent announcement of a 20% additional tariff on European Union (EU) dairy products by the U.S. government has raised concerns about the impact on Italian cheeses certified with protected designations of origin (DOP) and geographical indications (IGP).
Antonio Auricchio, president of the Italian Association of DOP and IGP Cheeses (Afidop), indicated that the total taxation on these products could reach between 35% and 40%, posing a substantial risk to the Italian economy, particularly through the phenomenon known as 'Italian sounding'—where local products mimic the branding and quality of Italian goods.
The U.S. represents the largest non-European market for Italian cheeses, with exports amounting to approximately 40,800 tons in the past year, of which 80% are DOP products.
According to Afidop, the additional tariffs could jeopardize over €485 million in revenue from Italian cheese exports to the U.S. market.
Auricchio highlighted that these tariffs not only threaten the premium status of DOP cheeses but also potentially reduce consumer confidence, thereby favoring local imitations that replicate the distinctive qualities of authentic Italian cheeses.
While the price increase from tariffs may not necessarily lead to reduced consumption, the economic effect on exports remains a significant concern.
In 2020, the imposition of tariffs by the Trump administration resulted in a loss of over 6,000 tons of Italian cheese exports to the U.S., translating to a financial impact of €65 million.
The current tariffs affect a range of products that were not previously subject to such duties five years ago, including the DOP Mozzarella di Bufala Campana and Pecorino Romano DOP. The latter is particularly affected, given that 40% of its production is exported to the U.S., thereby threatening an entire supply chain that constitutes a hallmark of Italian excellence in food production.
Antonio Auricchio, president of the Italian Association of DOP and IGP Cheeses (Afidop), indicated that the total taxation on these products could reach between 35% and 40%, posing a substantial risk to the Italian economy, particularly through the phenomenon known as 'Italian sounding'—where local products mimic the branding and quality of Italian goods.
The U.S. represents the largest non-European market for Italian cheeses, with exports amounting to approximately 40,800 tons in the past year, of which 80% are DOP products.
According to Afidop, the additional tariffs could jeopardize over €485 million in revenue from Italian cheese exports to the U.S. market.
Auricchio highlighted that these tariffs not only threaten the premium status of DOP cheeses but also potentially reduce consumer confidence, thereby favoring local imitations that replicate the distinctive qualities of authentic Italian cheeses.
While the price increase from tariffs may not necessarily lead to reduced consumption, the economic effect on exports remains a significant concern.
In 2020, the imposition of tariffs by the Trump administration resulted in a loss of over 6,000 tons of Italian cheese exports to the U.S., translating to a financial impact of €65 million.
The current tariffs affect a range of products that were not previously subject to such duties five years ago, including the DOP Mozzarella di Bufala Campana and Pecorino Romano DOP. The latter is particularly affected, given that 40% of its production is exported to the U.S., thereby threatening an entire supply chain that constitutes a hallmark of Italian excellence in food production.
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