The US spent €1.5bn more on EU food imports and here’s why
Overall EU agri-food exports ballooned to €20.8bn in July, a 10% month on month increase and up 15% year on year. Cumulatively, exports since January rose by 3% to €137.2bn.
American businesses spent €1.5bn more on European food imports year on year from January to July. However, much of the increase was attributed to rising olive and olive oil prices, European Commission data shows.
Former president Donald Trump's proposal to implement an up to 20% on all foreign-imported products if he is re-elected could damage the EU's export value growth.
Such a tariff would make it extremely expensive for US businesses to import EU goods, with experts predicting a drop of up to a third in EU exports to the States.
Top importing countries from the EU
UK exports also tracked up 3% to €914m for the first half of the year.
While the States racked up the largest value increase, Brazil drove the highest value percentage rise of 18%, again due to higher olive and olive oil pricing.
“On the other hand, EU exports to China declined by €728m (-8%) between January and July 2024, compared to 2023,” said the Commission.
“This is mainly explained by reductions in several EU main exports to China, in particular frozen pig meat, skimmed milk powder and fresh dairy products, cereals and cereal preparations.”
Russia’s EU imports dipped 12% on the previous year, driven by lower volumes across many categories, but spirits, liqueurs, wines and wine-based products in particular.
Commodity price hikes
EU olive and olive oil value sales rose by near two-thirds in H1 2024 to €1.7bn, compared to 2023, again due to higher prices.
Read more: When will the price of olive oil come down?
Coffee, tea, cocoa and spices also increased value sales between January and July by 25% to €1.2bn. “This is mainly explained by higher prices and volumes exported of cocoa paste, butter and powder,” said the Commission.
Sugar and isoglucose exports ramped up 151% year on year to €523m, despite prices falling 1%, with volumes also up 189%.
Though cereals exports dipped 13% to €1.2bn on the back of 6% volume increases, the result of declining prices.
Vegetable oil values plummeted €844m (-36%), due to reduced prices and volumes down 21%.
Wine also dipped €437m (-4%), down to lower prices and volumes.
Imports to the EU were also stung by increasing prices, increasing 11% to €14.6bn for the first half of the year, and 23% higher than in July 2023.
Imports from Côte d’Ivoire showed the highest increase if 50% (+€1.2bn), due to the higher prices of cocoa. This was followed by Nigeria, with imports to the EU rising 150% (+€600m).
“On the other hand, imports from Australia increased in July, but cumulated imports since January remain €752m lower than in 2023 (-38%), due to a reduction in rapeseed imported volumes,” said the Commission.
