Report E BRD: Kosovo among newer US tariffs hit

The United States has set up a new 10 percent tariff package for imports to all states that have entered into force on February 24th. According to a report released on February 26th by the European Bank for Reconstruction and Development (EBRD), Kosovo ranks among the most hit countries in the region where this bank operates.

According to the EBRD, US import tariffs for countries in the region have increased by 0.3 percentage points, while 29 states now face higher rates. The biggest increases are recorded in Armenia, Egypt, Kenya, Kosovo and Ukraine.

The raising of tariffs for Armenia, Egypt, Kenya, Kosovo and Ukraine ranges from +3.7 to +4.8 percentage points”, the report says.

Meanwhile, several other countries in the region, such as Bosnia and Herzegovina and Serbia, as well as Moldova and Tunisia, are considered relatively beneficial by recent tariff changes, since tariffs against them either had much smaller increases or have remained at almost the same level.

The report stresses that, on average, US import tariffs for countries operating the EBRD have increased from 14.6 to 15 percent, increasing pressure on exporters, including those from Kosovo.

Although, the report stresses that tariffs have had less effect than expected.

On February 20th, the U.S. Supreme Court brought down global Trump tariffs in addition to those for the steel, aluminum, wood and automobile industry, with the argument that the emergency law for economic powers does not allow the president to impose such fees. Next, the American president pledged new 15 percent tariffs. But in the end, he decided to replace the 10 percent fee with a new one this time, based on Article 122 of the 1974 Trade Act, which allows the president to set such a fee for 150 days without the approval of Congress.

According to Kosovo Customs data, goods were exported to the US in 2019, worth three million euros, while three years later (2022) this figure increased to over 131m euros.

Products that Kosovo exports to the US include food, juice, textile, mattresses, but products from wood and plastic. /Koha.net/